Fun Business Fun Money Podcast
EP 074 – How to handle refund requests
Ugh, refund requests.
You can’t avoid them, they’re going to happen at some point in your business. Its a rite of passage nobody really wants to experience.
But what do you SAY??
How do you handle it?
And what can you do to make future refund requests feel easier, better or even less frequent?
These are the things we need to know!
TRANSCRIPT
Hey there, and welcome back to the Fun Business Fun Money podcast!
If you’re tuning in for the very first time, hey, hello, I’m doing a big welcome wave across the internet from me to you, wherever you are! 👋
If you’ve been hanging around these parts for a while because you like the vibe, then settle on in for another exciting instalment of what I call a quick tip episode.
As we’ve come to know by now, its not always quick in terms of TIME, more like quick in that you can implement immediately, or easily.
I just want to give you a quick reminder that another way you can get a quick insight is to sign up for my weekly FUNday emails.
FUNday is Monday in my world, because the start of the working week should always be a good thing, don’t you reckon?
Just click on the FUNday email link in the description of this episode, pop in your details and hey presto, you’re on the list!
If you like a little something something in exchange for your email address, go take my Sacred Money Archetypes quiz for some quick insights into your relationship with money.
Or you can grab my Start Stop Continue guide, the handy dandy PDF to help you be more productive. I give you permission to start, stop or continue doing whatever makes you happy, adds value or makes you money.
You’ll find the links to the quiz AND to get the Start Stop Continue guide in the description and in the show notes! All of those will pop you on the FUNday email list.
Alrighty!
REFUND REQUESTS
Today we’re touching on the topic of… REFUND REQUESTS. Dun dun DUN! I know, so dramatic, but it can feel REALLY TRIGGERING to get a refund request, can’t it??
I remember my first one, it was only a few months after I launched my coaching business. A client signed up, full of excitement, she paid in full for 3 months coaching. We had our first session and then she went silent for a good week or so.
Then she sent a message saying its not what she thought it was. Which is totally fine!
She wasn’t ready to deal with a lot of the mindset things we were going to talk about. She admitted she hadn’t fully understood what it was going to cover, she got caught up in FOMO and wanting to be part the positive energy I was talking about.
I refunded her in full immediately, and in no time at all another new client came along to fill that spot in my calendar anyway. So YAY!
BUT. Thats not how every refund request goes.
I’d love to hear about some of your experiences with refund requests, good or bad.
Send me a DM, I’m @funbusinessfunmoney on both Facebook and Instagram, and tell me your refund request story! We can have a laugh about it and I may even be able to coach you on how to make it feel easier in future.
Thats essentially what we’re covering today in a snack sized format. Theres a LOT we can go into about refund requests, how they feel, what causes them, what you can do… but I’ve actually got ONE key insight for you today.
This topic came up thanks to a fabulous friend and former client of mine. For privacy sake we’ll call her Ashley. She had a pretty random and weird refund situation come up recently.
One of Ashley’s former clients contacted her, they had worked together for 3 months, 3 YEARS AGO. 3 YEARS!!
Apparently Ashley ‘owed’ this person a 30 minute session, and she was requesting it be paid out as money instead of catching up the session.
Now, I don’t know about you, but I don’t charge by the hour and neither does Ashley. You could say an hour of her time is worth a certain amount, but that also ignores all the other elements of her offer including resources, videos, communications, her expertise and qualifications.
So there’s a quick bonus tip for you right there…
Your offers shouldn’t be based on a number of hours or sessions in exchange for a certain fee.
Once Ashley traced back through old messages she could see where they had indeed missed a 30 minute session.
But it wasn’t from her lack of trying to close it out.
She had made multiple attempts to reschedule the session, but this client went silent, she ghosted her. Until suddenly, 3 years later, she wants a refund.
I’m sure countless others have experienced this as well, where clients haven’t completed all of their sessions, its been more than a hot minute, and suddenly they resurface, wanting something.
And the first thought we immediately have is “OMG WHAT DO I SAY?? HOW DO I HANDLE THIS??”
Here’s what we ALSO need to be thinking: Do I have clear enough boundaries on my refund policy?
Do you even HAVE a refund policy? If not, hop to it and get something in place IMMEDIATELY!
I promise you it’ll save a whole lot of time and angst when those refund requests come in – and its a matter of when, not if. Its gonna happen!
You don’t have to go all complicated and official with a legally reviewed refund policy.
You simply need to have clear terms and conditions laid out in your client agreement (you have one of those too? Please tell me you have one of those?!) on your website, in the details of your offer.
Back when I had my first refund request it was literally a “Make me happy guarantee”. If after our first session you’re not happy, you get a full refund. And thats basically what it is now too, although I’ve adapted it to fit my current offers.
What’s YOUR refund policy? How much time or access will you give someone before the refund period expires and they’re no longer entitled to their money back?
I sent in a warranty claim on my favourite sunglasses a few months ago, simply because I couldn’t find any info on the website about their warranty period.
They responded that it was indeed outside the 12 month period (so now I know its a 12 month period!) but gave me a discount code to use on my next purchase – which was nice!
But it was also a good reminder that they needed to update their FAQs on their website to avoid situations like that happening again.
Oh and by the way, Ashley did end up responding to her former client with a firm NO, I will not refund you for a 30 minute session from 3 years ago.
It always pays to wait, hit pause, until the initial emotional charge has settled.
That is ALWAYS a smart idea. As is talking it through with your business friends, who may have had a similar experiences so you can work together to come up with the right words to handle it, without coming from an emotional place.
Thats what I’ve got for you today!
Make sure you’ve got a simple, clear refund policy in place that meets your needs as well as your clients’.
There are no hard and fast rules, and you can choose to be completely flexible depending on the client and situation. You can refund outside your terms and conditions if you so desire!
Take care, have fun and I’ll catch you in the next episode.
Want to make a BIG SHIFT in your business?
IGNITE private coaching could be the answer you’re looking for! Click here to check out the details, or send me a message for a quick chat about which option is the best one for you right now.
0 Comments