
Pro Tips
Mar 9, 2026
Operators think about payments from their side of the ledger. Here's what it looks like from the other side.
The Vendor's Perspective
If you run a venue, restaurant, or event company, your vendors are the backbone of your operation. But most operators have never asked their contractors a simple question: what's it actually like getting paid by us?
We talk to hospitality contractors constantly—DJs, security professionals, photographers, production crews, cleaning companies, freelance bartenders. The patterns are remarkably consistent across cities, venue types, and business sizes.
Here's what they're saying.
"I Never Know When I'm Getting Paid"
This is the single most common complaint. Not that payments are late (though they often are), but that there's no clarity on when payment will arrive.
A security contractor who works three venues weekly described it this way: "Venue A pays me every Friday like clockwork. Venue B pays whenever they get around to it—could be a week, could be a month. Venue C told me net 15 but it's usually net 30. Guess which venue I prioritize when there's a scheduling conflict?"
The issue isn't always speed. It's predictability. Contractors are running businesses. They have rent, insurance, equipment costs, and their own employees to pay. When they can't predict when income arrives, they can't manage their cash flow, and they start making decisions that put your venue lower on their list.
What operators can do: State your payment terms clearly during onboarding and stick to them. If you say net 7, pay on day 7. If something delays a payment, communicate proactively—don't wait for the contractor to chase you.
"The Onboarding Process Is a Mess"
First impressions matter, and for many contractors, the first interaction with a new venue's business operations is the onboarding process.
Common complaints:
"They asked me for a W-9 via text message three months after I started working for them"
"I had to send my banking info in a regular email with no encryption"
"Nobody told me what invoice format they wanted, so mine got rejected twice"
"I've been doing this for years and this venue still doesn't have my correct legal name on file"
A disorganized onboarding process signals to vendors that the rest of the relationship will be similarly chaotic. And they're usually right.
What operators can do: Create a single, standardized onboarding flow that every vendor goes through before their first gig. Collect W-9, banking details, insurance certs, and agreed rates in one place, one time. It takes 10 minutes to set up and saves months of back-and-forth.
"I Hate Chasing Invoices"
Ask any hospitality contractor what the worst part of their job is, and most won't say the late nights or the difficult crowds. They'll say the invoicing.
A freelance photographer who covers events for multiple venues put it bluntly: "I spend more time managing invoices than I do editing photos. Following up on unpaid invoices is a second job I didn't sign up for."
The follow-up cycle looks like this:
Submit invoice
Wait a week. No confirmation it was received.
Send a follow-up email. "Just checking on this."
Wait another week. Still nothing.
Text the manager directly. "Hey, any update on my invoice?"
Manager says they'll "check with accounting."
Repeat steps 4-6 one or two more times.
Payment finally arrives, sometimes without the full amount, sometimes for the wrong invoice.
This isn't an exaggeration. It's the standard experience for a significant number of hospitality contractors.
What operators can do: Acknowledge receipt of every invoice immediately—even an automated confirmation helps. Set internal processing timelines and communicate them to vendors. "Your invoice will be reviewed within 48 hours and paid within 7 days of approval" is a sentence that builds trust instantly.
"I Price In the Hassle"
This is the one operators need to hear most. Vendors don't absorb the cost of difficult payment processes. They pass it on.
A veteran sound engineer who works across New York's venue scene explained his pricing: "I have three rate tiers. My base rate for venues that pay same-day or within a week. A 15% premium for venues that take two to three weeks. And a 25% premium for venues where I know I'll have to chase the invoice. Some venues don't get a quote at all—I just say I'm not available."
He's not unusual. Across the contractors we've talked to, the "hassle premium" ranges from 10% to 30%. Operators paying slowly are often paying more without realizing it—and they're getting less attentive service because they're not the vendor's priority client.
What operators can do: Ask your best vendors directly: "If we paid you within 48 hours, would that change your rate?" You might be surprised at the discount you can negotiate simply by being reliable.
"The Good Venues Stand Out Immediately"
The flip side of every complaint is a compliment about the venues that get it right. Contractors are vocal about the operators they love working with:
"They sent me a professional onboarding link before my first gig. Everything was set up in five minutes."
"I get paid the Monday after every weekend. Without asking. Without following up. It just hits my account."
"They sent me a year-end summary of all my payments for tax purposes. No other venue does that."
"When there's a last-minute gig, I say yes immediately because I know I'll be paid fairly and on time."
These aren't extravagant gestures. They're basic operational competence applied to vendor relationships. But in an industry where the bar is low, basic competence creates fierce loyalty.
The Takeaway
Your payment process is a vendor experience. It's as much a part of your brand as your customer experience. Contractors who feel valued, respected, and paid fairly become your competitive advantage. The ones who don't move on to venues that treat them better.
Cleo Pay makes the vendor experience seamless from day one. Professional onboarding, instant payment confirmation, reliable payment timelines, and year-end tax documentation—all automated, all handled.
Want to be the venue vendors love working with? See how Cleo Pay transforms the vendor payment experience.
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