Business Security: The Pre-Commission
Everyone involved in business transactions, especially on the Net, are wise to take precautions when it comes to preserving their professional integrity. This extends from one’s personal and professional reputation to getting paid what one is rightfully due.
This last one is considerably crucial, as compensation is a major factor with those who provide services to provide their own livelihood. Online contracting, such as freelancing, relies on a trust because clients are unknown. In this particular type of case, contractors quite often request, even insist, on a certain percentage up front before work begins. This serves as a form of insurance so that some compensation is assured.
But is there anything illegal about this?
This practice, in all truth, is prevalent and common among many in various fields, from freelance writing to artwork to even web design. Such a request is an everyday part of business between professionals, so it has come to be routine, even expected. Some professionals would even question, with concern, those who don’t make such requests.
One good example would be the landlord who demands a deposit and first month’s payment prior to the renter moving in. As a matter of course, this is typical to ensure that the rented space is protected with some security. If the tenant should happen to disappear after causing damage, the landlord will have compensation to have the space repaired. This is the landlord’s right to request.
With the case of freelancers, a certain pre-determined percentage, such as 50%, or a deposit fee is asked for when the deal is arranged (before the onset of the work). Many experienced contractors offering a service will as for some compensation in the possible case that clients have a change of mind or has a change of plans prior to the completion of whichever transaction is in progress at the time, or in the case that the client should be involved in unethical or underhanded behavior, such as trying to get work cheaply or for nothing. This is a frightening thought, but, unfortunately, it does happen often. The pre-commission just protects the service provide and tests the integrity of the client.
This practice also serves to indicate to other that one is looking out for oneself, which is to be admired and respected, especially for a professional. It is responsible! Everyone in business sees the significance of this and has deemed acceptable. Anyone who would be offended by this proposition is either new to business or has ulterior motives, and they should be questioned and/or avoided. It is because of this kind of person that such pre-payments are requested by service people in the first place.
Protecting oneself always makes sense and assures survival for every honest worker. Mistreatment of anyone is senseless, and such a reputation for unsavory tactics will sink businesses very fast, especially when the Better Business Bureau investigates such practices. Let others think that pre-commissions are unreasonable—in the end, those requesting them will be safe and represent greater integrity.
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