Do you believe it's okay to fire a customer?

Accountants & Bookkeepers - Sorting out the Numbers mess   I don't know if I would call it Fire the Customer.   Is this EMOTION  issue, property issue, Rights issue, or Purely a "Money" Issue.  Did we have a discussion with the customer to outline what is not working? Or acceptable-  To me Giving written notice of the issue is key. After getting written notice (i.e. Stop creating NSF payments, as it is Contrary to the terms of our contract).   It gives the customer an opportunity to Request forgiveness or Leniency, For whatever reasons.  Normally this starts a back and forth dialogue, to reach an "Agreeable Understanding for the way forward".    To release a client, I think there are Levels of ending the customer relationship. 

1st level:  Small disagreement, agree to disagree, and Part ways as friends. 

2nd Level: Major disagreement, Cannot reach any agreement- Then utilize what method your contract dictates- Such as in our Contracts, the clause is to Use an unbiased 3rd party Mediator-   As found at the(BBB)  Better Business Bureau.  Both Parties, agree to accept the findings.  The more ego-driven method, would #3

3rd level: "See you in court".  With the thought in mind, let a Judge Declare a Finding- Or Responsibility of Costs (determination who is owned what) . 

4th level: Is beyond #3.  Court, followed by Enforcement of the Court Order.  You can well imagine what "Enforcement of a Court Order " would look like in your City.

I guess it depends on what you sell and how much of your time that customer takes. If you sell a product, just deal with it. It shouldn't take all that long. If you sell a service, and nothing, but nothing, satisfies them, AND you have tried your best to correct the situation, you may want to suggest another provider. Do that by suggesting that the new provider has different vendors, has different training, etc. and that it is their best interests to go to XYZ on Main Street. Never burn a bridge!

There are on very rare occasions that you may need to fire a customer. I had to do that 2 times over 10 years but both came back a month later like I had never said that our relationship wasn't working(haha) then they both drifted away luckily. I don't like doing it but the one woman complained every single time that we weren't giving her what she ordered and it was entirely untrue since I was making her orders most of the time and it was getting old. It felt like she was only trying to get free food:( Then it turns out that there is a little dementia going on:( So who knows what is going on in peoples lives but I bend over backwards for my customers and I think they know that!

As a Business Coach I routinely advocate firing customers.   It one of the first areas with a new Client that I investigate!   This generally leads to enhanced margin, profitability and a significant morale boost to your Team.

What are the Characteristics of your Ideal Customer?   It usually boils down to 5-7 key characteristics.  Like: Values our product or service, or Not being price focused, or Pays on time, or provides data and responds to inquiries in a timely manner, or ..... 

Once you know the characteristics you pass each Customer through the screen and determine if they are an A, B, C or D Customer.  D-Customers are sometimes referred to as PITA (Pain-in-the-A__ )Customers.  I say the energy that you spend on a single D Customer is equal to 2-3 A Customers.  Plus they sour your employees as to how well they enjoy the company.

If you have a Full Funnel of prospects ... pass prospects through the funnel too, prior to accepting them into your family.  Does the prospect meet YOUR standards to provide your service or product and work with your Team?   This is a Real morale booster for your Team if they understand that YOU understand All Revenue is NOT good revenue.

Do you have a Client Commitment Statement, that you review with a new Client as part of your Client Onboarding Process. (you do have a Client Onboarding Process don't you?)  Sets the tone and expectations of how your ongoing Relationship will function.  Copy of mine as an example, on request.

Absolutely! It's been my experience if you see the signs early enough to get it done right away before they can cost you anything.

Humm let`s see ... if i am having a great glass of wine that i enjoy drinking (in this case a customer) well i will do whatever to keep it,but in the wine is poor quality i`ll get a rid of it .
the relation between customer and supplier is like ...you know... Right !
just finished my wine .
Aime design for wine .com

It is absolutely ok to release a client.  

Some clients want your service for nothing. No matter what you do for them their bottom line is to pay you One dollar. The easiest way I have found to rekese such clients is to raise the rate. There are always more Clients willing to pay your increased rate and over time you will have happy well paying clients that that will appreciate whay you are doing for them to make them a success. 

Yes, sometime someone will take advantage of your goodwill and want all of your hard work, talent, skills or other services free over and over again. When I offer this I am sincere, follow-through, but I won't allow myself to be used. I always post a Free Introduction free question with my clairvoyance. If answered already,  I refer them to someone else. This allow more time for others I can help.. 

I believe if you do not have value to a consumer that they will not even bother with your services. If you fire a client for believing they are disrupting your business than it’s your fault for failure of communication. Relationships build clientele period. Lack of communication of how you work and not addressing your expectations will leave your clients in limbo and ultimately set you up for failure. 

When a client sucks up your time to the detriment of other clients and that client appears to always be unhappy with what you've done for them, even when you provide them with preferred discounts and freebies, it's time to "fire" them.   Do it with kindness and respect., and you'll find it will be mutually beneficial.