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Why You Should Fire 80 Percent of Your Clients

Why You Should Fire 80 Percent of Your Clients
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We’ve all got a few clients who make us want to tear our hair out — the ones who blow up your phone at three in the morning demanding revisions by tomorrow, those who keep pushing for deeper discounts, or those who openly tell you how to do your job. This article is definitely about why (and how) you should fire those clients, but they’re not the only ones who are holding you back. You’ve also got nice, respectful clients who just can’t afford to pay what you’re worth. This article is about a close friend of mine. He’s an entrepreneur who I will refer to as John. He’s the perfect sum of many entrepreneurs and business owners that I know.

Last year, John dumped almost every client in both of the categories that I listed above — 80 percent of his client base.

Since then, he’s made more money, built more satisfying client relationships, and had a lot more fun at work. This article is about why you need to fire those clients, and about how to use the newfound time you’ll have once you’ve fired them.

But first, let’s talk about why these clients are causing you problems.

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The problem

When John first launched his company, he took every client he could get. It didn’t matter to him how low the pay was, how tight the deadlines, or how extravagant the demands — he wanted a track record of good work so he could go out and score the clients he really wanted. In the beginning, there’s not necessarily anything wrong with that approach. The problem is that, as we get caught up in the day-to-day tasks of running a business, we lose sight of our longer-term goals and go crazy trying to make all our clients happy.

In certain cases, though, your happiness and the client’s happiness are mutually exclusive. Some clients think you’re outrageously overpriced, despite the fact that you’re undercutting most of your competitors, and will only be happy when you work for pennies. Others are convinced there’s no real skill involved in the work you do, and they could do it much better if they only had the time, so you should stop making such a big deal of it.

Some of your clients have told you these things outright. Others have strongly implied them. If you’re picking up vibes like these from any client, it’s time to put them in a box labeled “Box A: Definitely Fire.” Not only are they costing you money and time that’d be better spent working with clients who value your skill, but they’re also causing you stress, which is harming the quality of your work whether you realize it or not.

Aside from the clients in Box A, you’ve also got clients who aren’t actively pulling you down but are still dead weight. This isn’t always easy to see, which is why you’ll want to quantify the work you do for each of them. Grab a time tracking app and tally up the hours you put in for each client — not just working on projects, but (this is crucial) also chasing them down and communicating with them. Compare those hours to the amount they’re paying. Maybe they’re paying a flat rate or a lower fee structure from years ago. Maybe they pay fairly for the work, but not for the hours you put into chasing them down.

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Those clients need to go in a box labeled “Box B: Fire As Necessary.” They’re costing you money and time, but some of them may be worth the effort of a salvage operation.

Now let’s talk about how to handle each of these two groups.

The dump

The most important thing is to get the Box A clients out of your life as quickly as possible. They’re active drains on your resources, no matter how much they’re paying you.

Imagine John has got an absolute client from hell who pays a steady $500 every month but costs him $1,000 every month in anger therapy bills. Most client-related stress isn’t that simple to quantify, but the point remains: your success depends on the amount of creativity, positive energy, clearheadedness, and time you bring to every project, and any client who’s sapping an unfair share of those resources is chipping away at your bottom line.

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John fired his Box A clients (luckily he only had a few) as soon as he’d finished the latest stage of their projects and they’d paid for that work. There’s no point trying to satisfy these clients before you dump them because they’re never satisfied anyway. Don’t wait until they make you angry again, either — you’ll only say something you’ll regret.

Just send them a polite email as soon as they’ve paid, explaining that you’ve decided to focus on a specific subset of customers going forward, and this means you won’t be able to continue the relationship. All of that is perfectly true. You can leave it at that, or you can refer them to your competitors if you like. This will boost your professionalism in the client’s eyes and make them someone else’s problem.

However, John took a little more time to finesse the Box B clients. He sent them very polite emails explaining that he’d switched to a different fee structure, and while he deeply valued the relationship they’d built, it was time to focus on clients who’d pay the new fees. Would they be willing to make the switch? Most said no, of course. A few said yes. John referred some of the no’s to people he’d mentored, those trying to build up their client bases as he once was. At the very least, he asked all his Box B clients for referrals, which almost all of them gave freely.

Once that was done, it was time to upgrade John’s client list.

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The result

The first thing John did was lighten his workload for a couple days, just to get his creativity and positive energy back to normal. He stayed in close touch with the clients he’d kept, and for those couple days, he did something he’d always sworn he’d never do: John only worked on their projects at moments when inspiration struck and he could work passionately.

The quality of his work improved immediately. As he got back to his regular workload a few days later, referrals started to come in. His remaining clients had noticed the boost in quality and were sending John their friends. He emailed and Skyped with those friends and had a blast learning about their projects. He sent them bids that valued his time highly. Almost every single one of them accepted those bids.

Many of us falsely assume that firing a client will lead to an immediate dip in revenue. In other words, we assume there’s a linear relationship between clients, time, and money, and that the only sure way to make more money is to spend more time with more clients. You can see how false this is when you think back to your launch days. You spent a certain percentage of your time working for clients and, at the beginning, a much larger percentage of time crafting pitches, reaching out to leads, and cultivating relationships. This is exactly how you should use the time you free up when you dump your deadweight clients.

Nowadays, John’s client list is back up to about 50 percent of its original size — and every one of those clients is a person he genuinely enjoys working with. Every one of them pays him what he’s worth and treats him as an equal when they talk. John’s monthly income has nearly doubled for roughly the same number of work hours. He sleeps better, he works more happily, and he keeps bringing in the referrals.

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This is why you should fire 80 percent of your clients. Not because they’re all evil, or because they’re all ripping you off, but because your worth is so much higher than they think. In the end, those deadweight clients are robbing you of your potential. Fire them, find better ones, and find out how high that potential goes.

Featured photo credit: Put’em Up by Dave Meier via picography.co

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Published on July 27, 2021

15 Smart Video Conferencing Etiquette Tips to Follow

15 Smart Video Conferencing Etiquette Tips to Follow
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During the pandemic, video conferencing replaced in-person meetings and has now become the standard option for business meetings. Over the past 17 months, most workers have gotten past the video conferencing learning curve with Zoom or Microsoft Teams (or their platform of choice).

But just as with in-person meetings, attention can wax and wane. Some say we’re just not used to staring at ourselves so much on the screen. Instead of fixating on that, try employing smart video conferencing etiquette, or you may risk indiscretions that will flag you as a slacker.

Put the Pro in Professional

After more than a year of fine-tuning, here are the new rules of video conferencing etiquette.

1. Mute Your Mobile and Other Devices

The first video conference etiquette you need to know is muting your other devices. Just as in the pre-COVID days, someone’s obnoxious ring tone blaring Taylor Swift’s newest single in the middle of a meeting is also an annoyance if it happens during a Zoom meeting and so is the inevitable fumbling to turn off the sound. Even the apologies to the group get tiresome.

Also, when notifications are activated on the computer that you’re using for the meeting, the incoming message takes over the audio and you’ll miss out on snippets of the conversation. Be sure to eliminate this possible faux pas.

2. Dress the Part

While working from home, you may have fallen into the habit of slipping on your comfiest T-shirt each day. Hey, no judgments! But before you log on to your video conference, try to make an effort with your appearance.

Depending on your company culture and the importance of your meeting, consider dressing the part of the professional whom you wish to project. It will help you feel more self-assured, and others will likely take you more seriously.

For women, wear light make-up, put on earrings, and make sure your blouse is crisply pressed. For men, show up freshly shaved. Wearing a crisp collared shirt in a solid color will usually suffice.

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Pro Tip: Stay away from wearing white or black, unless those colors look great on you. Consider wearing light blue or brown instead.

3. Stage Your Workspace

Have you noticed the backdrops of experts interviewed on news shows? Bookshelves and photographs are carefully curated, and no busy-patterned furniture or artwork is in sight.

Take note of what appears behind you when you choose the location of your video conferences. Piles of junk mail on the table or stacks of folded laundry on the couch will convey more about your personal life than you care to share. Make sure you remove clutter from the camera’s eye, and present a tidy, orderly workspace to your colleagues, coworkers, and bosses.

4. Put Some Thought Into Lighting and Perspective

Be aware that in a video conference, your computer camera can actually make you look up to ten pounds heavier depending on where you sit. But you can easily drop those added pounds by moving back from the screen to diminish the wide-angle distortion.

Frame your head on the screen by tilting the screen up or down. Also, it’s best to not place yourself in front of a window or bright light, which makes you appear in shadow. Instead, face the light source, moving it (or yourself) until you have a flattering amount of illumination. You can also purchase some small spotlights that allow you to add light as needed.

Pro Tip: If your lights add too much redness to your skin, consider counter-balancing with a green filter.

Remember That Half of Life Is Showing Up

5. Arrive on Time

In the old days of in-person meetings, it was nearly impossible to slip in late into a meeting unnoticed. In today’s video conferences, logging in late still shows poor form. Instead, strive to arrive five minutes early and get yourself settled.

Once the meeting is underway, the host may be less attentive about late arrivals waiting to be let in. Diverting the host’s attention away from the meeting with a tardy entry request is the ultimate giveaway that you didn’t honor the schedule. If you don’t want a black mark against you, log in on time.

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6. Turn on Your Video

Few people like to see their face on the screen, but buck up and turn on your camera in video conferences. In most cases, it’s better to be a face on a screen than a name in a blank square. Your statements will be more memorable when other meeting attendees can see you.

If you need to turn off the video, either because of a poor connection, some commotion in the room, or a need for a quick break, give a short explanation via the chat feature. Then, go back on video as soon as you’re able.

Pro Tip: Keep your explanation for your departure pithy. “Sorry! Doorbell rang. Back in five” says it all. Be sure to honor what you say in chat and really do return in five minutes.

7. Plan Ahead Before Sharing Your Screen

Don’t be one of those people who makes everyone else wait as you click through folders in search of a document. That’s just poor video conferencing etiquette. If you know you’ll need to share a document or video on your screen, prepare by pulling it out of its folder and onto your desktop. Also, clean up the files and folders on your desktop to reduce clutter and facilitate easy access. Close other programs like chat, calendar notifications, and email. Disable pop-up notifications to ensure there’ll be no unforeseen distractions.

Be sure to remind the host before the meeting that you’ll need them to activate the screen-sharing function. Show courtesy once you’re finished by hitting “stop share” to return to the screen with participants.

Attend to the Pesky Details

8. Make Sure That Meetings Remain Right-Sized

With the easy accessibility of video conferencing, it can be tempting to extend the meeting invitation beyond the core group and include everyone peripherally involved in a project. But just as with in-person meetings, the more people involved, the more unwieldy the meeting becomes.

Use good judgment when asking others to sit through a video conference so that you don’t needlessly take up others’ time and so that participants can be fully engaged.

9. Remember to “Unmute” Before You Speak

Most of us are likely able to count on one hand the number of video conferences when someone didn’t have to be reminded, “You’re on mute!” Forgetting to unmute before speaking has become one of the most common missteps in video conferencing.[1]

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Show everyone your impeccable video-conferencing poise by managing your mute feature with flawless control.

10. Stay on Point to Keep the Meeting Length in Check

As with in-person meetings, an agenda with assigned time limits for discussions remains necessary to keep a meeting focused. Data shows, however, that video conferencing can actually reduce meeting time.[2] Reasons include the elimination of commuting time and the ability to screen share and annotate to keep everyone on task.

Additionally, side conversations are virtually impossible with video conferencing now that you can no longer have back-and-forth exchanges with the person beside you.

Pro Tip: If you’re running the meeting, let attendees know in advance the protocol for the chat feature. Is it okay for them to “chat among themselves” or not? (See point 11, as well.)

Talking Has a Time and a Place

11. Chat Appropriately

Just like side conversations or texting in an in-person meeting, the use of the chat feature during a video conference can be disrespectful unless it’s directed to all participants. Hence, it’s good video conferencing etiquette to mind your use of the chat.

At the start of the meeting, you may want to ask the host if it’s alright for participants to use the chat feature. This allows them to disable it if they choose. Used appropriately, it can be a helpful tool to clarify or amplify an earlier point once the conversation has moved on or to let the group know that you need to sign off early (and why).

12. Use the “Raise Hand” Feature to Avoid Interruptions

The slight lag in many video conferences can result in speaking over another person if you attempt to jump into a conversation. To avoid this awkward interruption, indicate when you have something to add to the discussion with the raise-your-hand feature that signals the host you would like to speak. This effective meeting management device makes video conferencing run more smoothly, especially with a large group, but it must be activated and monitored by the host.

Pro Tip: For meetings of six to ten people, sometimes the old-fashioned raising of your physical hand may be the best option. But it’s up to the meeting host. Ask them what they would prefer, and follow that.

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13. Don’t Record the Session or Take Photos Without Prior Permission

In this case, not sharing is caring. The “sharing culture” made popular through social media has little place in video conferencing. Before recording a meeting or capturing a screenshot of the participants, always ask for consent in advance from the full roster of attendees. Knowing that a video conference will be photographed or recorded could have a bearing on what others are willing to discuss.

Manage Yourself

14. Minimize Distractions

While de-activating audio and video features can keep distractions from affecting the other participants, you will need to manage noise and disruptions on your end to give your full attention to the meeting.

Move out of high-traffic zones in your home, keep your door closed, and ask family members to be considerate.

15. Save Snacking for Later

Save snacking for later—or earlier. Eating while on video conference is a no-no. Munching in front of the group while close to the camera—as you are when video conferencing—subjects the participants to an up-close and (too) personal view of your food consumption process.

However, it’s perfectly fine to sip quietly from a glass of water or cup of coffee or tea. If the meeting threatens to last for more than two hours, you may want to ask the host in advance to schedule a five-minute break at the halfway point.

Final Thoughts

Even though bosses are now beginning to ask workers to spend some of their workdays on-site, up to 80 percent will permit employees to work remotely at least part of the time, which means more video conferencing in your future.[3] Mastering these video conferencing etiquette tips will help you dial in—as well as dial back—your participation and demonstrate your unwavering level of engagement to the team.

Featured photo credit: Chris Montgomery via unsplash.com

Reference

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