The Good Client vs The Bad Client

By Fiona Boyd |  Email This Post

Last week I started to think about who some of the best business clients David and I have had were. Not only have we started up and sold a couple of online businesses (Arts Hub, Screen Hub), started others which just plug away waiting on a bit of love and attention (www.collectzing.com), all throughout our entrepreneurial journey, we have also consulted to other businesses.

I’ve pondered some of our experiences with clients and have come up with a few traits that really stuff up your ability to provide a totally fabulous service, and mainly they have to do not with practical or logistical issues, but with attitude.

Firstly, when you are a business consultant, you are actually invited to do some work inside someone else’s business. You are not an employee and are not there to be bossed around or manipulated to a specific agenda. A consultant has a degree of autonomy that an employee usually doesn’t have (though exceptional businesses often make sure most of their staff have a good degree of autonomy).

If change is required, then as a consultant you often have to map out what that change will be, who will be affected, and strategies for making the change successful while also minimizing the negative impact on those in the company.

Most of the projects we’ve consulted on have had to do with introducing new technology, changing old practices and implementing new ways of going about business for the firms who have engaged us.

The sorts of projects we do require significant energy, drive and methodical diligence on our part to make them come to fruition in the most optimal way possible for the client. And for a number of our clients, our work for them has totally revolutionized how they do business – several have moved all their business online and others have started totally new initiatives with the technology and guidance we’ve given them. One client said to David last year that a new and burgeoning aspect of his business had only been made possible because of the innovative work David had done in providing technology and market knowhow to this client and without the project he’d done for them several years ago, a whole important revenue-generating arm of their business would just not be there.

No-one takes the wind out of your sails faster than the 'Bad Client'.

What really puts a spanner in the works when working with a client on a project that requires significant love, care, and the development of new ways of doing things, and staff training that goes with that, is mean-mindedness and a scrooge-like attitude that many business leaders adopt (after you’ve signed a contract and agreement) that has them penny-pinching on every aspect of the project. Now I’m believer that if you hire an elite team at an agreed rate, that you pay that rate and you don’t try screw the deal down even further, to the cheapest price you can get it for, particularly not after you’ve wooed the team to come do work with you, and they’ve put to bed other options to work with other clients, who may not be negative penny-pinchers.

It never ceases to amaze me that management always looks around to find the very best talent to design and implement the technology and resources required for the next phase of the business, but promptly forgets that new revenue has been made possible by this work. And of course, if the in-house team was able to do this work themselves, then of course they would have been called upon to do so.

Maybe it is something in the DNA of the manager-style CEO to fail to value the contribution of the consultant or staff member (if the company is lucky enough to have such talented and interested employees) who creates new value in their business appropriately. If so, then I’d like to point out that there is another way.

Several companies we have worked for, and therefore keep doing work with them from time-to-time as they decide they need us, have really valued our consulting contribution and let us know so with direct feedback, paying their bills on time, being a delight to deal with (good manners, focused around the project, not letting other aspects of the business interfere with the project).

Others have complained and whinged about cost and delivery. What’s really interesting is that those who complain about delivery are never the ones who stick to the knitting of your original agreement, they are always the ones who want to vary the gig, to get a little bit extra, however when it comes to the crunch, they don’t want to pay for that bit extra they’re demanding.

Here are some of the characteristics of our good clients – usually the founder of the business or long-time leader of an organization; directly able to command resources and influence team members; self-assured (doesn’t burden the consultant with their worries and business concerns); passionate about the project and the business they’re in more widely; committed and fun to be around; good at finishing things off and seeing new initiatives properly and fully implemented; good understanding of costs and benefits; values the consultant’s input and makes good use of the consultants knowhow within the constraints of the agreement. Good clients always pay their way, they never try get that bit extra of juice without some form of benefit back to you.

The bad client looks more like this. Bitches about money and even though they’re aware of the costs at the outset of the project, part way in they get the jitters and start sharing their anxiety with the consultants and others involved with the project; tries to micro-manage aspects of the project to be seen to be more involved than they actually are or their skill set will allow them to be; always looking for a financial shortcut and expecting the other party to reduce their price in response to the client’s nerves; unable to remain focused on the goals of the project – gets distracted and goes off task; uses blame and negativity at every minor bump in the project road. Note – we haven’t worked on a project yet that hasn’t encountered significant bumps and issues, however that is to be expected when you’re developing new technology and intellectual property with a client. Good clients don’t let the bumps get them down – and consequently despite hiccups and hurdles we almost always deliver their projects on time (I can’t remember a project that has gone over time in recent years) and always on the agreed budget (even if we have worked some extra hours to get it there).

In the future that I envision, I see many more people will be as David and I have been since 1996, that is, guns for hire, free agents, knowledge-workers who work to those who will pay best rate with best experience to be had for both parties.

Gone will be the way of seeing that preaches that all business is good, and all clients are worth having.

If you’re a startup in 2010 and considering engaging the services of a truly great technologist or consultant, make sure you’re a ‘good client’.  You will get great work out of the relationship, but more importantly this talented person will choose to do that work with you, and not the startup down the street or across the world.

Photo: flickr sierragoddess

Fiona Boyd and David Eedle share their real stories of business ups and downs, particularly the startup, growth and sale of niche content business, Arts Hub, in their book, Niche Content Millionaire. They are available for consulting to new ‘good clients.’

Niche Content Millionaire is a downloadable eBook that tells you the true story how we made millions from subscription content and membership websites. Buy Niche Content Millionaire Now

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