As business owners, we have a responsibility to pay our debts. Whether it’s paying our bills, finalizing payment for a service provided, or paying our employees we are the ones who are accountable to ensure that all business expenses get paid in a timely manner.
Withholding payments from any person or company will only hurt your business in the long run. I will go into more detail at a later date but for now here are my reasons why:
- You will lose trust in the person you are withholding payments from. Losing trust in employees and clients will rapidly push your business over the cliff - you’ll be committing corporate suicide.
- It will be difficult to attain recurring business. Who wants to do business with someone who doesn’t pay them? I sure don’t.
- If you’re trying to play hardball to get something in return, well you’re playing the wrong game. When it comes to withholding money from someone it will only make them livid and will not do any good for your business.
- Referrals? Yeah right! Who would refer a business that doesn’t pay?
- It will hurt your reputation. If you’re a company that has a reputable name, then you will quickly diminish all reputability when you make it tough on people to receive their payments – word will quickly spread.
If you’re a business that doesn’t pay your debts then rethink what you’re doing and change this immediately - your business will improve tenfold.
