Lessons Learned: Get It in Writing

It's 7 o'clock and I'm rewarding myself with wine and McDonalds (hey, stop looking at me like that). For what you might ask? For having an awesome writing day and making lots of money? Oh, don't I wish! Nope, it's for forcing myself to address a thorny payment issue that's cropped up.

Now I can't exactly give case studies on here (I maintain a strict no-client-talk policy), but what I can do is share what I've learned over the past few months about the importance of contracts.

Reflection #2: Don't write/edit until you've agreed to terms and signed a contract.

Yup, I'm going to be a stickler about this one going forward. Sure, it might rub some new clients the wrong way (what, you don't trust me?) but in the end, I'm really doing us both a favor. Because a good contract protects the interests of both parties.

My (shiny, new) rules:

1. CYA.

When you get a bonanza of new clients through cold calling, it's all very exciting. You may even think some of them are really great people that you'd love to drink a beer with.

But this isn't a love fest -- this is business. And in business, a little paranoia is healthy. Especially when you're relying on new, untested clients for your livelihood (and they're likewise relying on you).

Ask questions, clarify, negotiate, and above all, work with the client to create a strong contract that protects you both.

2. Know your deal-breakers.

Here's a little gem I learned in counseling school -- every healthy relationship has deal breakers. In other words, if there's nothing your child/partner/client could do that would make you turn your back on him/her/it, you're both in trouble.

So if you receive a contract that has confusing or unfavorable terms, it's healthy and necessary to say so and ask for what you need.

During the negotiation phase, it's helpful to break down your desires into "must haves" and "would likes." No, negotiation doesn't mean you get everything you want. But don't back down when it comes to your deal-breakers (which will vary from person to person).

Here's a breakdown of my own personal must-haves when working with brand new commercial clients (these vary a bit based on the situation). Keep in mind, I am not a lawyer, and this is by no means legalese:

* Copyright clause -- copyright transfers only upon full payment.

* Acceptance clause -- if client makes no reply within 30 days of submission, the work is deemed accepted and the client can be billed, with additional work performed on an hourly basis.

* Detailed description of the work -- Scope and length of the piece, number of meetings, number of interviews, photos, captions, research to be conducted, reimbursement of expenses, number of rounds of revisions included. For editing, specify the number of passes included, the style manual to be followed, internal style sheets to be consulted, and fact-checking requirements.

* Detailed description of client's responsibilities -- what support the client will provide and when (setting up interviews, researching keywords, submitting work for editing, etc).

* Scope clause -- all work outside the scope of this agreement will be billed at your hourly rate.

* Termination clause -- if either party terminates the agreement, the writer will still be paid for all work completed.

* No implied warranty clause -- client is responsible for proofreading and fact checking the finished product.

* Indemnity clause -- client holds writer harmless for any legal action resulting from use of the work.

* Down-payment clause -- 30 to 50 percent is the industry standard.

* Project time line -- with relevant deadlines specified.

Standing up for yourself in contract negotiations doesn't make you pushy or difficult. While some clients may not love the process, especially if writers past have signed quickly and quietly, they'll ultimately respect you for it, especially if you show them that contracting is in their best interests as well. If they resist after you've made your case, acknowledge the red flag.

Do I demand all of the above from every one of my corporate clients? To be honest, no. I've got several regulars that I've never even signed a contract with. (Mostly because in the beginning of my freelance career, I was much more timid about contracts, and it now seems strange to demand it of them after a year of doing business together.) Might I ever come to regret this? Possibly. But for now, I'm going to call it an acceptable risk.

But for new clients, and especially those I find through cold calling, contracts are now my rule.

3. When the scope begins to creep, it's time for a new contract.

Ever had a project that appeared to be simple, but turned out to be way bigger than either party anticipated? It happens all the time.

The moment you realize that the project you're working on is beyond the contracted scope, stop immediately, alert your client and either amend your current contract or draw up a new one.

Got that? Now hold up your iPhones and repeat after me:

I will be as courageous in contractual matters as I am in marketing.
I will be as courageous in contractual matters as I am in marketing.
I will be as courageous in contractual matters as I am in marketing.

Lessons Learned: Go For The $$$

Hey there, cold call aficionados. Sorry I haven't been posting much lately -- I'd like to say it's because I've been so busy with all the work my cold calls rustled up, but that's only part of it.

The good news: since about June 2011, I have only had a handful of days where I haven't hit my daily billing quota, which is a pretty good feeling. And when I start to run out of projects, I only need to email a couple of my "warm" prospects to refill the pipeline.

However, being busy with lots of new clients at once has definitely steepened my learning curve expo-freaking-nentially. I've found there's more to running a business than courageous marketing. And I've pinpointed a few of the flaws in my original approach that I'll be reflecting on in my next couple of posts.

So let's start with reflection #1: Quality, not quantity.

My little cold calling strategy, as outlined in this blog, is definitely designed to get you in front of a large number of prospects in a short time. In this respect, I think it works pretty well.

However ...

If I were to do it all over again, I'd be way more careful about the kinds of prospects I target -- and those I choose to work with.

When I started connecting with all of these new clients, it felt so good! Finally, I thought, I've crawled across the freelance desert. And so I said yes to just about any and every project -- even when the terms, fees and contracts offered weren't all that great.

Well, adieu to all that.

I soon found myself working for way less than my going rate. And resenting it like hell.

Generally, I was doing it for lovely, honest people who just didn't have much experience working with a writer. They were "newbies" as much as I was, and they really did not have a firm grasp of the time and money involved in producing a great piece of writing.

Then the payment issues started. Or rather the non-payment issues. One was worked out amicably. The other -- well, it's so touchy at this point I don't even dare discuss it in cyberspace.

Here's what I'd do differently -- and what I'll definitely do when I get around to making those other 550 cold calls:

* Invest in the Book of Lists. Contact only large companies that have a history of working with freelancers.

* Discuss fees early. When in doubt, quote high. Share examples of past projects you've worked on and the fees involved.

* If prospects balk at your fees, you can try some education. Remind them of the going rates for this type of work and that they're saving on payroll taxes, health insurance, benefits, etc.

* If the prospect is clearly never going to pay your fee, move on. Consider it a blessing that you've reached this sort of agreement.

Cold call pals, I know when you're a starving newbie, it can be really tempting to drop your rates. But I for one will be fighting that temptation tooth and nail from now on.

Charge what you're worth, period. That's a whole new aspect of courageous marketing for you.

When you're calling your ass off -- and no one's buying

Okay, so after two months of patiently calling 25 people a day with absolutely not a penny to show for it, the worm has turned.

First, permit me to rant for a moment about how crazy and insecure those two months of silence made me. I had plenty of nibbles (people who loved the portfolio, loved the idea, needed a writer, etc.), no one actually coughed up the cash.

This was maddening, as you might imagine. Especially when I was having trouble paying the bills and putting time into cold calling that could have been spent querying, networking and conducting other business building activities.

To keep doing it (with absolutely no reward) was a leap of faith of sorts.

I remember a story (I think I heard it at church camp) that would have made a great essay. Except it was from Middle-Ages Europe before they had O Mag or websites.

A monk was writing about his trip to a cathedral that was under construction. He admired how all the laborers, from men who were hauling giant stones to the women sweeping up the debris, were all working with great excitement and esprit de corps.

They knew they were building something worthwhile. The clincher? They also knew the cathedral would take 100 years to build.

They wouldn't live to see it finished.

Not a perfect example, but I really think when you're starting a business, you have to believe THAT MUCH in what you're doing. You have to be willing to bust ass through long periods with zero gratification.

What keeps a cold caller going?

For me, it was simple: Peter Bowerman said it would work. Other writer pals who have tried it said the same.

I was sure I was going to be the exception to the ironclad Law of Averages. Then last week, the phones started to ring.

Since May 23, I have either completed, quoted or am waiting on the green light for five new projects -- all from cold call clients.

Nothing huge, nothing earth shattering, but it's been months since I had a new client at all. And I have meetings with a number of promising prospects lined up when I get back from Vegas.

It's a huge change from business as usual, so I'll be slowing down the actual cold calls. But I will keep up the blog.

You see, the cold call process doesn't end when you hang up. There's the meeting, the quote, the dancing around fees, and all sorts of post-call fun to explore.

So stay tuned. And if you're currently busting ass with nothing to show for it, cheer up. Odds are your glory, when it comes, won't be posthumous.

Prospect Lists for Wusses

A confession: I have not been taking my own advice.

I let several days go by last week without cold calling.

Part of it was looming deadlines, part of it was normal life drama, and part of it was, well, resentment because cold calling the past two weeks hasn't been going as smoothly as it was at first.

Unable to face another round of, "You do, um, WHAT?" I decided to prune my prospect list to focus on the types of businesses that have been most receptive to cold calling. These include:

* Marketing firms
* Graphic design firms
* Hospitals
* Universities
* Publications/Publishers
* Larger nonprofits

And I kept a few things that I just happen to like (e.g. microbreweries).

This made today's round of cold calls refreshingly smooth. It's just so much faster and less taxing when you're calling people who already know exactly what you're selling and can give you a yes or no on the spot.

And if you're an anxious cold caller, I would recommend starting out with these types of prospects.

So who did I cut? For the moment (until my sales skills are more honed and my skin is thicker), I've decided to give small businesses, medical practices and school districts a miss. I just haven't had much luck with them.

Anyone have any tips for selling projects to businesses in any of these categories? Might be a great opportunity for a guest post!

CHALLENGES: Boredom

Cold calling people on the phone can certainly bring all your uncertainties to the surface.

During the first couple hundred calls I struggled with fear of rejection, fear of nameless people, fear of sounding pushy and fear of being labeled an annoying telemarketer.

I just hit 300 calls today and I think I can safely say the fear if gone. There's a new enemy. Crushing boredom.

If you've ever been in choir or another performance group, you might be able to relate to this. It's the feeling of having sung the same song so many times, you feel like you'd rather put a live grenade in your mouth and pull the pin than sing it one more time.

When I get so bored with cold calling I want to eat my one head, I think about the time I went to a Rolling Stones concert. The performance was so electric and crackling with energy, it was impossible to believe Mick and the boys had been singing those same songs for going on 40 years.

So must it go with cold calling, I suppose.

One thing you can do that bands can't, of course, is change the words. I think after this week I'll rewrite my cold call script and see if it puts some life back in me.

Do you ever get bored with cold calls? How do you cope?