Finding and Keeping Great Clients — the Key to Enjoyable Days
and MUCH More Money
By Michael Katz

Not all clients are created equal — not by a long shot. The difference between “great” and “terrible” is Grand Canyon-esque.

I didn’t see that at first. Back when I began working for myself in 2000, a “client” was any person or business willing to write a check. I needed the money; I was willing to work with pretty much anyone.

And that’s okay when you’re just starting out. The need for money is very much front and center at that point, and even having some “bad” experiences teaches you what to watch out for and helps you appreciate when things go well.

But these bad client experiences should be a temporary phenomenon. Not only do those make you miserable (note: That’s what jobs are for), but you will earn MUCH more money with MUCH less effort when you seek out and find individuals and organizations with whom you click.

You know, the people you see eye to eye with. The people who think you are not just good, but someone for whom there are no acceptable substitutes.

The thing is, it’s not going to happen by accident. Finding these people — even better, having them find you — requires thinking carefully about what you want and taking some deliberate steps to move in that direction. Otherwise, five or 10 or 15 years from now, you will still be working with the same mishmash of random, problem clients.

Here are three suggestions to get you started …

1. Develop your perfect client profile.

We don’t go to the grocery store haphazardly looking for “food.” We don’t plan a vacation to “someplace.” For both of these things — and countless others — we have preferences.

It works the same way with clients. If you want clients who are “great,” you have to define what great is. First, because that’s how you will learn to recognize them. And second, because your definition of great and mine is not the same. You need to be specific about what your “perfect” looks like.

Here’s a sample perfect client profile from an interior designer in Seattle:

Female; successful business owner; not wasting time is important to her; fun to work with; wants the best quality available; has discretionary income; stays focused and makes decisions; very responsive / good communicator; values honesty and integrity (hassle-free experience); lives in the Pacific Northwest.

Notice how subjective and qualitative these traits are. That’s intentional; qualitative is a big part of what your day to day will be. So of course, potential clients need to be able to afford you. But don’t make this only about money.

2. Establish your rules of engagement.

Every retail business on Earth has rules:

Open Tuesday–Sunday. Closed Mondays
30-Day Money-Back Guarantee
No shoes, no shirt, no service

For the most part, these rules are arbitrary. The owner of the business has simply decided this is the way it’s going to be. You are welcome to go elsewhere, but if you want to shop here, you need to follow our rules.

Unfortunately, many people who work for themselves never even think to set rules. We take a “client is always right” approach and just go with the flow. This is a mistake. Setting rules gives you guardrails to stay within, ensuring your business operates the way you want.

Note I am not suggesting you enforce this in a way that is harsh or unfriendly. Only that you draw some lines and stick to them.

For example, here are the rules of engagement established by a legal industry consultant in Portland, Oregon:

No free workshops; 50% deposit up front, 50% on the day of the engagement; no work without a signed contract; I always charge for travel expenses; I don’t publish pricing on my website; I never send pricing without first having a conversation; proposal pricing is only good for 30 days; if I speak for free, I get something in return.

Are these “right”? There’s no such thing. It’s just what this person has decided they want. Your business, your rules.

What’s interesting, too, is that once you write these down for yourself, they take on a certain power. The next time a client or prospect makes a request that is in conflict with one of these, you’ll find it much easier to stand your ground.

3. Spot the “Problem” Clients Early (so you can avoid them)

Here as well, we each have our own definition of what constitutes “problem.” But these are things I consider “red flags” that would cause me to hesitate, if not walk away entirely …

• They talk about fees first. The people who lead with this question tend to be price shoppers. They are not primarily seeking a solution to a problem; they are seeking a bargain, and if you work together, they will wrestle with you over every invoice you send.
• They are in a hurry. People who are in a hurry don’t make smart decisions. You may solve their immediate problem, but when the emergency is gone, they often decide your fee is too high, your service is not quite right, or you don’t seem like a great match. They made a decision when they were stressed and now regret it.
• They balk when asked for a deposit. Never (I said never) do work for any new client without a sizable deposit paid in advance (30–50% of the total fee). I know, this can feel scary. Don’t worry, the people who are ”for real” have no hesitation writing a check. Plus, the very act of sending you money helps the prospect mentally commit to moving forward.
• They request a reduced fee on the promise of future work. “We plan to do a lot more work with you in the future.” If that happens, great. But it’s just as likely it never will. Each project needs to stand on its own two feet.

Take Control of Your Business

I am not exaggerating when I say I don’t have a single client I don’t like and enjoy spending time with. We trust each other, we communicate well, we assume good intentions, we excuse occasional oversights or mistakes.

Not only does that make for enjoyable days, but I earn a lot more money because they are always inviting me to do more and more.

And while it took a little bit of time to recognize and weed out the bad ones and recognize and develop a nice collection of the good ones, it was mostly a function of deciding what I wanted, being clear about what I was willing to do and not do, and believing I could build a successful business on my own terms. You can too.