Tax Pros – Fire that bad client – Here is what he/she looks like!

It’s time we had a heart-to-heart about those clients who make our lives miserable. You know the ones – they’re always late with their paperwork, they argue about every deduction, whine about our fees and they think we’re their personal servants. Well, I’m here to tell you that it’s time to cut them loose! Here are seven reasons why firing your worst clients is the best decision you’ll ever make.

1) They’re always late. These clients are the ones who show up on April 14th with a shoebox full of receipts and expect you to work miracles. They don’t respect your time or your expertise, and they’re always surprised when you can’t get their taxes done in 24 hours. It’s time to show them the door!

You can’t train these people. If you could, it is not worth your time. It was the best decision I ever made to fire the bulk of the people who did this to me year in and year out. It actually made the next tax season the best I ever had.

2) They’re never satisfied. No matter how hard you work or how many deductions you find, these clients are never happy. They always want more, and they’re never willing to pay for the extra time and effort you put in. It’s a losing battle, and it’s time to wave the white flag.

These are the “Got a minute” people. Because you don’t want to offend them, you take their call (even though you knew you shouldn’t have) and 45 minutes to an hour later, you finally get to answer their question. Then YOU feel guilty about sending them a bill. Your time is valuable (and limited), don’t let people take advantage of you and waste your valuable time. Did you ever think that you could have used that time to get work done, that you get paid for and maybe gone home on time and done something you enjoyed?

3) They’re rude and disrespectful. These clients treat you like their personal servant, and they have no problem letting you know when they’re not happy. They yell, they curse, and they make your life miserable. You don’t need that kind of negativity in your life!

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Not only do they do this to you, they do it to your staff. Then you wonder why Sally or Joe left. You never thought it was because of the rude client and that these people take advantage of you and they pay for it by working late on nights and weekends.

4) They don’t take responsibility. These clients are always looking for someone else to blame for their tax problems. They never take responsibility for their own mistakes, and they expect you to fix everything for them. It’s time to let them take responsibility for their own finances.

If something goes wrong, you never told them and they are quick to throw you under the bus. People have selective memories and only want to remember what is important to them.

5) They’re not profitable. Let’s face it – some clients just aren’t worth the hassle. They take up too much of your time and energy, and they don’t generate enough revenue to make it worth your while. It’s time to focus on the clients who appreciate your work and are willing to pay for it.

You have to look out for you, your family and your staff. If they aren’t making you money, you are losing the opportunity to work with a client that wants to work with you and will pay you more money for that right to be with you. Doesn’t that sound refreshing and nice?

6) They’re not a good fit. Sometimes, a client just isn’t a good fit for your firm. Maybe they have a complicated tax situation that you’re not equipped to handle, or maybe their personality just doesn’t mesh with yours. It’s okay to admit when a client isn’t a good match and to refer them to someone else.

Don’t be afraid. I know it is scary to fire anyone, yes, even if it is your mother or brother, but for your sanity, if they don’t mesh with you and your personality, then they have to go find someone who is a better fit.

7) They’re holding you back. When you’re spending all your time and energy on your worst clients, you’re not able to focus on growing your business and attracting new, better clients. It’s time to let go of the deadweight and focus on the clients who will help you achieve your goals.

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Ever had those days where you work so hard and you had to deal with some demanding, disrespectful and just mean clients that sap all of your energy? What do you think life would be like if you did not have them.

So, there you have it – seven reasons why firing your worst clients is the best thing you can do for your business and your sanity. It’s not always easy to let go of a client, but trust me – it’s worth it in the long run. You’ll have more time and energy to focus on the clients who appreciate your work, and you’ll be able to grow your business in ways you never thought possible.

And hey, if you’re worried about what to say to these clients when you give them the boot, just tell them that you’re “restructuring your client base” or “focusing on a new niche.” They’ll never know the real reason is that they’re just terrible clients!

So go ahead – fire those bad clients and watch your business soar!

Next week I will tell you my client horror story and the best thing I ever did.

Have a GREAT day,

Cordially,

Dan

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Dan Henn, CPA, CTR™
Managing Member
Tax Pro Academy, LLC

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