As a consultant, you will have lots of opportunities come your way - essentially every project / client you take on is a new opportunity. So it's important to recognize the 'red flags' that signal which clients to avoid, and projects to turn down. You will be tempted to accept every job that comes your way, especially when you are just starting out, but this is a trap. Remember, you only have a limited amount of time to bill out. Use it wisely! As with personal relationships, getting into a bad relationship is worse than dodging it altogether. Below are the warning signs I look for when evaluating a new job or client.
"Our last programmer (consultant) won't return our calls" - Sometimes the programmer is at fault, but I always get suspicious about this. It often means the client makes unreasonable demands, doesn't pay bills, or both. Find out as much as you can about the situation - if you can, talk to the programmer.
"The job is 90% done." - This is usually a statement from the client perspective, or based on what the programmer told them (before he left the country). NEVER bid on the final 10% of the job, unless you've gotten "under the hood" to see what is really left to do. Often times there are entire features that look 90% done from the front end, but are just empty shells with no code on the back end. In a case like this, I wouldn't bid on the job, but offer an hourly rate for the work. It's the only fair way for both sides. I'd prefer if that client says something like this: "We *think* it's about 90% done, but we're not sure, and we're prepared to face the reality that there's much more to do." Then I know I'm dealing with a realistic client.
"We have a tight budget" - This means the client has no money, or very little money. They will usually nickel and dime you, and in the end, may not be able to pay you. There are plenty of clients with money - find them. This is a matter of justice.
"This job should be easy...." - In this case, the client thinks he knows how long the job should take. Approach these situations carefully. Many clients "have a ballpark" idea of what a job should take, but you don't want to be looking over your shoulder and explaining ad nauseum why a job took longer than expected. The fact is that unexpected roadblocks crop up during projects, and the client should expect that from time to time.
"Revenue share..." or "stock options" - Never work for equity, or revenue sharing! Never! If the client had a viable business model, he would go and get the business funded, and just pay you for your work. If the business is a gold mine, why is he willing to "give it away" to a lowly programmer like you? Another major problem with these is that often times the person with the "great idea" needs you to invest a lot of time before they do. An example is if you are programming a website and have dozens of hours in before your "partner" has to start promoting / selling it. If you partner gets bored, or moves on to another project, he may never do much with the site, and your time is lost. Skip these opportunities, for ones that pay cash.
It's good exposure / experience! - As with the last item, avoid these promises. There's no way to judge whether your participation will lead to more work, or exposure to paying customers. Also, on any non-paying jobs, the client has no concern about how much they ask you to do, how much of your time they waste, etc., because your time is free. So the job may never end, or become very frustrating.
"Your rate is a little high" - If you have set your rate competitively and fairly (and have clients willing to pay it), then hold your ground. My standard response when challenged, is something like "Well, I realize it's higher than some others, blah blah blah, but I can recommend someone else to do the work, if you prefer." That always makes them back down.
No payment upfront - always get some money up front for large projects, especially with new clients. This serves to show that the client is serious about the job, and has some money. I used to ask for a minimal amount, or nothing, being happy just to have the work. Believe me, get a significant amount up front. I had the nicest client in the world bounce her downpayment check (less than 10% of the project she was asking me to do), then lie repeatedly about sending / transferring me payments. To her credit, she eventually made good, but it took about a year's time. Now I ask for larger % (at least 25%) up front.
Bottom line: It's OK to turn down some clients. You are not obligated to pursue every lead, win every contract, at any price. There are plenty of good clients out there - be selective!
