To get paid, just like you would understand is fundamentally fundamental to your business because if you are not being paid, what are you doing in business?

You may be astounded at the number of business people who only have their clients to pay up when and if they remember it. I know such a business owner who persistently holds bad debts like accolades. How? Probably because he cannot bring himself to request the money and people just intimidate him.

If you let somebody credit, only do so if they cleared their integrity to you by paying cash on delivery (COD) for some period. Secondly, you should gauge whether they have the cash to pay you - if not you should not do business with them. Don’t trick yourself into saying “I need the work” or “I need the sales”. It’s damaging to do the job or providing the goods for nothing if you aren’t paid.

If you are the type of person who can’t demand the fee after the service has been completed, try these cheats:
Tell your client that when all the work is done, you will need cash or cheque. They should be likely to have it to hand over at the point of sale and you don’t need to ask for your pay.

When you give out the quote, make sure your payment terms are evident.

Complete an invoice with the terms of payment clearly listed and hand the client the invoice when the work is finished. They will review the invoice and generally assume they can pay the fee now without you being required to say anything. Manufacture a “vicious boss” who will burn you alive if you don’t return with the cash for the job.

Organise your bank to provide you with Merchant facilities so you can have credit cards such as Mastercard and Visa. The large part of people use credit cards and it would fix the difficulty of the client not holding a cheque book or not having the cash in their wallet.

Otherwise, don’t be afraid to keep hold on the promised goods until you have been paid. Understand, until they’re paid for, they still are yours.

If you decide to let a customer credit, make sure you have the following contact details about them a week PREVIOUSLY you let them credit.

• Name
• Address
• Phone number
• Bank name and address
• Account no.
• 3 trade references with their names, addresses and phone numbers

Once you take all this detail, ring the branch and make sure that they do use an account with them. Then, call all of the trade reference and find out if they pay their invoices consistently or if they have had any dilemmas with them.

Most people will be willing to tell you if the person is troublesome. If everything is OK, allow them a moderate level of debt, say no more than $500 (depending on your business). Monitor the operation of the account for a few months before allowing this amount to be exceeded.

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As a customer service concept, relationship marketing is not new. For decades, business-to-business marketers have employed account managers who have the responsibility to dedicate themselves to key clients. In the financial world, `relationship banking’, whereby high-yield customers are assigned a personal manager, has been practised for many years.

When direct marketing is embraced to establish connections or relations between the marketer and the consumer, it is too easy to suggest that all forms of direct marketing communications achieve a closer relationship, a closer bond between the two parties. Such a conclusion exaggerates what generally happens in the marketplace.

Direct marketing is all about generating a direct response from the consumer and about direct communications to the consumer. A direct response is needed to generate better understanding of the advertising message or to motivate transactions. Direct communication is simply about media reach efficiency. Relationship marketing is a concept that transcends these pragmatic direct marketing objectives.

Kotler appropriately positions the concept of relationship marketing as one which applies principally to business-to-business situations:

Smart marketers try to build up long-term, trusting, `win—win’ relationships with customers, distributors, dealers and suppliers. That is accomplished by promising and delivering high quality, good service, and fair prices to the other party over time.

It is accomplished by strengthening the economic, technical, and social ties between members of the two organizations. The two parties grow more trusting, more knowledgeable, and more interested in helping each other. Relationship marketing cuts down on transaction costs and time; in the best cases, transactions move from being negotiated each time to being routinized.

Outside of `membership’ or `continuity’ programs, there are two basic ways to approach consumers. The first is with a product and price combination considered to be `the standard’. That is, the proposition is essentially of long standing and relies on the features and benefits being competitive. The second way, normally of short-term duration, is a `special offer’. Direct marketing textbooks are full of the theory, practice and case histories relating to `the offer’.

The choice of basic propositions or selection of special offers depends on the circumstances of the individual firm and its competitive environment. The right proposition or offer can make a world of difference to response cost-effectiveness.

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