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View Full Version : signing a huge account need help


EPIC
03-24-2006, 11:04 AM
I flyered a door owned my a property manager i gave him an estimate of $4,700.00 a month i am about to sign thwe contract today or tommarrow and i was woundering if it is a bad idea to ask of about $1,000 up front to cover employees,gas etc. ? i just dont want to go in the hole the first moth and i have to little girls i have to make sure i have food on the table and a roof over our head .Oh and yea dora the explorer. Don't know what i would do if my girls didnt have that cartoon lol .

chriscraft
03-24-2006, 11:10 AM
Why would you ask for money up front? And you never ask customers for cash in advance. you would look unproffessional and possibly give the idea that you are scamming them. Some of my larger accts we bill weekly just to make sure that they are going to pay, that way after 4 weeks they have bills and have no excuse not to pay it in time. they cant say they never got the bill, If you have to buy new eqpt for the job then its just a risk you ahve to take. Good Luck sounds like a great contract

65hoss
03-25-2006, 05:15 PM
Ask it and you may be looking for another account.

nephilim0167
03-25-2006, 06:12 PM
That's a good sized account right there. I would think twice about asking for money up front. As far as billing, I'm assuming that they are monthly right? Perhaps mention bi weekly to them at least that would help you off the ground. I'd be cautious about making any sudden movements though.. don't wanna give them a bad impression.

EPIC
03-25-2006, 08:47 PM
bi weekly thats a good idea thanks

Daily Lawn/Landscape
03-25-2006, 08:50 PM
If your that bad off, take the contract to the bank and take out a 30 day note to cover the 1st month. But be sure and pay it back in the 30 days and no more. The only time I ask for money up front is when I'm doing a large landscape project. Good luck!

Runner
03-25-2006, 09:01 PM
Do NOT ask for money up front! And do NOT mention a "bi-weekly" thing. They are NOT going to be wanting to pull their checkbook(s) out twice a month to pay a contractor. That would get old to them REAL FAST. It would give them all the mre reason to get someone else during changeover. If you don't have the capitol to keep these up, you may have to look at some alternatives like hustling your rear on some sidework to get some money up. In the meantime, you MAY be eating peanut butter and jelly for the first month.

get rich
03-25-2006, 09:02 PM
When i sign a contract for spring and summer work i set it up as april 1st they get the first bill, due by the 15th. Start the mulch/prune/edge and spring fert work on the 2nd or 3rd. That way shortly after work is completed the first check would roll in. Or another option would be to ask for payment upon completion. And then you'll only have to worry about being on a limb while the work is taking place. But yes if you ask for money in that dollar range up front....you might get the "guess you can't handle this size of account" response. Bit your lip, hammer out the work and then you'll be rockin and rollin before you know it. Congrats on the nice account though, good luck this spring.

Killswitch
03-25-2006, 09:05 PM
40,000 dollar contract from a flyer. Good grief what am I doing wrong.

Mr.Mow-It-All
03-25-2006, 09:22 PM
40,000 dollar contract from a flyer. Good grief what am I doing wrong.

Yeh my thought exactly.:hammerhead: :hammerhead:

Carolina Cuts
03-25-2006, 10:05 PM
I'll pay ya a $1,000 for the wording and text of that flyer!!!:rolleyes:

Metro Lawn
03-26-2006, 02:57 AM
You should have at least 2-3 months working capital going into spring. Is this your first year, or just poor budgeting?

J Hisch
03-26-2006, 09:14 AM
A word of caution. It sounds like this might be your largest account. Also that you dont have many others that will keep you afloat while you are waiting on your payment. It also may be a 45-60 day turn around on payment. Having your eggs all in one basket is very dangerous for a small business. Becasue losing that account or waiting on payment form that account could be the very thing that pusts you out of business. As far as what to do about money well.....If you can borrow then borrow if that's not an option call all your creditors and see if they will extend you a month or two. It sound like this could be real dangerous for you.

northernsvc's
03-26-2006, 09:51 AM
i calculate all of the work im going to do for that property this year ( maintenance, trimmig, aerating...) come up with a total year price and divide by 8 equal monthly payments, first payment due with signed contract next one due 20th of april and so on... i have had no problems with larger accounts having a problem with this, if yor quality of work is good, people will come to you no matter what your pricing schedule is. but this is what i do in my area. what works for me here might not work for you just my 2c

northernsvc's
03-26-2006, 09:56 AM
i have to agree with the posters above, it seems that the larger the accounts get the longer it takes to get the money becuase the more hands it has to go through. be carefull, don't spread yourself to thin to quickly thats how a lot of people go under, be careful getting lines of credit because if this contract ends up not paying or not going with you your stuck with the loan and if your short enough as it is it can really screw you up. make due with what you have now, it wil probably take you longer to do it, but try to stick on a cash basis. how many employeesdo you have? thats the only thing i could think of that you would need to worry about paying upfront is payroll.

EPIC
03-26-2006, 11:00 AM
im in my 3 month of busniess and evertime i get money in it goes right back to bills more equipment gas oh and i have 35-40 accounts he has checked my work i gave him a huge address list he asked for so he see what my work was like. and about the flyer lol it gets me alot of calls but and a big but this was just one of the time that u just happen to hit the right door at the riight time thankx for all the input. oh and i dont have any credit cards. im 26 and years ago when i was 18 or 19 i have a car repoed and it put me $10,000 in the whole credits been shot ever since .so i have always payed for things in cash.worked out well for me until now