Rules for private consulting aka private teaching.
Chinese-English or English-Chinese
1. 1st lesson free or discounted (optional). This is partially to determine if you and the student(s) can have good chemistry, but also to ascertain their English level so you can prepare the appropriate material. Make sure you look at their school material as most tutorials are designed to help the students ace their respective exams.
FYI - I pay a Chinese tutor about ¥600 a month to tutor my kids 4-5 days a week - with a bonus if their test scores are consistently above 90% - the measure of success. Some of my kids' classmate's parents also send their children to our home after school effectively doubling the tutor's salary for an increment in effort...and I was very clear to the children and their parents - if their child is not serious or interferes with my children's studies - I'm not an after school daycare center - they need to make other arrangements, as my kids are focused on getting into tier 1 national or foreign universities (even though they're still in primary school right now and don't even know what that means...harsh eh?).
2. Month to month contract - preferable to have a 3-6 month contract paid monthly in advance. My kids take after school/weekend music lessons - we pay 3 months in advance - granted this is a brick & mortar school. If the parents don't like that kind of arrangement - suggest they look elsewhere.
3. Take attendance or role call - whatever you want to call it - if the group is small enough - have them sign an attendance sheet.
4. Cancellations are fair as long as it's done in advance - usually 24 hours unless (my favorites) one of the three big things occur - usually related to some kind of medical or other emergency.
a. someone died
b. Someone's dying
c. Someone's in the hospital or something similarly serious (accident, flu, etc).
if they don't cancel as per the rules - they forfeit that class. Make up classes scheduled as per mutual agreement - modify the attendance sheet with the annotation. If my kids miss music class - I just gave the teacher a free day's (hour's) pay...
5. Contract termination - up to you - but usually 1-5 days advance notice - refund the prorated amount. All contracts must have mutual escape clauses.
6. Allowance if YOU'RE late or ill - of course, not charge, reschedule.
As for being nice, the chinese way etc - screw that. Business is business. If they're not happy, refund the balance of the contract, terminate it and make up an obvious lie so everyone can walk away.
If you're good - be disciplined in all things - especially contract enforcement - that's professional - be PROFESSIONAL - let them cheat and take advantage of the newbies - and receive the appropriate quality that goes with newbie low cost teachers. Command and demand respect - you're professional teachers, not hobbyists.
In Asia - higher prices along with tight disciplined contracts imply higher quality and professionalism (learn how to sell/market yourself).
If YOU need to terminate a contract because they're unhappy or want to nickel and dime you - do it - don't look back and don't negotiate further - suggest they find another tutor and of course NOT you don't know anybody that you can refer (unless you hate that particular teacher, in which case...amuse yourself).
FEEDBACK
REGULARLY solicit feedback from the parents and student on a regular basis. Give tests or some other artifact which can measure the student's performance - example - number of vocabulary learned/memorized, reading/writing, comprehension, equivalent US et al grade level.
MA FAN
Dump troublesome students or parents. Terminate their contracts, refund the pro-rate and refuse to negotiate further - even if they offer more money. People hate that...and it gives you a good reputation for higher quality via word of mouth - you only accept serious students with serious parents. Gives you the air of a highly demanded, high quality private tutor.
On the reverse side - always be on time, prepared, and presentable - professional...