Turning down cash.... What????

“A bird in hand is better than two in the bush.”

I’m not sure where that little piece of wisdom comes from, and while I am sure it is a great analogy for hunting it is not advice I give my clients.

This weekend a client reached out to me with a conundrum and I did the most counter intuitive thing any CFO can do - I advised them to turn down a sale.

A potential client had appeared and out of the gate wasn’t willing to engage in their process that helps them size up a client to make sure it is a good fit for both parties - red flag No.1

Then they wanted an estimate before they even talked - red flag No.2

Then when my client said they would get back to them shortly after discussing it with their team they let them know that their budget was a 1/3 of my client typically charges. - red flag No.3

Could my client accommodate this person, sure, but the more important question is should they?

And I get a firm - hell no.

A person who isn’t willing to engage in YOUR process isn’t the right fit and will be a nightmare client for the duration of the engagement.

Depending on what you do an estimate can be given without conversation but for most of my clients the reason for the conversation is to size up if this is a person or organization they want to work with and if what they are asking for is what they actually need to achieve the desired results.

A right fit client is exponentially more valuable than just the cash they bring in.

1/3 your normal rate - Nope. Full Stop.

Sometimes we are hard up for cash so we think it’s a good idea to take a client because at least it’s cash - and who wants to leave cash on the table when things feel tight?

I get it. I’ve done it, as recently as last year even.

The cost of saying yes to ”bad” money is more than just the time you spent working on a project that drains you instead of fills you.

It is more than having to deal with unreasonable demands from a bad fit client, it is more than the petty arguments and broken equipment that always seem to happen at when you’re at your most stressed.

It's the OPPORTUNITY COST.

While we are so busy fulling promises for wrong fit, underpaying clients we are missing out on the RIGHT opportunities. Some willl pass us by because we can’t see them, others we let slip thru our fingers because we now don’t have the capacity to take them on.

A bird in hand is NOT better than two in the bush in business.

I KNOW that by saying no to this opportunity this weekend my client is opening up space for something aligned to come in. A client that eagerly engages in their process, an expansive conversation that leads to an even bigger engagement than either party anticipated and delight in paying the prices that are commiserate with the expertise and value my client brings to the world.

That is one of those birds in the bush - yes it can take a little more coaxing but it is 100% worth the effort.