This question popups so many times that even 10k answers won’t be sufficient. I will only say: Document everything that you communicate with your client and yes, communicate with your client.

Communication is the best possible remedy to NOT spoiling your project and relationships with your client.

Points that we follow at work:
1. Atleast reply to your client with “Ok” to every email.
2. Document everything, a great tool to help you document everything is TaskTrek here: http://www.tasktrek.in it helps you by taking out the obvious out of the way.
3. Teach your team members to communicate with you, don’t just train them, train even their subconscious mind to communicate.
4. Hire good resources, even if they cost more. You won’t make much money initially, but then when your client’s appreciate your work, they will bring the cash flow with them.
5. Keep in touch with your client, believe me this is the second best thing you can do, next only to to doing the best job.