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wmckim asked:
Hi Zack, do you have any tips on how best to deal with cash flow problems from long term/big jobs? Do you have a credit line for these situations or do you give the client a specified payment schedule to avoid any problems? Is it best to avoid these bigger jobs early in your career altogether?

Ok, it’s never best to avoid big jobs! Are you stupid? Haha! JK. 

At the start it’s hard because you don’t have the cash or credit to cover your travel / overhead on a big job. Then and now I get a deposit up front before hand for large jobs. That initial deposit then goes to the up front hard costs like hotels, air travel, gear rental, etc. 

You just have to be smart with your money. You have to be disciplined. You can not accept a deposit and then spend that money elsewhere. Get the job covered first. I’ve seen wedding photographers get in too deep by accepting all the money owed for weddings, spending it, then not having the cash to order the albums and/or prints that were promised when the client paid them months in advance. You have to “pay” that money to a savings account and then forget about touching it until everything is delivered for the job. Car blows up and you still owe a client albums? Looks like you’re walking for awhile. DO NOT spend that album money on your car hoping more money will come in down the road to cover it. It’s like a ponzi scheme. Avoid that at all costs.

Cheers,
Zack 

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  1. zarias posted this