When you’re trying to make a living as a writer, it’s tempting to treat your writing like a hobby instead of like a business.
Dr. Jean Murray has a PhD in business and has some GREAT advice for freelance writers on how to run their business. Many writers aren’t familiar with the term “receivables”. A receivable is a business term for an outstanding invoice with a client. If you were hired by someone to write and have issued an invoice that hasn’t been paid, then your writing business has extended credit to a client and you officially have a receivable.
In her post, How about those receivables, she offers advice on not only how to tell if you HAVE outstanding receivables… but also how to reduce them.
How do you handle receivables? Do you require clients to pay you half when you start a writing assignment and the rest on delivery?
If you require people to use credit cards and PayPal, you won’t have as many receivables. To me, it’s better to pay a small percentage fee and be sure I get the money.
She also includes this GEM of a quote:
BTW, the rule to remember with receivables: “The longer it’s a receivable, the less likely it is that you’ll receive it.”
When you’re writing as a business, getting paid for your services is essential. Just because writing is easy and fun for you doesn’t mean you don’t deserve to get paid for your time and effort.