I haven't had a lot of clients yet so my experience is limited, but I have one whose behaviour is now beginning to disturb me. There are always difficulties getting his invoices, receipts, stubs etc in a timely manner (sometimes passed to me a seriously long time after the transaction; often light on details) so I cannot always be confident that my books really show his business activity or financial position at any one time.
Without going further, I would be interested in other people's wisdom regarding what client behaviour would ring alarm bells for them and which should lead a good bookkeeper to seriously consider dropping them - for self-preservation, if nothing else.
This is an interesting one! I did drop a client due to alot of reasons, lack of paperwork, oftern VAT paperwork turning up at least 6 weeks after the VAt should have been submitted, I use to make enless calls and send texts to him to get it! Always stuff missing, in the 2 years that I dealt with him it was never accurate. Also he never paid me on time, I use to add money onto his bills (although he never knew) just for the fact that I would have to spend about £10 on calls just to get my money! I should have realised when I first started doing his books that he never paid any suppliers at all but I was inexperienced at the time and thought he would get better! But he didn't it just got worse.
In the end there was a few things that happen and he was given very poor advise by his new accountant on how to avoid paying VAT and tax!!! Obviously when he told me of his new plans I immediately dropped him, as I am not getting involved in any dodgy business. To be honest he wasn't that bothered when I dropped him, it was as if he had been expecting it. His business will never be very good due to him, so don't feel guilty about getting rid of them, you will feel better once its done believe me!
There are plenty of good customers around and I am lucky that all of mine are very good, not only with their paperwork but with payment as well.
Hello Amanda, So, to summarise: bad payer (for suppliers and you). Difficult to contact; selective in passing you the documents you needed to do your job; very late in passing you VAT liabilities to declare - this is beginning to sound familiar!
I will try my hardest to help even the most disorganised client but the one thing I want to avoid - at all costs - is to be seen to be connected with the affairs of an evasive client.
Thank you for your comments - they're giving me pause for thought.
He drove me and the old accountant mad in the end, the thing that I learnt from it all you can try and educate them but some people just don't listen and think they know best. He always gave the impression he would change and I really tried with him but in the end he had to go. I have no regrets about getting rid of him wish I had done it sooner!
