💰 Always take at least 50% upfront — and the balance on completion.
🚫 No exceptions.
Years ago, I did work for a company subcontracting for Group 5.
🏢 They were big.
📈 Established.
✅ “Good for the money.”
That’s what everyone said.
Then Group 5 went under.
📩 And I received my first:
“We regret to inform you, we are liquidating” letter.
Here’s the problem:
🖨️ I had already paid out of pocket for all their printing and branding.
🤝 I trusted the name.
📊 I trusted the size.
🔗 I trusted the relationship.
And I paid the price.
Here’s the lesson:
⚖️ It’s not about trust. It’s about business.
💸 Cash flow keeps your business alive.
🛡️ Deposits protect you from risk.
⚠️ And risk exists — even with big companies. Even with “safe” clients. Even with people you know.
📝 Make it a rule.
📄 Put it in writing.
🔒 Stick to it.
If someone pushes back on a 50% deposit, that’s not negotiation — it’s a 🚩 red flag.
Professional clients respect professional boundaries.
Learn from my mistake.
⏳ Protect your time.
💵 Protect your cash flow.
🏗️ Protect your business.
50% upfront. Balance on completion.
🚫 No exceptions.
—
Let me add something else.
I was once sitting with the CEO of a product company and asked him,
“What’s your cut-off for credit?”
He paused.
Pushed back his chair.
Walked to his desk.
Came back with a stack of letters.
He said, “Look at this.”
💰 1 million — sorry, we are liquidating.
💰 2 million — sorry, we are liquidating.
Then he said,
“Who would’ve thought these companies would go under?”
Luckily, they were big enough to absorb the loss.
Most of us aren’t.
⚠️ Always be aware when clients start buying way below or way above their usual patterns without clear reasoning.
Growth is good.
Unexplained spikes are risk.
Stay sharp.
Protect your margins.
Protect your cash flow.
At the same time, you as the consumer, must check out a business before engaging them, as some people will take your deposit and disappear.
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