sazhazman - 6:13 pm on Jul 13, 2004 (gmt 0)

Last November, a client asked why I was taking so long to set up her 500+ item ecommerce website from the ground up. Although the contract called for 150 days to complete the job, her husband told her to tell me that he felt 4 weeks was long enough, and accused me of costing them thousands of dollars a day in lost revenue during the Xmas season.

I completed the job in 98 days, and the following week she filed a lawsuit for lost profits @ $500/day from the 30 day mark.

Although they have yet to bring this to trial (her lawyer told mine that if I forgive the final 25% installment payment, they would drop everything - no way that's going to happen), it was an eye-opener. My attorney suggested setting up an S-corp immediately. It cost just under $1000, and worth every penny for the protection it affords.