I make wine in California and sold $75k worth to a distributor in Florida about 8 months ago. They paid $3k after 90 days, $25k after 150 days, and $5k at 180 days. It’s been two months since the last payment, and I’m getting nowhere. The owner told me months ago that he’s struggling with money, so I gave him some leeway after he promised to pay me back by October.
I finally got him to agree to a call this week, but I’m not sure what to do next. Should I hire a lawyer to send a legal notice or write one myself? Should I threaten to take back what inventory is left? I’ve been patient, but now I’m stressed out and need advice. Thanks for helping me figure this out.
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Call him and push for payment immediately. Promises don’t pay the bills. With the year wrapping up, there’s a good chance other creditors are waiting, too.
Ask for any form of instant payment like wire transfer, PayPal, or overnight check. If he can’t pay now, think about getting your inventory back. Legal action could cost you money and time if he’s already broke.
If it were me, I’d fly to Florida, pick up the goods, and drive them back. It might even be worth finding another buyer locally who could pick them up and pay you right away.
You can try legal action, but I suspect this guy has been juggling payments for a while.
Hiring a lawyer might get you a judgment, but if he’s broke, it won’t help much. Another option is working out a payment plan—something small and regular like $1,000 a month—so at least you’re getting something.
If he has inventory left, you could ask for it back, but consider the shipping costs. Maybe you could find another buyer nearby to save on freight. Sending scary legal letters might just cost you more money, and if he’s bankrupt, other creditors could fight you on anything he pays.
I’d stay in touch regularly, but don’t expect miracles here.
Get started on the legal process. If he’s close to bankruptcy, you’ll want to secure a judgment quickly. Try to recover whatever you can before it’s too late.
Start the legal process and let a lawyer handle it. Sometimes cases settle before court, but don’t try to do this alone. If you can’t afford a lawyer, look for one who works pro bono.