Originally published in May 2019. Last updated on April 8, 2025.
Difficult clients drain morale, take up valuable time, and can even cost you money.
Keeping them on your client list doesn’t do any good. It’s time to let them go so you can make room in your schedule for good clients and grow your business.
Follow these steps to learn how to fire a client professionally to stop them from negatively impacting your team, profit, and stress levels.
Steps for firing nightmare clients:
1. Assess the situation
The first thing you need to do before firing a problematic client is to assess the situation.
Since firing a client is a serious decision, it helps to review the events that led to this point by considering why you’re firing them.
If it’s a one-off disagreement, it may be worth thinking over before you move forward. But if they’re consistently grinding your gears, it’s probably time to let them go.
For example, clients are usually worth firing if:
They abuse, assault, or harass you or your employees
Abusive clients harm your business in many ways, creating a toxic work environment that eats at morale and drives away employees.
If a client yells or swears at your crew, sends an angry string of text messages, or otherwise bullies or harasses your team, it may be time to show them the door. A difficult client having a bad day is one thing, but verbally or physically abusing your staff members is another.
If people are rude to me or my staff, we part ways very quickly.
They’re impossible to satisfy
You know you do good work, but some clients would never admit it. They trash-talk you, leave bad reviews, or constantly ask you to fix things that don’t need fixing.
These clients make unrealistic demands and take up time and resources you could be using to work with better customers. If they’re constantly causing more trouble than they’re worth, it’s time to let them go.
[If] the customer has higher expectations than they are willing to pay for, it’s time to part ways.
They always pay late
Occasional late payments happen. Clients accidentally miss deadlines, invoices get lost, or unexpected circumstances pop up.
Even when they’re unintentional, they impact cash flow and make it difficult to cover your overhead costs and operating expenses.
But if you have a client who always pays late, short pays, or refuses to pay altogether, you need to handle it before it has long-term effects on your business. And that means firing them.
They make your job harder
It’s reasonable to have some back and forth with a client, especially at the beginning of your working relationship. But if they’re ignoring your requests and making it harder to do your job, it could be time to end that client relationship.
For example, if you clean houses and they’re constantly leaving out clutter, or you have a landscaping business and they never remember to unlock the gate. Or if they forget they booked with you at all, despite the appointment reminders you send before the job.
These clients make extra work for you, make you late for other jobs, and cause gaps in your schedule. This has a ripple effect on your business that impacts your team and the rest of your customers. Cut them loose before they harm your reputation as a high-quality service provider.
If it arises to a level where it’s stressing you out and just causing undue stress in your life, it’s time to fire that client.
They make unrealistic demands
Burning bridges is never easy, but sometimes it’s necessary. While it’s normal for some clients to ask for a discount or to ask about any other services you offer, don’t let things get out of hand.
Problem clients want additional services for free, or they refuse to take no for an answer, even when you’ve communicated clearly and effectively about what you do and don’t offer. They don’t respect your time, and they always want a little extra.
Like when they ask your team member to throw in a load of laundry during a standard house cleaning, or they expect your crew to clean up their kid’s toys before mowing the lawn.
If you set boundaries with a client and they continue to overstep, it’s time to make room for more respectful customers.
READ MORE: How to say no to a customer
I have had to fire a customer or two. One reason is if a customer constantly asks my staff to do extra work they know they should be charged for and get belligerent when questioned about it.
2. Review your contract and policies
If you decide to end the relationship with your client, it’s important to review your agreement first.
Your contract and policies will tell you exactly what you need to do to proceed. For example, take a look at your:
- Termination clause to determine how much notice you need to give and whether there are specific steps you must follow, like providing written notice.
- Cancellation policy to see if there are any fees or conditions tied to ending the contract, such as non-refundable deposits or final service charges.
- Payment terms to see how to handle any outstanding payments before terminating the relationship.
- General terms and conditions on your website, invoices, contracts, or estimates, to see how disputes must be handled or any applicable warranties or guarantees.
- Contract to confirm what you did and didn’t agree to in the original scope of work description and which terms the client accepted.
When reviewing these documents, pay attention to which terms the client violated. When you have specific examples of how they breached an agreement, it puts you in a stronger position to explain your position and provides backup if needed.
If they aren’t in violation of any terms or conditions, but you still want to fire them, it may be best to finish out your existing contract first. Then avoid taking on any new bookings with them in the future.
Another option is to raise your prices in the hopes that they either choose not to work with you again or start paying you enough to make dealing with them worth it.
3. Make a plan
Next, make a plan based on the reason you want to end the relationship.
For example, if they breach your contract, you may be able to fire them immediately without having to provide notice.
But if you’re firing them because they’re difficult to deal with but technically aren’t going against your terms, you may need to give them so many days’ notice as outlined in your contract.
Your plan may also involve tasks like:
- Creating and sending a final invoice
- Completing any remaining work
- Referring them to another service provider
- Scheduling a final meeting or call
- Returning any property, like keys
- Deciding when and how to communicate your decision as well as who should handle it
Remember, some situations, like physical or verbal abuse towards you or your team members will call for immediate action.
In those cases, it’s best to create a standard operating procedure in advance and train staff on what to do if a serious incident occurs. That way, they’ll know which steps they should take, like immediately leaving the property, involving law enforcement, and documenting what happened in a report.
4. Communicate the termination
Once you have a plan in place, it’s time to communicate the termination to the client. The most common ways to fire a client are:
- Via email
- In a letter
- Over the phone
- In person
However you decide to do it, choose the right person for the job and keep your client communication professional and clear with these templates and scripts.
Client termination email template
Firing a challenging client over email helps to avoid confrontation and provides a paper trail if the dispute turns ugly. Use this customizable template as a starting point:
Subject: Important update regarding our services with you
Dear [Client Name],
I am writing to address an important matter regarding our working relationship.
After careful consideration and extensive discussion within our team, we’ve come to the difficult decision to terminate our services with you, effective [termination date].
We understand that this news may come as a surprise, but please know that this decision was not made lightly.
We sincerely appreciate the opportunity to work with you and will do what we can to ensure a smooth transition during this process. If you would like, we can provide some names of alternative service providers in the area.
If you have any questions or concerns, please do not hesitate to contact us so we can discuss them further.
Thank you for your understanding in this matter.
Sincerely,
[Your Name]
[Position]
[Your Contact Information]
Client termination letter template
If your client prefers to communicate through physical mail, you can send a letter instead. Write it on company letterhead and keep a copy for your records to maintain professionalism and have documentation on file.
Dear [Client Name],
While I appreciate your business, I believe we are no longer a good fit for one another and that another company would better serve you.
As of [termination date], [Company Name] will no longer provide you with home cleaning services. Until that date, we will continue to provide the agreed-upon services every week as outlined below:
– Vacuuming
– Mopping
– Dusting
– Kitchen surface cleaning
– Window cleaning
– Bathroom cleaning
I would like to recommend [alternative business name] as an alternative service provider. I believe they can provide the level of service that’s right for you. You can contact the company at [phone number] or [email].
If you want to discuss this matter further, you can reach me at [phone number] or [email].
Thank you for your understanding and best wishes.
Sincerely,
[Name, Title]
[Business Name]
Client termination phone script
If you want to answer any follow-up questions or have a conversation with your client about the situation, a phone call can be a good option. But you should record the call if possible so that you have proof to reference if you ever need it.
If you plan to fire a client over the phone, use this script to guide the conversation.
Start with a greeting and then jump to the news
“Hello [Client Name], I hope you’re doing well today. I wanted to contact you personally to discuss our business relationship.”
“Firstly, I want to express my sincere gratitude for the opportunity to work with you. Your support has meant a lot to us. “However, after careful consideration, we’ve decided to terminate our services with you.
You can offer some reasoning if necessary— just keep it brief and to the facts
“While we’ve made every effort to meet your expectations, it’s in both of our best interests to part ways at this time.
“I understand this might come as a surprise, and I want to assure you that this decision wasn’t made lightly.”
“We’re committed to making this transition as smooth as possible for you. Please let us know if you need assistance finding a new service provider.”
You can offer to waive upcoming fees if applicable and to end the client relationship on a better note
“As a gesture of goodwill, we’ll waive any fees for the final service to ensure no financial burdens in our parting.”
End the call with gratitude and well wishes and confirm the termination date
“Once again, I want to thank you for your business and wish you all the best in your future endeavors.”
“Our services will officially terminate as of [date]. If you have any questions or concerns, please don’t hesitate to reach out.”
“Thank you for understanding, [Client Name]. Take care.”
In-person client termination
Meeting in person is a good option if you think there might be a way to resolve the problem or move forward.
For example, if you think having a conversation with the client about their unrealistic demands or inability to pay on time could lead to a mutually beneficial solution.
However, you should only use this method if you aren’t concerned about the client’s reaction or if you want to leave the door open for a possible resolution.
If that’s the case, use this script to create some talking points to follow before you meet.
- “I don’t believe we’re the best option to meet your needs right now. This particular company might be a better fit—here’s their contact information.”
- “There have been issues with our business relationship for some time now, and I think it’s best to go our separate ways. I’m happy to help you find another service provider that would be the right fit for your needs”.
- “The company is moving in a new direction. As a result, we’re wrapping up some of our contracts, including yours. We’ll complete your project, but after that point, you’ll need to work with a different service provider.”
5. Keep records
No matter which method you use to fire a client or what your tasks and process look like, you should keep records of:
- Quotes and estimates
- Contracts
- Invoices
- Emails
- Text messages
- Voicemails
- Photos or videos
- Meeting notes
- Call summaries
- Notices of termination
These documents come in handy if you ever need to formally resolve a dispute, like in court, and they can help reinforce your decision.
For example, if you’re on the fence about letting a client go, it can be helpful to review their history. That way, you can evaluate the overall situation, like whether they’re consistently problematic or if it’s a one-off incident.
Then, if you do decide to fire the client and they try to push back by refuting your claims, you’ll have documentation to back you up, protecting your business from false claims and chargebacks.
6. Avoid bad clients
The best measure you can take against a toxic client is to focus on attracting high-quality customers that fit your business by:
- Asking for reviews to develop trust with potential leads and add legitimacy to your business
- Building a referral program that encourages high-quality and happy customers to send work your way
- Getting repeat business from clients you know and enjoy working with
- Creating clear policies and communicating them upfront to outline expectations from day one
- Requesting deposits upfront to get new customers to invest in the work upfront
By being proactive and focusing on bringing in the right kinds of customers, you leave less room for problem clients, leading to more consistent payments, better working relationships, and happier teams.