• Tanya S Osensky

How I Help: Consulting Contracts and Exit Strategy

Keith is a business consultant with an established practice. He was having problems with a customer who habitually paid late, recently getting behind by over 60 days.

Unfortunately, the contract had a 3 year term and didn’t specify any remedies for non-payment. Keith could terminate for cause, but he didn’t want to lose an otherwise good, long-term customer.

I recommended a strategy where Keith would offer to not terminate the contract in exchange for an amendment with more precise payment provisions that included the right to suspend services and collect late payment interest.

Just like Keith, I’ve learned a lot from my mistakes and now I don’t write a single contract provision without thinking what might happen.

If you are a management consultant who is targeting corporate clients, but they want 90 days or more payment terms, ask yourself: do you want to be a bank or a consultant?

Recent Posts

See All

Julie is a business consultant who got into a bad spot with a client. The client has gone silent, won’t respond to calls or emails and hasn’t paid the last invoice. Julie is not sure what’s wrong exac

Victor was working as a 1099 contractor on a large-scale engineering project when his client said he must attend an HR training workshop given to all the client’s employees. I advised against it. Why?

Contracts. Root canal. For a lot of people, it would be hard to choose which they'd rather avoid more. When I was in law school, I dreaded the contracts class. It was mind-numbing, I thought. I never