Getting Paid

There have been only three times when I had difficulty getting paid. All were in the mid-1980s when I was just starting out:

1)   My first corporate customer was a very small pharmaceutical company. The company wanted the photos shot on transparency film because the images were for a slide presentation. I asked if they also wanted prints. No, they did not want prints, only slides. The job was done and the slides were delivered. The customer refused to pay because I did not deliver prints.

It was only then that I found out, from the person who referred me to this customer, that this company had a history of being difficult, always demanding discounts, and always paying late. The customer took a 50% discount when they finally paid many months later.

2)   I shot an advertising photo for a Toronto restaurant. The restaurant owner never paid. So I filed a lawsuit in small claims court. I then found out that the owner was also being sued for not paying rent or utility bills. It also came to light that the owner had several “undocumented” people working for him and they were paid only $2/hour. A few weeks later I found out that the owner was facing criminal charges for allegedly assaulting some of his female employees. A few more weeks later, the restaurant was shut down by the city. This was the only time I didn’t get paid.

3)   After a photo of mine was published in a boating magazine, someone contacted me and asked to buy a large print of the photo. The image was shot on transparency and a 24″ x 36″ Cibachrome print was made by a pro lab. The matted and framed print was delivered along with an invoice for $900 which they never paid.

I sent repeated letters by registered mail. Finally I sued the person in small claims court.

The first court appearance was with a mediator. The other person said I refused his cheque and demanded only cash. Then he said he offered to pay in installments but I refused to accept that. For my part, I had a copy of my invoice and copies of all the registered letters and signed delivery receipts.

The mediator took perhaps five seconds to rule in my favour and ordered the other person to pay $900 plus my legal expenses and interest.

The mediator asked me to stay behind. As soon as the other person left, the mediator said to me, “What’s wrong with you photographers?!” He went on to say that he has dealt with many unpaid photographers. “Always get the money upfront. No money, no pictures.”

That advice has stayed with me ever since.

Adventures in Getting Paid

After the mid-1980s, I’ve never not been paid but:

1)   The person who had hired me to photograph a health conference, left for a sabbatical the very day my invoice was delivered. No one else at the Swiss-based heath organization knew who I was. I got paid a couple months later after the company tracked down their vacationing employee who verified my invoice.

2)   My contact person at a British data company never returned any of my emails for payment. After three months, I emailed the company’s CEO. I mentioned that without payment, they couldn’t legally use any of the photos, which were already on their web site. The CEO actually returned my email very quickly and payment arrived an hour later.

3)   My bank (RBC) has refused cheques from a US bank because the teller didn’t recognize the bank (which is/was one of the largest banks in the US). RBC has also refused cheques because a teller didn’t like the paper the cheque was printed on. Thankfully cheques are becoming obsolete as e-transfers become more common.

4)   It hasn’t been all bad. One company paid me by limousine.

A couple days after a job for a car manufacturer, a black stretch limo pulled up in front of my house. The driver was dressed in the stereotypical chauffeur attire: black suit, black gloves, small black hat. I opened my front door and the driver handed me an envelope. I had no idea what was happening until I opened the envelope. Inside was a cheque with the car manufacturer’s logo on it. I have no idea why they sent the cheque by limo but I was impressed.

Easy Payments

Credit cards and e-transfer make payments quick and easy. Inform customers in your quote and invoice that payment should be made by credit card or e-transfer. My corporate customers typically pay within a week and retail customers pay before delivery of their photos.

You can ask retail customers for a deposit before the photography takes place. Always get paid in full before delivery of any pictures.

Some corporate customers might need a pre-invoice to process a deposit.

For high-expense jobs or when working with assistants or stylists, always get a deposit to ensure everyone gets paid promptly. Deposits are also recommended for out-of-province clients. I’ve had clients pay in full before, during, or right after a shoot. It’s always best to get paid as soon as possible.

Set up your bank account to automatically receive e-transfers, and consider using a separate email address for this purpose. My bank (RBC) charges a junk fee of $1.75 per e-transfer. Bank fees are tax deductible.

You also need to accept credit cards. I switched from PayPal to Square because Square allows in-person payments (unlike PayPal in Canada) and seems to have better online invoicing and depositing. My bank (RBC) charges a fee each time Square transfers money to me. There are many other online payment services available.

Credit card payments have a transaction fee, typically just under 3%. For example, on a $5,000 invoice, a 3% credit card fee will cost you $150, compared to an RBC e-transfer fee of $1.75. Credit card fees and bank transfer fees are tax deductible. Many businesses add 3% to 5% to all prices to compensate for the credit card fee.

It’s only a job if you get paid.

If you don’t get paid, you’ve wasted your time and effort and you’ve lost money.

Get the money upfront. No money, no pictures.