Erik Sherman's WriterBiz

A spot about the business of writing as seen by a freelance writer. That includes marketing, sales, contracts, copyright, planning, research - in short, the business end of writing.

Name: Erik Sherman
Location: Massachusetts, United States

I'm an independent writer and photographer who covers business, food, technology, books, media, general features, and pretty much anything appealing that results in a signed check. My work has appeared in such places as the New York Times Magazine, Newsweek, Newsweek Japan, Fortune, Inc, Fortune Small Business, the Financial Times, Advertising Age, Saveur, US News & World Report, and Continental

Wednesday, August 13, 2008

There Is No Safety on Writers Boards

I've probably said this before, but it bears repetition. Writers go to online boards and assume that a closed and paid membership guarantees confidentiality and privacy. I've seen writers complain about editors, troll for help with stories in ways that at times suggests they don't put much effort into their work, and admit to working practices that would scare off many desirable clients. Why? Because they think they are safe.

A recent episode on one board was a reminder that editors may be freelance and on the same venues as the writers. I've also seen multiple cases over the years of someone forwarding comments to a publication in an attempt to curry favor while indirectly attacking a competitor.

The only way to use writers' boards safely is to assume that anything you write will be available to anyone and everyone. Before you post, tell yourself that the editor is also logged in, or that some partisan is ready to relay every sentence (or chosen ones out of context) to clients or prospects. There's a lot you can get out of discussions with other writers, and there are also times that burning a bridge with a client is warranted. But most often you don't want the latter, so don't put yourself into a position where you do so unintentionally.

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Friday, July 25, 2008

Emirates Airline Dumps Its Magazine

This isn't one of the big markets in the US, but it's worth noting that Emirates Airline will no longer carry its paper in-flight magazines and entertainment guides. Instead it will send "similar content" into its in-flight entertainment system. They figure that they'll drop close to 4.5 pounds per passenger this way. It's part of the cost cutting measures the airline is taking because of high fuel prices. (Any irony that this happens first in the Middle East?)

I'm not sure that it will be so long before other carriers consider the same sort of tactic; they're already charging for checked baggage. Also, the people who produce the in-flight digital material are probably different from those that create the printed magazines. Between these two factors, if you count on airline magazines for a significant amount of your business, it might be smart to branch out as quickly as possible and find other clients so you don't get caught in a change, should it happen. And if it doesn't, the worst thing is that you end up with more clients.

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Thursday, June 26, 2008

Three Considerations on Dealing with Growing Payment Cycles

On a writers' board, someone brought up the topic of clients that are trying to unilaterally stretch their payment schedules from 30 days to 45 or more. There should be two concerns when that happens. One is that we're in some times when certain types of clients - print publications, for example - are feeling a revenue pinch. Generally when a client, particularly a smaller one, starts paying later and later, it's a sign of economic troubles.

There's another factor at work as well. Remember that the commercial credit crisis hasn't suddenly stopped. One result is that many businesses, including large ones, don't have access to their usual amounts of credit, which is the lubricant for all sorts of business transactions. When things get tight on the lending side, you can find some of these larger clients choosing a different form of financing - late payment to vendors - that they think they can control.

Whatever the case, you want to consider your various options and what steps might be best for you in the short and long runs:
  • Hit the 'Chutes If you have any sense that the company is in financial trouble, drop the client immediately. Usually I'm an advocate for phasing out clients over time and not dropping one until you have a replacement. However, if there are economic problems, the chances are overwhelming that they will continue to be bad. I'm not suggesting that you be rude or panicked. You can excuse yourself by blaming your schedule or simply stop pitching ideas. If you do not take action quickly, you can find yourself with thousands being owed money that you may never see. Generally speaking, making a break and doing intensive marketing is a less costly solution.
  • Recalculate Client Viability Just as I think it's good to limit the total amount of business that any one client represents of your normal billing activity, I also think it's good to limit what is tied up in long payers - and to make sure that you're getting something from it in terms of higher rates. If it's more waiting for no more money, then it's time to recalculate the client's profitability and PIA factors and consider whether a replacement might not make sense.
  • Get Something in Return The client wants you to give in on something. That means you're in a negotiation and should consider if there is something you could get in return to make things acceptable. Maybe you should increase your rates to cover the few percent that you lose in the time value of money (what borrowing that amount of money for a month or two might cost). Perhaps you should have late fees or, even better, a slight discount for accounts paid within a short amount of time. If you regularly do business, perhaps you could get a retainer relationship, with a certain amount of money guaranteed every month. Perhaps you'd get a greater share of more valuable assignments. Figure out what might make things desirable from your end (so long as you don't think the client's economic ship is taking on water).
Even if you find things slowing down, you can weather the storm and even arrange your business to eliminate the disruption of those checks hitting your mailbox.

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Thursday, April 24, 2008

The PITA Tax

On her blog, Heather Boerner has an amusing and useful piece on treating pain in the rear clients as a class that needs to be taxed as part of an interview with Bob Sutton, author of The No Asshole Rule. The idea is to add up all the time you spend, including the minutes you fret over dealing with the client, and multiply that by your hourly rate. This is actually a cute variation on understanding the profitability of a client. You have to calculate not only the time for which you actually get to invoice, but that part belonging to overhead and personal time. Much of this you would ordinarily write off as part of your operational expenses (for example, you don't get paid for crafting pitches to clients). But if the time is significant, it may heavily cut down the profitability, because you're actually putting in more time than you can bill for.

I'd take my target hourly rate (How many zeros can I add?), not my bottom line "must make" number, and multiple it by all the time spent on the average for the client. Then take that total amount of money and divide by the number of billable hours. Whether you express this as an hourly figure to them or merely up your project fees doesn't matter. However, do be prepared to find a replacement client, because if the size of the new number doesn't kill him or her, there's a good chance the person will walk away. Ah, how sad.

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Wednesday, April 16, 2008

Fear of Phoning: 5 Techniques to Reduce It

From time to time I see writers posting online messages about feeling afraid to call clients. Personally, I think it's a mistake to simply avoid the situation by using email for several reasons:
  • Constantly avoiding what you fear only strengthens the emotion's grip on you.
  • Editors often ignore email, or the messages get pushed into a spam filter, leaving the writer wondering why there is no answer.
  • Sometimes the phone is the best form of communication, next to being in-person, and to avoid it is to give up an important marketing and sales tool.
I often see another writer answer something to the extent of, "Oh, but you're great, so just call. Don't be worried about it." Tell that to the person in the middle of fear. It may sound good, but the results can be exactly the opposite of what the encourager might want. Instead, here are some approaches that can be helpful. None of them require you to directly confront the fear, as often the most effective approach is an indirect one that lets you focus on intellect or action, both of which offer you far more control:
  • Write it down One of the ways the fear of phoning comes out is the sense that you're babbling and sound like a complete loon. So write down all the points you want to make in roughly the order you want to make them. When you're prepared and know what you have to say, then you can stick with that, rather than trying to wing it.
  • Take your time There is no rule that all negotiations happen within one sentence, let alone one conversation. Take the time you need to make your points. If someone comes up with something you're not ready for, say that you have to give it some thought and plan a subsequent discussion on the issue.
  • Schedule ahead It's tought to make yourself pick up the phone when you're in the middle of fear. But the entire situation is different when you've scheduled the call and you cannot simply not bother. Use the power of your own obligation to get you on the phone in the first place, when possible.
  • You can always say no You tend to get on a call to conduct a negotiation, whether over a contract, an assignment, or even the attempt to get an assignment. Fear comes in part from the concern that you won't get what you want. When that happens, invoke the power of walking away. There is no single assignment that will make or break your career and no single job that will make or break your entire financial existence. There are always other clients and other work out there; remind yourself to reduce the pressure of how much you need this particular negotiation to go through.
  • Do some marketing A variation on the previous point, you can become more confident when you have more prospects. Reduce your dependence by sending off a few queries before you get on the phone. The more choices you have in work, the more control you have and, as a result, the more confidence and less fear you will feel.
Work with every intellectual and physical tool you have in a way that increases the odds in your favor and reduces the power of fear.

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Thursday, April 3, 2008

Steady Clients: Passion or Passivity?

I had a couple of recent experiences that got me thinking about the nature of long-term clients and customer satisfaction. In one case, I had thanked a writer who had referred me to a client and got a pleasant note about the feedback being strongly positive and saying that it was likely we'd be working on the next project together. ON the other hand, I found myself on the other side of the writer/client relationship, being highly displeased with one writer, as I was editing a feature package for a magazine, and saying that I'd never work with the person again. When I talked to my editor, the real client, she said, "You know, you've inspired me. I've been putting up with that writer for a long time, but maybe I just won't use the person again."

Most people in business assume that a steady client is a good client. From some views, that is absolutely correct: you lower your cost of acquiring a new customer while increasing the customer's lifetime value, or the amount of money the entity spends with you over the span the two of you do business. In short, the more money you make over time from a customer, the more efficient your marketing becomes, the more time and resources you can invest in building the future of your business, and the greater return on your previous marketing time and money investment.

Not all steady customers are the same:

  • Some like doing business with you. They will seek you out, at least for the types of work they perceive you as doing well.


  • Another group does business out of convenience. They have experience with you, so you become the devil they know, rather than the one they don't. That's not to say that all clients in this category consider you a devil, but we all have our weaknesses. On the balance, they find that doing business with you is a reasonably move on their parts.


  • Third comes clients that work with you out of habit or inertia. They may not particularly like your work, business model, or style, but it's not enough to drive them off immediately.


  • Fourth is the captured group that does business with you because they feel that they have no other choice, but they are actively interested in finding a replacement.
As you go from top to bottom, the clients may still be steady, for now, but they are increasingly likely to find another writer as soon as is convenient. That means there are different levels of vulnerability in your business even when you think some of your income is from tried and true sources.

I know we'd all like to think that all of our clients love us, but it's simply untrue. Look back over your career with some honesty, and you'll remember companies that flushed you out, or that took some work but didn't seem overly interested in having you do anything additional. There may have been some companies that kept a relationship only to get through a project - they were captive at the time - and beat a hasty retreat at the first possible moment.

Looking at your clients this way isn't to enter the land of blame, but of assessment. It may be that you and a client were or are simply incompatible, and that further business would run counter to either of your interests. The client might have been so unrealistic that a reasonable business effort would never have sufficed, and that there would never be enough forthcoming compensation to justify the exertion. Or it could be that you need to improve something - writing, business practices, areas of knowledge, or so on.

It generally takes time to know yourself well enough to begin making these judgment calls. I remember many, many years ago screwing up royally on some work and trying to blame the other party, but in my heart I knew that I was at fault. In a case like that, all you can do is work like hell to get good at what you do. Over time, the better you are, the more business starts coming your way, and the more you are able to command in the market. If you can get better faster, more power to you. If you're behind, why not work at getting better? Over time you might be able to increase a client's enthusiasm, and the chance that it will be around tomorrow.

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Wednesday, March 26, 2008

Dealing With Rejection

Heather Boerneris addressing hte topic of rejection on her blog. That got me thinking about the topic and sending her a reply to a LInkedIn message she had sent out. But I thought I'd also look at the topic here.

Rejection is a constant companion for the self-employed. In fact, ask a group of experienced freelancers about the most important qualities for success, and not getting bogged down by rejection is one of the answers you'll inevitably get. The reason is that success in freelance writing comes from reducing the inevitable amount of rejection you'll get.

It's easy enough to say, "Develop a thick skin," but that doesn't explain why it is necessary. If you've been writing for any period of time, imagine what would happen if everyone said yes to everything you proposed. You'd drown in work and have no life. Getting work depends on hitting the right person in the right company at the right time with the right idea and right background to carry it out. That's a lot of right. The odds of that happening each and every time you send out a letter of introduction or query - given how much is completely out of your control - is unrealistic.

To get down from rejection has three parts. One is normal disappointment. I'd really like to know that the work and money were coming in, but they're not, so I have to move on to the next prospect.

Another part is not so normal, because it involves taking rejection as personal failure when you don’t accomplish what literally cannot be done. One is when the freelancer takes everything personally. Do you agree with your significant other on everything? Probably not, and you’re far less close to your clients, so why expect that much acceptance? You may be involved in your business, but you are not the same as your business. Focus on your decisions and the efforts you make, not on others.

The third problem is when you view each rejection as a threat. It’s not. Rejection works two ways, and you constantly reject clients – by not pitching them, by turning down projects that don’t make sense for you, by negotiating different terms than they originally wanted. It’s a game of numbers, and you need to make enough efforts so that, on the whole, the numbers break your way.

There is enough heartache in the world; why needlessly manufacture more for yourself? Clients aren’t family, friends, or lovers. They’re people who pay you to do something. Keep some distance and save the bitter rejection tears for those times that they are really warranted.

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Tuesday, March 11, 2008

Reaping What You Sow

I've been having what for me is an atypical experience: working as an editor on a large special feature for a magazine to which I regularly contribute. the editor had me work with several writers, and I've been coordinating and editing a large number of short pieces. What I'm getting to see up close is just how badly a writer can destroy a business relationship and develop a terrible reputation.

It's been interesting to see how three specific writers fell into categories, and how little things colored how I perceived them. One writer was great. Copy needed some editing, but that didn't matter, as each piece was slightly longer then I had requested and had most of the information I might want. the next writer was pretty good, but not as good. The differences were subtle. For example, the second writer had a couple of delays (but communicated and kept me informed), used an odd font in the story files (I had to adjust them to make them readily readable), and took a while to include all the information I needed in the format I wanted.

And then there was the third. I was able to catch the person in one outright lie after another; learned that the writer had missed an interview with a subject without immediately following up to fix the situation; would email to say "I'll have XYZ done by tomorrow morning," only to have the deadline pass without a peep; would ignore more and more harshly worded instructions I'd send; never responded to a phone call; offering one excuse after another; and during all this, would pretend that I had never mentioned some things and keep talking about how the writing would "sing." Too bad it was all off key, trying to get away with as little effort as possible for the assignment and pay (which, by the way, was hardly bad) and keep every dollar of assignment, no matter how much that might have screwed me or the magazine up.

I bet that the writer still thinks he/she was a) actually clever, b) good, and c) reasonably decent to deal with. I talked to two editors I know who had dealt with him, and heard stories ranging from only slightly better to just as bad and even worse. When talking with a third editor who didn't know the writer in question (but who has now added the name to his "black list"), we joked about knowing all the tricks becsue we've been on one or the other end of them in the past. If you think that you have never done any of this at any time in your working life, even in youth, then you are probably fooling yourself.

However, the important question is how do you relate to the rest of the industry today?; Are you trying to shave corners? Do you do things "your way" because that's the way you like it? If there are problems developing, are you quickly on letting your client know and working out other arrangements as necessary? Even worse, do you think things are fine because you don't hear anything negative?

One editor I spoke with said, who heard how hard I had been on the person, said, "You've inspired me. I think I'm not going to use X any more." Sometimes editors keep writers around out of inertia. They don't get rid of someone and find ways to cope. But tolerance doesn't mean welcome. You should do your own self examination and see where there's room for improvement, and then work hard to make the necessary changes happen. Don't depend on inertia, because eventually something will bump into the client, and by then, rescuing the relationship may be impossible.

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Tuesday, February 12, 2008

Learn to Say No

Every writer knows that there are times to just say no. Sometimes pay or terms of a deal are far enough from your business model and practices that you can't afford to take on a given assignment or client.

And yet there is another circumstance under which many writers would do well to reply in the negative, even if their impulse is to agree almost before the question is asked. That's when someone approaches a writer with a potential assignment out of his or her experience and the writer relies on the theory that yes is always the right answer, with a scramble after to find a way to satisfy it.

I disagree that yes is always the smart thing to say, and would argue that the approach is often business disaster waiting to happen. There are areas that need specific experience and knowledge. For example, it's difficult to write about investor relations, whether in an article or as part of an annual report without some clear understanding about the regulatory nature of the field and what can and cannot be said. You could agree to cover semiconductor manufacturing without the right type of tech background, and things could blow up without your even realizing that they have at the time.

This isn't to say that you can't shift to new areas. Sometimes a topic unfamiliar to you has analogies in what you've already covered, making a transition smooth. It could be that something new, or the treatment of it, doesn't require anything that you don't already have. You might be able to develop expertise in a different field, if you invest the time.

Clients usually know when a general background will do, and when they need someone specialized. In the latter situation, making a promise and then assuming that you'll be able to cover the ground is not just taking a chance with your time, but with your client's business and money. Such cases are con games.

A business relationship is not just about you. If you find that you don't readily grasp the essentials of the topic, then you should not be covering it, or both you and the client should go into it with eyes open - and fees that reflect the fact you're on a learning curve.

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Friday, February 8, 2008

What Business Are You In?

The title of this post probably sounds like a stupid question. You're a writer, right? Then you must be in the writing business.

Absolutely not. You do write, and people pay you after you write, but they aren't really paying you because you write. If people were paid simply for the act of writing, there would be millions of professional writers out there. But anyone who's been in the business knows that there getting people to pay you for writing is difficult.

The reason is that they aren't buying writing. They're buying a someone to satisfy their needs. This came home to me on a recent assignment in which I received a somewhat vague assignment. I talked with the client, understood what the contact wanted to achieve, and I started to offer suggestions - a way to frame the approach to satisfy my client's client, a structure that might provide a way of meeting the layout parameters of the publication while conveying the necessary content, and a new approach when the client made an assumption (which I had specifically asked about) that turned out not to be valid. With each step, I helped the experienced contact relax and gain more confidence that I would deliver something that would work - because we collaboratively solved the problems, and the execution would then be mechanical and predictable.

I understood that "writing" was either only part of what I do, or that the definition of writing is far broader than you often hear. I was solving a business problem. That's not to say that the writing process is unimportant to me. On the contrary, I'm always looking to expand my repertoire, strengthen my descriptive capabilities, and deepen my grasp of structure. But by itself, that is not enough. I need to apply these capabilities toward what my clients need. Otherwise I might as well be writing something literary. There's nothing wrong with that, of course (and I do write plays, fiction, and poetry), but if I want clients to deliver sizeable paychecks, I need to deliver what clients values: the satisfaction of their needs.

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Wednesday, January 9, 2008

Newspapers and Goodwill

Most people think of good will as a desirable state of mind around the winter solstice holidays, no matter what you call them. But in business, goodwill is the difference between the value of a company - expressed as the value of all its stock - and the value of the firm's tangible assets. In other words, goodwill is how much investors and the market think a company is work over and above the more objective value of everything it owns. And if you count newspapers as a market, read this Bloomberg article and you may see why you should make the acquaintence of this term.

Goodwill exists because the world wants to account from where the value of a company comes. It's clear why; without financial attribution, charlatans would be free to claim any value of a company, pulling the wool over the eyes of many. The problem with goodwill is that it can be fickle. As the opinions of those in the market change, so can the goodwill, and the value - and financial solvency - of the company. Some companies, like Google, have a great deal of goodwill value. But the danger is when you see too much value in goodwill, you must wonder how stable it is.

As the article's author, Jonathan Weil, notes, many publicly-held newspaper companies have a great deal of goodwill on their balance sheets. That might mean that the values are artificially high and that companies will ahve to write down their book value, which means it will be harder for them to get credit, raise money, and do other things that will hinder their competitiveness. Here's Gannett as an example:
Even Gannett, the largest U.S. newspaper publisher, looks ripe for a balance-sheet hit. Its market value is $7.9 billion. By comparison, its $8.98 billion book value at Sept. 30 included $10.06 billion of goodwill and $818 million of other intangibles. Tara Connell, a spokeswoman for the McLean, Virginia-based company, says Gannett is evaluating the matter.
If you're going to do business with an industry, it's important to gain some financial literacy so you can see where trouble might be brewing.

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Thursday, November 15, 2007

When to Fire the Toxic Client

I've seen some online discussions lately about firing "toxic" clients. As in any other business, when providing writing services, there may be times that you find a given client a major problem. It could be for a number of reasons, including any of the following:
  • abusive contact person

  • offensive contact person

  • client demands are continuingly unreasonable

  • client wants you to act unethically

  • payment habits cause you financial problems

  • client disorganization overly affects your work schedule
Notice that a number of these factors - or others you might think of - require a judgment. To receive offense, one must be affected by the conduct of another. Unreasonable is what strikes you as such. Payment habits that might affect one person's business might not be a problem for someone with greater financial resources. In short, often the toxicity of a client has just as much to do with how you perceive the behavior and react to it as it does with what the entity or person is doing.

How you handle the tocis client will depend on the circumstances. It might be that you can get a person to change behavior enough to be tolerable. That sometimes is possibly with the behavior of the company itself, not the contact there, although getting a company to change is generally far more difficult.

If you can't get a change and the client, for whatever reason, continues to grate on your nerves, then you need to cut them loose. When and how you do so depends on just how much the client affects you. If the client is such a problem that it drags everything else down in your business or life, then they go immediately, even if you find it finanically inconvenient. If you don't, it could potentially depress the rest of your business, to say nothing of you.

That should be an exceedingly rare situation. If the circumstances aren't so dire, then you find other clients first and then phase out the problem one, so your income doesn't take a beating as a result. This becomes part of your ongoing strategy to keep the best clients and develop new ones, phasing out those that no longer meet the needs of your business. there are people who will tell stories of ridding themselves of a problematic client only to have replacement work show up of its own accord. yes, this does happen sometimes, and it may be that when you're not so wrapped up with a problem, it's easier to see opportunities when they present themselves. But be wary of impetuously dumping the work you don't want under the assumption that something better will come along. It's my experience that this happens when you've laid the groundwork for more work to come in.

Now for the really big however. I've known writers who always complained about this abusive client or that unreasonably one. There would never be a time when someone wasn't being unreasonably offensive. In my experience, and that of most successful writers I know, such problems should be the rare exception and not the rule.

In business - and in dealing with people in any aspect of life - it's important to develop the stomach face the imperfections of others, just as you might hope they would forgive and manage wtih yours. Just because someone seems rude or demanding on a given day doesn't mean you should get caught up in unnecessary drama. There should be only a handful of times in someone's career when a client is so bad that it must go immediately. If you find yourself seething on a regular basis even as you replace clients, then the problem may be closer to home, and not with the low quality of customers these days.

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Tuesday, October 16, 2007

Managing Assignment Risk

Whether you work in editorial, corporate, non-profit, or even fiction, you still have to run a business. One of the big areas that established businesses consider is risk. The idea is actually simple, and you do it every day in your life. When crossing a street, for example, you look both ways. What you're doing in that moment is assessing risk by determining if there is any oncoming traffic. Obviously if there's a car right a few yards away, you stay on the curb. Similarly, if there isn't a vehicle in sight, you can cross at your leisure.

But what if there is traffic coming from one or both directions at varying distances? You may have enough time to safely cross or not, and you make that judgment based on your past experience. What you're doing subconsciously is identifying a potential source of danger and calculating how likely it is to cause a problem.

Think about it and you'll see how amazing this is: you estimate speed and position, take into account direction and your own pace, mentally calculate whether you and the car will intersect at any point, adjust your own speed as a consequence, consider how urgently you need to get across the street, and then make a decision as to whether it is "safe" for you to cross at that time.

You can do the same thing, often with as little effort, in your writing business. All it requires is for you to put at bay your eagerness at getting work. Instead, you take a few minutes when hearing of an assignment and consider the following points, at least:
  • Pay - Well, of course you consider that. Or do you? If you find yourself making excuses for why a low pay assignment is acceptable to take, then you're not bringing a critical view that you need.

  • Timing - Is the schedule one you can live with? You have to consider when it must start, when the work is due, how much time it would take, and how fully you are booked.

  • Profitability
  • - Take the pay and divide it by the time you estimate that the assignment will take. You now have a dollar per hour figure that should be at least above your minimum. (See my article on business planning to the left under Writer Resources.) This is another point where you should be brutally honest. If you aren't going to make enough for the time you invest, think carefully whether you want to get involved, as it could be a huge mistake.
  • Getting Paid - You want to be sure that you get the money you're earning. Check out the current reputation of the client. If you hear of others getting stiffed, or even greatly delayed, pass on the assignment. If you're working with someone unknown to you, limit your exposure. Take only one assignment at the start and see how it goes. If it's a large assignment, break the tasks and deliverables into multiple parts, billing (and, hopefully, collecting) for each before continuing to something else. Too many writers have found themselves waiting for thousands of dollars because they didn't use this approach.

  • Business Fit - Generally not as major a consideration, it should still be one. Will you see any disadvantage from the association with the client? If so, can you remove it by working under a pseudonym?

  • Client Satisfaction - Taking business that only has the opportunity for single assignments is largely a waste, because you can't leverage the marketing you just did and the time it takes to set up a client and have it set you up as a vendor on its accounting system. If there is the chance for continuing assignments, be sure you can deliver on what the client needs and wants. If not - if you don't have particular skills or expertise the client needs - then determine whether getting up to speed is possible. If not, then refer the client to someone who can do that particular job. You avoid wasting everyone's time and actually build relations with the client.
This doesn't have to be an onerous process. Just consider the signs you can see, what your experience and that of others tells you, and make an informed decision. You won't be right all the time, but you're unlikely to get as seriously run over as you might otherwise.

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Friday, September 28, 2007

Create a No-Wordsmithing Zone

I hate the term wordsmithing - I have since I first heard it as a professional writer. The word, and the attitude it represents, are dismissive, placing the process of writing on the level of clever assembly line operations. You take what the client gives you and "massage" it until it reads better. There is that unspoken assumption that the writer adds window dressing only.

Of course this is absurd. Writing is about analytic thinking, the absorption of information, the analysis of this mental material, and the design and construction of an intellectual road map that can get readers from point A to point Z while leaving them feeling more intelligent than when they started reading. Of course they feel smarter: suddenly they grasp something. however, it's the writer that does the heavy lifting and leaves a paved path where once there was bramble and brush.

There was a time that I didn't flinch when I heard wordsmithing. That is no longer the case. When a client uses that term or something similar ("The document only needs a little editing."), I disabuse them of the notion. When a corporate client plays the editing card, I say, "No, you're looking to condense material and to find the most important points. That's not editing; that's writing." When an editor sits on an article for weeks and then suddenly surfaces and says, "I need this changes," I say, "That's fine - I can get them to you in X number of days."

The more you remain quiet when a client effectively dismisses what you do, the more value you help drain from your services and the lower you set your price. The next time someone asks you to wordsmith, point out that you don't polish words like so many pieces of silver plate. You're a writer, and the work takes time, skill, and proper compensation.

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Wednesday, September 12, 2007

Read the Business Pages

What do sub-prime mortgages, debt-backed equity derivatives, and growing credit card debt have to do with writing? Nothing, if you don't cover financial matters. But they have everything to do with a writing business. You not only have to crank out words, but you need to properly plan your business, understand where you should be steering it, what external blockades their are to your progress, and what pitfalls lie ahead. Of course that means studying markets and particular publications, but it also means understanding the business climate.

The global economy affects clients of all sorts. Publications depend on ad revenue. Corporations depend, ultimately, on people buying something. People depend on having enough spare money to make their purchases. Trip one area up - like a credit crunch hitting consumers and investors while tripping the housing market, which has been artificially inflated and the source of much of the wealth people thought they had but didn't - and the rest may also take a spill.

When you see an impending economic black hole, it's time to consider your potential strategies. If you focus on the financial markets, then you have to ask yourself if your clients are overly involved in these problematic areas, because when they run into a wall, so might your client. If you're not specifically in the financial area, then you should consider the possibility that within six to eight months, there is a good chance that companies may need to reduce their spending. To keep your business humming, that means you need to diversify, not just among different industries, but also among different companies.

If you have a significant portion - 20 percent or more - tied up with a single client, consider backing off a bit and not being so dependent. Generally diversification is a smart risk-management practice, but in times like these, it can keep you from getting crushed. When you spread the risk, you're not in as great a danger of that one big client cutting back on its work flow.

I'm not suggesting that anyone panic, and, obviously, I have no way of knowing what the economy will do exactly. I'm no financial expert, but I do read the business pages, particularly the articles that talk about broad economic trends. I also try to read between the lines and connect information I get from various sources. This is a case where, if I'm wrong, diversification won't hurt. But if I'm right, it could save my bank account. Maybe a little preemptive risk management could do the same for you.

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Tuesday, September 11, 2007

Address Problems When They Arise

A noticed a writer discussing a situation that has become too familiar - after taking an assignment and signing a contract, the client wants to change the terms. That in itself isn't necessarily unreasonable. Both you and the client (whether a corporation, a non-profit, or a publisher) anticipated certain conditions, but the client has realized that it made a mistake or that a situation had unexpectedly changed. Each side needs to remember that business, as well as life, has its twists and turns, and sometimes you need to be flexible.

However, changes may have an impact on how you and the client will work together. It may be that your contract addresses that; for example, it might provide payment by length, with additional material generating additional revenue. But what if someone wants to cut an assignment after you are in it and have committed the time that can no longer be contracted out to another client? Does the contract specify a minimum flat fee? Is there an expectation that as the scope drops, your pay drops? Does a flat fee bring into question whether an expansion will gain increased payment?

It's normal for questions to arise, and the time to bring them up is when they occur. Do not continue working until you resolve them. In the case I saw mentioned, the writer was asked to provide more material with an editor saying, "Oh, don't worry, I'll cut it down." Then, suddenly, the editor decided to run something twice the length and now, supposedly, had to get the top editor to authorize something. More likely, the editor in question was hoping the writer wouldn't say anything, and once the writer did, was now caught and didn't want to bring the situation up with the EIC. I had this happen recently with a corporate client that wanted to pretend that some commissioned work didn't happen, asking to be billed for one part and not another.

You cannot let this sort of situation pass, even if you think that you will permanently lose the client. Not only do you set a precedent, but you will feel terrible for letting yourself be bullied. There is a world of clients out there, and no matter what the size of one, you don't need to do business with it. Bring up the problem when it arises and don't meekly accept your fate.

This reminds me of a story an academic and consultant told me of a small manufacturer doing business with Wal-Mart. Over a few years, the retailer pushed for one concession after another. Eventually the small company said, "We're sorry, but it's no longer profitable for us to do business this way," and it walked away. The tiny margin on the volume didn't make up for all the hoop-jumping. Wal-Mart pointed out that it could find another supplier, and did. Interestingly, though, a couple of years later, the chain went back to the manufacturer, asking if it would be willing to take the business under better terms. What happened was that Wal-Mart had forgotten what the small company had remembered - that you have to look at the value of the entire relationship. When it went with another vendor, there were huge customer service problems that increased the overall cost of doing business, no matter how cheap the products seemed to be. But even if Wal-Mart hadn't come back, the company would have been better off, because it didn't back down from what it knew was its own interest.

Whether a client comes back or not is immaterial. There is more to life than money, and to keep your own self-respect, treat your business dealings as though you have the right to equitable treatment. If you won't, no one else will, either.

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Tuesday, August 28, 2007

Check on Invoices Early and Often - at First

I find that most companies have their own rhythms when it comes to payment - their own processes, cash flow, and requirements. Often the buyer at the client - whether editor, corporation, or organization - doesn't think much about those processes. Your first invoice with someone is always tricky because the accounting department has to get you into the account payable system as a vendor, which might require additional authorization than just getting an invoice signed and passed in.

So on that crucial first invoice, I check right when it's due - sometimes asking the person I dealt with, but more frequently, now, going right to the accounts payable department. These people aren't shy about talking money and actually expect to hear from their vendors with problems and questions. Call and ask how the process works and see if they have your invoice. Explain that this is a regular process you go through to make sure things are working smoothly and to better understand their process, and that you're not standing over their shoulder about when you will be paid for this particular check. If there is a problem, like someone not filling out paperwork or an invoice not arriving from the buyer, then you can start taking corrective action rather than waiting weeks more and getting your stomach in a know. It's just business - so just take care of it.

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Monday, August 6, 2007

There Be Business Monsters

I recently read of a writer who was working for a publication at a fifth her normal rate because the editor mentioned the possibility of a regular job with them. At the end of the first assignment, suddenly the job was no longer a possibility – at that time, of course. But the editor liked the writer’s work and wanted to use her again, though there wasn’t as much money available for the new assignment. And the job might just be available in the future. So the writer debated taking it the second assignment.

Welcome to the real world of business, boys and girls. No matter how “nice” this editor seemed, she was shameless playing the writer three ways from Sunday. I’ll entertain the benefit of the doubt that she might have been acting unconsciously, but my money would be on her knowing what she was doing each step of the way. In fact, I'll go so far as to state that each and every one of you, possibly recently, has been manipulated by a client (editorial or corporate) that you liked.

That's not surprising. We're all human and we all manipulate others to some degree or another. But many people drop their usual scruples and constraints when it comes to business negotiation. You might hear, "Oh, don't worry, just write it long and I'll take care of it," which translates into, "Give me more material so I can pick and choose, and I'll happily reward you by paying no more than I need to." It could be, "Why, no one has ever had a problem with our contract." Or how about this one: "I'm sure accounting lost the invoice. I'll get on it right away."

Such people are trying to get what they want from you while keeping their budgets in control. Don't be surprised: It's what they get paid to do. Top that with wanting to avoid an angry outburst from someone ill-used, and you've got a monster client.

The real problem for many writers, however, is wanting to believe that the client is a friend. But a friend hopefully wouldn't ask you to put aside your livelihood as a favor one month, let alone ask you to do it again the next, all so the friend could benefit. With friends like that, who needs enemies? It's just another reason to take the emotion out of the business.

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Monday, July 23, 2007

Controlling Those Client Expectations

A writer I know recently mentioned being up int he middle of the night, sending an email, and getting a reply shortly after, and then wondering if the act telegraphed a willingness to be an indentured servant.

It's a good concern to have. Most clients make assumptions, largely unconscious and unreasoned, based on your activities. The assumptions become expectations: "Oh, Cathy is up at that hour anyway, so I should have the edits by the time I walk into the office in the morning." When Cathy actually decides to sleep that night, for a change, the client doesn't see the file when he expected it, and so gets cranky. Now Cathy has a problem to smooth over, probably without knowing that it exists. In other words, Cathy won't be dealing with the unhappy client, who might decide to go elsewhere next time, even though his unhappiness is the product of his own self-generated expectations, and not from any promise that a writer has made.

In general, it's better to let the client wait at least for a little bit. When someone wants you to do something, deliberately schedule it and negotiate a different time or day, at least early on in the relationship, so you aren't taken for granted. When people give you initial deadlines, they generally have added some padding in to help their own planning. Don't push everything to the last minute, but make sure that clients understand you are busy, in demand, and can't automatically drop everything for them.

You can telegraph this attitude in a number of ways. I know one writer who never immediately answers an email, even when possible. Instead, everything sits for at least a few hours in the inbox, even if it's possible to send an immediate answer. Another writer uses the capabilities of her email system to write responses whenever and then to configure the email not to transmit until after a specific time in the morning. When someone calls, you could explain that you are busy and schedule a time later in the day to continue a conversation.

Sure, if you know the client and there's an emergency, jump right on something as a favor. But there's an old saying: When you want something done, ask a busy person. So make sure you appear appropriately busy so that clients appreciate what a break they get when you devote some of your time to them.

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Friday, July 13, 2007

When Things Go Wrong, Negotiate

Yesterday I mentioned that when things are going well, you should continue marketing with a focus on things you might not ordinarily do. When things go wrong, yes, you market, but you might also consider negotiation. Instead of taking whatever life deals out, see how much you can change more toward your advantage. I had a real example happen yesterday when a publication decided literally at the last minute because of a mix-up on its end that it needed substantial changes to a story. It was pulling the article from the current issue and now the piece was no longer accepted. I did start gnashing my teeth and began writing an email to the editor because I couldn't afford to disrupt my cash flow further than a couple of previous setbacks had already done.

I started the email a few times - got a line or two in and tossed it. Remembering my goal - to get money - I knew that venting at the editor would do no good. So I carefully crafted a message saying that we needed to talk and that while I understood there was a mix-up on the publisher's side because I got the go-ahead from someone new who hadn't known of the history of covering a given topic, I couldn't add another invoicing cycle on top of what I had already waited.

That was the first part of my negotiation strategy - because I wanted a practical resolution, not the emotional satisfaction of screaming at someone. Next, I said that if we could work out payment issues, I'd be happy to do a few extra interviews and the rewrite "to reflect what is now a different angle and article." I was clearly indicating that additional pay over the original fee might otherwise be in question. Could I have held out for more? Sure, but I was considering the most important goal in this case - while realizing that it would largely be a case of reslanting much of what I already had in a somewhat different way.

Later that day I received a counter-proposal - a one-third "kill" fee immediately, and the remainder on rewriting the article. Because I had overbooked revenue above my target goal, I could agree to that, maintain a relationship that I expect to be a profitable one (I already had a second assignment and had negotiated a 20% rate increase between the two), and still have the cash flow for the full goal, with the extra to follow in the future. So I agreed.

Did I get everything I wanted? Of course not! But did I get what I needed then? Absolutely. And if that hadn't done it, I would have looked at other possible negotiation strategies. Negotiating out of a problem won't always work - it didn't do a thing when early this year I had a client declare bankruptcy. But it's a potential tool that might get you out of a jam, so don't assume that you only use negotiation before you start an assignment. Any time an issue comes up - payment, or maybe a sudden change in an assignment or deadline - negotiation is useful. And it's a great deal more effective than tying yourself up in knots or posting on a writers' board how angry you are with someone.

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Thursday, July 12, 2007

Three Marketing Approaches When Things Are Good

I can feel it now - that warm comfortable sense of well-being that comes on when my schedule is full. But it's the same warm sense that reportedly comes on before you freeze to death. Whenever you feel that things are going right, you can depend that they will soon go wrong. So when things are looking up for business, that's when it's time to knuckle down and push forward on your marketing. However, there is a difference between times like these and when things are slower. Here are some ways to make your marketing pay off:
  • Replace clients. Because you're in a strong position, seek replacements for your least desirable clients. You aren't in a rush, so begin testing a few new clients, see which ones provide the most satisfaction, and then begin weaning yourself from the ones that aren't worth the time you spend on them.

  • Think long term. Different companies or publications take various amounts of time to bring into your business fold. When things are going well, you can begin developing relationships with the ones that take longer. These are often the greater prestige and better paying prospects.

  • New areas. You might have wanted to move into new areas - whether subjects, industries, or types of writing. When you go into something new, you often can't prove the value you can in more established areas. So when things are going well, you're in a position to take some lower-paying work, if necessary, to establish your credits in the new area so that you'll be in good shape to get the better pay. When things are leaner, you may be more dependent on the revenue from each assignment, and so won't necessarily have this opportunity to develop your business.
Marketing isn't a uniform and unchanging activity. Let yours be sensitive to where your business is at any time and shift your focus and approach to make marketing increasingly effective.

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Monday, June 25, 2007

The Dangers of Big Projects

At some point in your writing, you'll get involved with a project that seems great - a large sum of money (think five or six figures), work guaranteed for a period of time, and all looking right with the world. But the big-ticket job can, in its own way, be as dangerous as the assignments that pay too little:
  • No client should be too important. You don't want any one client to provide too much of your income; losing it can become a devastating financial blow. That's what can happen with a big ticket project, particularly if it's out of scale with the rest of your work. If something like this does seem likel