- You will get overwhelmed: you may be thinking, “What? I need more clients, more work!” but the truth is, you need to be selective. If you can’t dish out what your client wants in a timely manner, that client is not as likely to come back to you in the future.
- “Hire” the right clients: Jason Fried mentioned this before. The trick is learning when a project is too big to handle, the client is too difficult to deal with (including things such as language barriers), or when you know you don’t have time.
- Be sure you have time: if you can’t devote time to a project, your client will be less likely to come back to you in the future; if you’re unsure whether you’ll have the time to devote to the project, the worst thing you can do is accept the project.
- Always sign a contract: if you don’t, there are some obvious problems that could arise, but it’s also important that you specifically outline what you’re doing, and stick to those items outlined. Anything more will require a new contract. If you don’t sign a contract, your client is going to get more out of you than you wanted to give at the price you quoted him at.
- Learn to how say “No”: saying “No” the wrong way will not please your client, but saying “No” the right way may possibly lead to future work from that very client (or other clients via word-of-mouth) because the client will understand why you had to say “No” and may request your services in the future.
Overall, you want to stick to decisions and don’t change them. Make a contract to define exactly what you’ll be doing for the client, and don’t do anything more than that. Decide if you have time or not, and don’t say “maybe later” because that means “no” and that’s not the way to say “no.” Stick to your work, too, though — your client wants you to do something for them, so do it, and don’t procrastinate.
Update: I just thought I’d give a little testimonial. Recently (very recently — June 16th-ish) I had to say no due to previous engagements which didn’t permit me to devote the time necessary to a project for a client. Because of the way I approached the client with my “no,” I was surprised (yet pleased) to read that, quote, “Something might still work out at a later date.” If you treat your clients right, they’re going to come back. People will understand when you have to say no if you approach them in a straightforward but kind attitude.

Great words of wisdom Jona.
June 14th, 2005 at 8:39 am
I can tell you’re a guy who was once up to his eyeballs. Selectivity in customers is a good thing, but there is a very fine lined which mustn’t be crossed.
Contractors — home repair and construction — are famous for this so I’ll use them as an example. When things are flush many of them cop an attitude and actually become arrogant, even disrespectful. Then, when things are tough in that industry, they begin to wonder why they have no stable of customer or supporting foundation.
Sometimes they wonder this through the whole novel of their business, right up to and including Chapter 11.
June 14th, 2005 at 5:20 pm
I agree.
In each of my client contracts and agreements I clearly label and outline in 3 sections.
What David Brent will provide:
..
What CLIENT NAME will provide:
..
Total bugdeted hours:
..
June 15th, 2005 at 7:39 am