People who know you will get sick of paying you

People who know you are the best foundation customers.

You already have a relationship with them.

You don’t have to sell them as they already know what you can do and what you are like to work with.

However, sooner or later something happens and the relationship sours.

I don’t know how to explain the emotions behind the decisions but I have seen it happen to many people.

I think at first they are happy to help you out in starting your business. Maybe it is because they would like to start a business themselves and just never had the courage – who knows.

Somewhere around the 18 month mark it generally seems to change and you will be called in for what I term “the chat”.

If you are selling products then you will be asked for a discount.

If you are selling services or consulting then there are two different conversations that can happen.

You could be asked to give a discount on your fees or alternatively your client will tell you with great enthusiasm that they’d like to offer you a job.

Either way – at about the 18 month mark they don’t want to pay you as much.

The answer to this is simple to say and harder to implement -you need to find new customers.

You do this by treating the initial contract as a foundation or source of cash flow that can then bankroll the expansion of your business. When you have enough cash flow up you can afford to put on other people and take on new customers.

Not many businesses actually do this, and most stay as one man bands.

Don’t be afraid of asking your contacts for work, but be aware that it won’t last forever. Be prepared for “the chat”.