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    #11
    My advice

    Clearly your relationship with this company is screwed, so you are not likely to lose out in the future if you take them for all that is owed to you.

    The rule of thumb when going direct with companies you have no previous history with is this:

    Only take a very short assignment and test out what their integrity levels are like over payment. If they don't pay up or you have difficulty getting paid then you won't be screwed for much money. Two weeks max should be the first assignment you take on. Make sure this is paid before you take on another.

    Always ensure there is some written evidence of performance given at regular stages when dealing with a new client. As for a weekly meeting and ensure that the outcomes are documented and signed for. If this doesn't seem plausible, then just tape record the conversation covertly. No manager with integrity is going to mind performance meetings that hold them now and in the future to what they say they think about you, and if they are genuine and sincere about using you again then it's no loss to them doing this. Such documented evidence or acknowledgements that you have tape recorded evidence also puts paid to them screwing you for underperformance later on.

    Always covertly ensure that you find out who their key clients or customers are, but without the company overtly knowing. You don't intend to use this information against them, but if a client tries to screw you but realises later on that you could potentially **** them in some way by bad mouthing them to their key customers, then they will be less inclined to screw you in the first place.

    Always check their payment records and reputation before starting with a new client. Always ask if they can provide the names of other contractors who work for them and ring them and ask what they are like to work for.

    Again, only those companies that have got something to hide or who don't intend to pay you or treat you fairly will see any of the above transparency measures for accountability as a potential threat. If they start to complain or object at the outset, then see this as a clear sign that they are not worth bothering with and that you will be putting your business and livleihood potentially at risk.

    Comment


      #12
      If you get the cheque I'd cash it and forget about them.

      Send a sarcastic letter thanking them for their 'prompt payment' and stating that you look forward to being able to collaborate with them in the very distant future.

      Interest - it really isn't worth chasing unless you can prove that you have been significantly disadvantaged by not being paid, i.e. the company could not have afforded to pay its employees or had to take out credit your case isn't any more than a disgruntled contractor looking for a bit more cash.

      Ultimately the final advice is

      a) as previously stated check the company beforehand
      b) send in your first invoice early so you get an early indication of payment tendencies
      c) expect companies to take a long time to pay 90 days isn't against the norm anymore - as most companies know you won't even start to talk about solicitors until then.
      d) the most important - let it drop! The effort, pain and time of chasing the interest isn't worth it. In the time you'd waste you could earn much more and be less stressed.

      Comment


        #13
        Originally posted by boredsenseless
        If you get the cheque I'd cash it and forget about them.
        I agree with the advice but not with the reasoning. The interest is statutorily demandable, no loss has to be shown other than the principal was, in fact, paid late.

        But (assuming that they don't just pay the invoice for the interest) to get the money you are going to have to sue using the small claims track.

        As has been noted you aren't allowed to claim costs (other than the court fee and travelling expenses). To win you *must* attend, this will cost you one day off work - possibly more if the other party play the system.

        How much can you earn in a day. Is it really worth losing a day's rate for a principle?

        tim

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          #14
          Originally posted by tim123
          I agree with the advice but not with the reasoning. The interest is statutorily demandable, no loss has to be shown other than the principal was, in fact, paid late.

          But (assuming that they don't just pay the invoice for the interest) to get the money you are going to have to sue using the small claims track.

          As has been noted you aren't allowed to claim costs (other than the court fee and travelling expenses). To win you *must* attend, this will cost you one day off work - possibly more if the other party play the system.

          How much can you earn in a day. Is it really worth losing a day's rate for a principle?

          tim
          Personally, the live and let go attitude really annoys me. How on earth are any small businesses like ours expected to survive if we send out a clear message to clients that it is fine to cheat us out of money if they feel they can get away with it.

          Principles do cost, and sometimes they are worth upholding and your attitude is not helping the contracting community one bit.

          Comment


            #15
            They haven't cheated him out of money yet they are just taking their time and have expressed concern over the standard of the work. (whether it is sub-standard is another discussion)

            This is in no way an indictaion that they won't pay in fact its the opposite, they appear to be saying they will pay but feel they have been overcharged for the quality of the work.

            Payment always takes longer if the invoice or work is incorrect. It also isn't the customers job to point the error out to you, you should chase the payment and then they'll tell you.

            If they turn round and say 'we won't pay" then he's got a cheating bunch of sc*mbags owing him money but until then...

            Comment


              #16
              Update.....

              They have dropped the issue of discounts and, after receiving the letter of demand from my solicitor, have not even mentioned the quality of work. The cheque was for the value of the original invoices. I have cashed it and will wait to see if it clears.......! My solicitor is reviewing the "Payment of commercial intetrest act" to see if I can claim for interest only.

              For the record, I would like to clarify the following points: -

              Quality of work

              * No feedback was made on the quality of the work during the contract
              * I implemented several "best practices" during my contract
              * The end client was extremely happy with my work and would endorse that
              * They raised the quality issue since I was unable to get the end client to pay - the fact that their product had poor quality seemed to be overlooked by them
              * My successor is still in that position (client not paying) - I assume they think he is doing poor quuality work too!!

              The company in general

              * They paid a couple of previous invoices 2 weeks late
              * They paid their permie staff 3 weeks late for 2 months running
              * Several permies have left due to the fact that had "run ins" with the guy I am dealing with
              * They would spend a pound to save a penny
              * The guy that hired me was building his organisation. He stopped contacting personal contacts for possible empoyment since he no longer believed in the company.

              Thanks for all the advice on this area. It has been useful.

              I just find it hard to believe that a large Company can just decide to withhold payment - causing financial problems (I am a new Ltd and had to get an overdraft to cover my drawings) - and then, when I prepare to take them to court, decide to pay up and just carte blanche, ignore the interest on it. What point is there in having the legislation if it is not enforceable?

              As always, the law seems to be an ass.....!! I will keep you informed of the outcome!!

              Comment


                #17
                Thanks Denny

                I agree we all have to fight our corner. If everyone just lies down and accepts this sort of behaviour from other companies, the situation will only get worse. The shear arrogance of their behaviour has infuriated me!!

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                  #18
                  As you said Mustang...what frustrates me here are people who would be happy to bend over an apple cart and be f*cked up the arse!

                  Mailman

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                    #19
                    Originally posted by Mailman
                    As you said Mustang...what frustrates me here are people who would be happy to bend over an apple cart and be f*cked up the arse!

                    Mailman
                    I suspect that most negative responses toward contractors supposedly from contractors themselves are actually from agents.

                    Comment


                      #20
                      They will either be agents or contractors who work at cut rates (and are thus happy to be screwed royally up the jacksee).

                      Mailman

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