The words money uses

A US tax form businesses use to report $600 or more paid to a non-employee contractor during the year, filed with the IRS and sent to the contractor.

The specific, agreed conditions that work must meet to count as complete and approved, removing arguments about whether a deliverable is actually done.

Money a business owes to others for goods or services it has received but not yet paid for — its outstanding bills.

Money clients owe a business for work already delivered but not yet paid — essentially unpaid invoices, counted as an asset.

An electronic bank-to-bank payment sent through the US Automated Clearing House network, cheaper than wire transfers but usually taking one to three business days.

A financial snapshot showing what a business owns (assets), owes (liabilities), and its net worth (equity) at a single point in time.

The hours a professional can charge clients for, as opposed to time spent on admin, marketing, or other unpaid business tasks.

A charge to reserve a spot on your calendar, often applied toward the final bill, that reduces no-shows by giving clients skin in the game.

How fast a business spends its cash reserves, usually measured per month — a key figure when income is uneven or you are running at a loss.

A cost incurred to run your business, such as software, travel, or equipment, that is generally deductible from taxable income.

The rules stating how much notice a client must give to cancel, and what they owe if they cancel late or not at all.

A detailed story of a client project — the problem, your approach, and the results — used to show prospects what working with you actually looks like.

The movement of money into and out of a business over time; positive cash flow means more is coming in than going out.

A written amendment to a project's agreed scope that documents added work and its extra cost, keeping both sides aligned when requirements change mid-project.

A forced reversal of a card payment initiated by the buyer's bank, returning funds to the customer and often charging the seller a fee.

The organized list of every category a business uses to record transactions — assets, liabilities, income, and expenses — the backbone of its bookkeeping.

The rate at which recurring clients or customers stop working with you over a given period — the opposite of retention.

Contacting potential clients who don't know you yet — by email, message, or call — to introduce your services and start a conversation.

A fee charged as a percentage of a sale, or pay earned for closing one — the cut a platform or salesperson takes from each transaction.

The share of prospects who take a desired action — like booking a call or hiring you — out of everyone who had the chance to.

The automatic legal right of a creator to control copying, distribution, and adaptation of an original work, lasting for decades after it's made.

Setting a price by adding a fixed profit margin on top of what the work costs you to deliver.

Offering a client an additional, complementary service alongside what they came for — like a logo buyer who also needs business cards.

The average amount you spend to land one new client — ads, tools, platform fees, and the value of your own time — added up and divided by clients won.

A flat fee a professional charges for a full day of work, regardless of the exact hours, common in creative and consulting fields.

A specific, tangible output a client receives from a project, such as a logo file, a finished website, or a written report.

An upfront payment, usually 25–50% of a project's total, that a client pays before work begins to secure the booking and the professional's commitment.

The early stage of a project where a professional researches the client's needs, goals, and constraints before proposing a solution or committing to a price.

When buyers and sellers who met on a platform take their relationship off it to deal directly and avoid fees, cutting out the middleman.

A payment term meaning the invoice is due immediately when the client receives it, with no grace period before payment is expected.

The systematic process of following up on overdue or failed payments — reminder emails, notices, and escalating messages — to collect what you're owed.

An Employer Identification Number — a nine-digit ID the IRS issues to a business, used like a Social Security number for taxes, banking, and hiring.

An arrangement where a neutral third party holds a client's payment and releases it to the seller only when agreed conditions are met.

An agreement that one party won't offer the same services, work, or rights to competitors — usually in exchange for higher pay or guaranteed volume.

A planned series of messages sent to a prospect over time to stay top of mind and move them toward a decision without pestering.

A contract clause excusing both parties from their obligations when extraordinary events beyond their control make performance impossible or impractical.

The total money a business brings in before subtracting any expenses, taxes, or costs.

The transfer of finished work, files, and access from the professional to the client at a project's end, marking the point of completion.

A contract clause where one party agrees to cover the other's losses, legal costs, and damages arising from specified problems like IP infringement or negligence.

Creations of the mind — designs, code, writing, logos, ideas — that can be owned and protected by law, then sold or licensed by contract.

A document a seller sends a client requesting payment for work done, listing the services, amounts, due date, and payment terms.

A pre-agreed payment owed to a professional when a client cancels a project after it starts, compensating for reserved time and work already done.

Know Your Customer checks that confirm a user's identity — via ID, bank, or business details — before they can receive payouts on a platform.

An extra charge added to an overdue invoice, usually a flat amount or a monthly percentage, meant to encourage clients to pay on time.

The work of attracting and identifying potential clients — through marketing, outreach, or referrals — before they become paying customers.

A contract clause limiting the maximum amount one party can be held financially responsible for, often capped at the total fees paid under the agreement.

Granting someone permission to use your work under defined terms — where, how long, and for what purpose — without transferring ownership of it.

The total revenue you expect from a client across the entire relationship, not just their first project.

A Limited Liability Company — a US business structure that separates personal assets from business debts while keeping flexible, pass-through taxation.

A payment tied to completing a defined project stage rather than a calendar date, releasing money as agreed deliverables are finished and approved.

The smallest project size, hour count, or contract length you'll accept, set to protect your time from work too small to be worth it.

A contract where one or both parties agree to keep shared information confidential and not disclose it to outsiders for a defined period.

What a business actually keeps after subtracting all expenses, taxes, and costs from its total income; also called the bottom line or profit.

A payment term meaning an invoice is due in full 15 days after the invoice date — faster than net-30, and common for smaller projects.

A payment term meaning the invoice is due in full 30 days after the invoice date. Net-15 and net-60 work the same way with different windows.

A payment term meaning an invoice is due in full 60 days after the invoice date, common with large companies and hard on freelancer cash flow.

A charge applied when a client misses a scheduled appointment without canceling in time, compensating you for the reserved slot you couldn't fill.

A contract clause restricting one party from working with competitors or in the same market for a set time and area after an engagement ends.

The wrap-up process at the end of an engagement — delivering final files, transferring access, documenting what was done, and closing out payment.

The structured process of bringing a new client into a working relationship — gathering information, setting expectations, and collecting access before real work starts.

The ongoing costs of running a business that aren't tied to a specific project, such as rent, software, insurance, and subscriptions.

Bundling services into a single fixed-price offer instead of charging hourly, so clients know the total cost upfront and you're paid for outcomes.

The service that moves money from a buyer's card or bank to the seller, handling authorization, settlement, and a small per-transaction fee.

The rules stating when and how a client must pay an invoice, such as net-30, due on receipt, or a deposit plus balance.

The transfer of earned money from a marketplace or processor to the seller's bank account, after fees and any holding period.

The set of potential deals at various stages — from first contact to signed contract — that you track to forecast upcoming work and revenue.

The cut a marketplace charges on your transactions, or the subscription it charges for hosting your business, listings, and payments.

The creator's right to show completed work in their portfolio or marketing, even after ownership of that work transfers to the client.

A financial report summarizing a business's revenue, expenses, and resulting profit or loss over a set period, such as a month, quarter, or year.

The percentage of revenue left as profit after costs, found by dividing profit by revenue — a measure of how efficiently a business earns.

A short document a client prepares describing what they need, why, and any constraints, giving professionals enough to scope and price the work.

A document a professional sends a prospective client outlining the proposed work, approach, timeline, and price, aiming to win the project.

Income and self-employment tax payments the self-employed send the IRS four times a year, since no employer withholds tax from their pay.

A published list of a professional's standard prices for each service, giving clients clear expectations before they ask for a quote.

The process of matching your accounting records against bank statements to confirm every transaction is accurate and nothing is missing or double-counted.

A payment made to someone for sending you a client who converts, usually a percentage of the resulting revenue or a flat finder's amount.

A document a buyer publishes describing a project and inviting professionals to submit competing proposals, used to compare options before hiring.

The rules for moving a scheduled appointment — how much notice is required and whether fees apply — distinct from canceling outright.

A recurring fee that reserves a professional's time or guarantees ongoing work each month, paid whether or not the full time is used.

The total money a business earns from selling its services or products over a period, before any expenses are subtracted.

One cycle of client feedback and the edits that follow it, defined and counted in the contract so unlimited changes don't quietly erode your fee.

How many months a business can keep operating on its current cash before running out, calculated by dividing cash reserves by monthly burn rate.

A premium charged for work delivered faster than your standard timeline, compensating for the reshuffled schedule and after-hours effort it takes.

A US tax election that lets a business owner take part of their income as salary and part as distributions, potentially lowering self-employment tax.

The gradual expansion of a project beyond what was originally agreed, without matching adjustments to the price or timeline.

The US Social Security and Medicare tax the self-employed pay on their net earnings, currently 15.3%, covering both the employer and employee portions.

A commitment defining the standard of service a client can expect — response times, availability, turnaround — and what happens if you fall short.

A pricing approach that adjusts fees based on a client's ability to pay, common among coaches, therapists, and community-focused practitioners.

Evidence that other people trust and buy from you — reviews, testimonials, client logos, referrals — that makes new buyers more comfortable saying yes.

The default US business structure for one person, where the business and owner are legally the same and profits are taxed as personal income.

A document that spells out exactly what a project includes — deliverables, timeline, milestones, and price — so both parties agree on the work before it starts.

Hiring another independent professional to perform part of the work you were contracted to deliver, while you stay responsible to the client for the result.

The percentage of each transaction a marketplace keeps as its fee — the core of how most platforms make money.

A short endorsement from a past client vouching for your work, used to build trust with prospects who haven't hired you yet.

Offering the same service at several price levels — good, better, best — so clients can pick the scope and budget that fits them.

Legal protection for a name, logo, or slogan that identifies a business's goods or services and sets them apart from competitors.

How long it takes to complete and deliver work after a request or approval — from receiving materials to handing back the finished result.

A platform that connects two distinct groups — buyers and sellers — creating value by making it easier for them to find and transact with each other.

Offering an existing client a higher tier or larger version of what they're already buying, increasing the value of the sale.

The specific permissions a client buys to use delivered work — which channels, how long, and in what markets — separate from owning the work itself.

The share of a professional's available working hours that are actually billable, showing how much of their time earns revenue.

Setting prices based on the value your work delivers to the client, not the hours it takes or what it costs you to produce.

A US IRS form a business asks a contractor to complete, collecting their legal name and taxpayer ID so the business can later issue a 1099-NEC.

A potential client who already knows you or has shown interest — through a referral, past contact, or inbound inquiry — making them far easier to close.

Work delivered without the creator's branding so the client can present it as their own, common when agencies resell a subcontractor's work.

An electronic bank-to-bank payment that moves money quickly, often same-day, usually for a fee — common for large or international payments.

An arrangement where the client owns the finished work outright from the moment it's created, as if they made it themselves, rather than the creator keeping rights.

A business expense subtracted from taxable income to lower the tax you owe; also called a deduction.