Re:Never Be a Customer's Doormat
by otoburb on Tuesday August 06, 2013 @02:35PM
(#6168318)
>> It is not uncommon that, for a new project, we already start working for them before anything is on paper
This is typically known as starting work "at-risk". You're right that it's a great way to show you're a good supplier. Usually starting work at-risk comes with the caveat that if the customer doesn't sign the contract and/or issue the PO in 2-3 weeks then work will stop.
You are very lucky to be able to pick and choose your customers and work with only those that your company trusts. Not all industries have that option open to them.
This is typically known as starting work "at-risk". You're right that it's a great way to show you're a good supplier. Usually starting work at-risk comes with the caveat that if the customer doesn't sign the contract and/or issue the PO in 2-3 weeks then work will stop.
You are very lucky to be able to pick and choose your customers and work with only those that your company trusts. Not all industries have that option open to them.