Want to improve profitability, reduce stress and preempt
malpractice lawsuits and billing-related disputes? Drop
uncooperative or slow-paying clients and use a formal client
selection process to avoid taking on new ones.
How do existing clients rate?
Begin refocusing on client quality by reviewing all existing
clients to determine whether any of them are weighing you down.
First, apply the 80/20 rule to identify the 20% or so of clients
that likely account for 80% of your revenues. Research has shown
that these clients often require only 20% to 40% of your time -
making them even more appealing.
Next, assign your clients letter grades of A, B, C or D. Clients
in the A category are the cream of the crop: They pay their bills
on time, provide interesting work and send you valuable referrals.
B clients have some minor flaws (perhaps they occasionally operate
in "crisis" mode), but are otherwise desirable clients. C
clients can be uncooperative or less lucrative or
