No customers = No company

I did a google search on this phrase, and got these results.

I read a few, and agree with most, but found one thing quite confusing.

No one ever defined customer.

It was presumed that a customer was someone who paid money for your services.

I would refine that further.

Customer is the one who SIGNS the CHECK, makes the purchase decision. This is sometimes, but not always the USER, beneficiary, etc.

Also, there are GOOD customers and BAD customers.

Good customers have reasonable expecations that you can meet, and are willing (able) to purchase your service at a price that creates economic rents for both you and them.

BAD customers – are a nightmare. The amount of money they provide you does not cover the costs it takes to keep them as a customer, the overhead, the effort, the expense, not to mention the abuse, grief, headaches, time.

Too many companies I see chase bad customers. Try and do everything to please them, because they are big/important/etc. But while you’re doing that, they’re leaching resources away from your business.

You may not be ready/able to sustain them as customers, not yet. So walk away. Say no to the deal. Recognize why you’re doing it, and when will be the right time. If you’re a successful business, you’ll be around until then.