What do you do when a supplier goes out of business or runs away with your money?
Fortunately, this has only happened to me once in my long career, when a supplier closed the business and took off with the deposits. Unfortunately, it is a situation that designers may face, and a subject that is often taboo when it comes to designer-client interactions.
In my case, I stepped up to the bar and dipped into my own pockets to pay the client for the losses incurred as a result of the supplier running off with the deposits. I did this, despite the fact that the contract specified that I was not responsible for covering that type of loss.
How does one avoid this sticky situation?
By not putting all of your eggs into one basket and also making sure that you are working with loyal suppliers and have a good sense of their character. Do your research before working with a new supplier, and always ask for references.
Keep in mind that insurance can cover your loss. There are people out there who can help you run those crooks down!
Is there anyone out there who’s been burned? Share your misfortune and let me know how you dealt with it.