View Full Version : We've fired some customers!
Mrs. H
11-07-2007, 12:08 PM
And we are feeling pretty good about it.
Our contract provides a way out for both parties. We can get out by giving notice of service interuption and the early termination fees are waved.
They can get out, but they have to pay the early termination fee.
So, far everyone has been good with this agreement, except...
One motel won't pay up and he's selling out. We're going to go try to get a lien. So, bye, bye...good luck trying to sell with knee high grass.
And the other we are firing today. She talked David into a discounted price because her husband is in Iraq...and then she's complained all summer long. (Now, David knows he was suckered into the 'charity' thing. But, over the past 2 months I think we are getting that cured.)
Next year we are going to go ahead and drop those bottom 10% and raise prices and work from there.
BTW...David's got a 2nd truck up and going. We're cooking with fire now!
landscaper22
11-07-2007, 02:06 PM
Hate to hear you have to do that, but you and I both know you will be better off without them. It is always difficult for me to let someone go, even when they are a PITA, but I feel so much better after I do. And usually pick up a much better customer to replace them.
HenryB
11-07-2007, 04:52 PM
People often don't drop their worst customers out of fear. We make up all kinds of excuses but it's a big mistake to keep these bloodsuckers on board. I drop about five or ten bad apples a year. :clapping:
Mrs. H
11-07-2007, 07:23 PM
People often don't drop their worst customers out of fear. We make up all kinds of excuses but it's a big mistake to keep these bloodsuckers on board. I drop about five or ten bad apples a year. :clapping:
I know what you mean. :eek: We, David and I both hate dropping people and there's this fear. :o Where does that come from? :confused: Are we afraid they'll hurt our business somehow by NOT being our LATE-PAYING $15 per cut customer?
Sense tells us that we are hurting ourselves by letting them weigh down our routes. It's weird...and kind of annoying... that our emotions get anywhere close to how we deal with our customers.
Most of our contracts are up in March so I guess I am going to be busy this winter working up the numbers.
causalitist
11-07-2007, 07:42 PM
why not just raise prices on the ones u dont like? ... i suppose they were that bad ... plus i guess u can tell when a customer is such a pita they wont go for a price raise.
but in general i raise prices and let the customer fire themselves.
Mrs. H
11-07-2007, 07:55 PM
why not just raise prices on the ones u dont like? ... i suppose they were that bad ... plus i guess u can tell when a customer is such a pita they wont go for a price raise.
but in general i raise prices and let the customer fire themselves.
One of these customers won't pay at all. We have a contract that will stand up in court. 'Nough said there.
The other, David can't stand. There's a price on the contract and he dosn't want to wait until the contract expires to raise the price. It's THAT BAD. Otherwise we would let them fire themselve and be subject to the early termination fee. That's not worth it to us either. It's a bad account.
lawnspecialties
11-07-2007, 08:33 PM
Unless they absolutely won't pay, I at least try not to fire customers until March. If you have a year-round maintenance contract, the winter time is easy money. Fire them when it gets busier and they have to scramble to get their lawn mowed. Heck, throw some high-nitrogen fertilizer on it a week or two before you leave them. More knee-high grass for you to laugh at.
wannabamower
11-07-2007, 10:27 PM
I hate non paying customers. But dropping a few customers a year won't hurt and usually you can pick up more to replace your no paying customers.
I'm glad that I'm not the only one that has customers that try to get a discount price and then complain about you service. I have found that these customers are not worth the negative feedback that give you.
On your contracts do you have any customers that you breakdown and pay 12 months or pay monthly?
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PlatinumLandCon
11-07-2007, 10:42 PM
What is the new truck? Any pics or another thread you've posted it in?
Mrs. H
11-07-2007, 10:51 PM
Pics will come along this weekend, I'm sure. He's been busy.
Ooh, he just snuck up behind me...
It's a 1991 Ford F-150, 5.0, new tires, ugly paint, no rust...yet. Perfect interior, except he said the seat leans a little...and you actually have to hand-crank the windows :). The body needs a little attention on one side, but for the most part its good. David spent the day cleaning it up and scrubbing.
I just promised him I would start a new thread about just the truck.
As for the contracts, they all pay a year round price. And for the most part we can deal with all of them pretty much. If there is a problem, its usually fixed pretty quickly and everyone's saticfied. But, we are not going to continue to waste time on these two accounts.
Actually, I think the residential account we are booting ends in July, so that's a little too long to stick it out. The motel ends in March.
old oak lawn
11-07-2007, 11:00 PM
had 2 customers in same naborhood.500k + house/in ground pool. could not pay on time/forget or say they never got a bill.1 sent me 1/2 payment with a i o u slip with check. stoped service then got payed and fired bouth. no problem. replaced them.
it should be a website listing all the PITA's and non payers.
If they can list us on BBB, angie's list etc whay can we do the same with them?
Mrs. H
11-08-2007, 12:17 PM
it should be a website listing all the PITA's and non payers.
If they can list us on BBB, angie's list etc whay can we do the same with them?
David is always ranting about something like that. He thinks all the lawn care in town should get together and create a "blacklist" of customers that just aren't worth it.
wannabamower
11-08-2007, 08:19 PM
I agree that we need a "black list" of non paying or P.I.T.A customers on the web. It would put a squeeze on non payers.
I agree that we need a "black list" of non paying or P.I.T.A customers on the web. It would put a squeeze on non payers.
Let's do it!
Roger
11-09-2007, 07:17 AM
I agree that we need a "black list" of non paying or P.I.T.A customers on the web. It would put a squeeze on non payers.
And, also a list of LCOs that don't do the work they said they would do. This would help the customer base to determine who they choose to do their work.
Of course, a band of "black list" police will be needed to be sure that both lists are accurate, up to date, and honest in the reporting.
Mrs. H
11-09-2007, 09:18 AM
And, also a list of LCOs that don't do the work they said they would do. This would help the customer base to determine who they choose to do their work.
No, there's no need to go that far since, like it's been stated, the consumer already has BBB.
Besides stating that a customer complains and doesn't pay up can be backed up with good records. Businesses keep lists of people they won't accept checks from all the time. Some establishments won't let people in that have caused them problems. LCO's making lists of other LCO's who in their opinion are not good enough is slander and can ruin their business and can open a door for a lawsuit. (If they really do cruddy work, they won't be in business long anyway.)
GELAWNS
11-09-2007, 02:40 PM
We dropped about 15 accounts in the same area this summer because it just wasn't profitable and many of them were difficult to work with. We tried several ways to notify them, but a few of them made comments on our ServiceMagic ratings. And some of them wouldn't pay us (at first) for the cuts we already did. We quickly filled up the schedule with better accounts.
wannabamower
11-09-2007, 06:23 PM
What kind of information do we want to list on a web site? How do we want to divide it up by states or maybe regions. If you have any more ideas let me kno. Does anyone have an idea on what we might want to name it. I might try to design something this winter.
edit - you can't post an email address at the site. Thanks, Mike
_________________________________________________________________
Brandon
Edwards Lawn Service
Serving Central Illinois for Over 5 years!!
What kind of information do we want to list on a web site? How do we want to divide it up by states or maybe regions. If you have any more ideas let me kno. Does anyone have an idea on what we might want to name it. I might try to design something this winter.
edit - you can't post an email address at the site. Thanks, Mike
_________________________________________________________________
Brandon
Edwards Lawn Service
Serving Central Illinois for Over 5 years!!
I think we should divide it by state and regions.
Listing name and address.
old oak lawn
11-09-2007, 11:06 PM
if you publish peoples names and address and say they dont pay their bills you will have a lawsuit. if they win or not you will have to go to cort and that alone will you $$. a business will keep a list of people they wont take checks from but it is not published for all to read.think about it if someone published a list of lco's thad did a poor job or what ever and i was on it win or loose i would sue. what about you.
Mrs. H
11-10-2007, 10:14 AM
Wow, you guys are starting to sound really serious about a website.
David was going to just keep it amonst LCO's here that he's buddies with. That's really all that is needed, at least here in town. They already kind of do it verbally. One guy drops one and tells the other "hey, don't go there." They just aren't real organized about it.
You probably would get someone to sue if you list personal information on the web.
As far as LCO's suing because there are bad reports...Consumers DO have that ability and they use it. There are "rate-this-business" sites all over the place. One of the resturaunts here in town has tons of bad reports. People still eat there, but there beef dishes are nasty.
Scottscape
11-10-2007, 12:08 PM
Mrs. H, I see that you have 2.5 years in collections.. It may vary from state to state but I read earlier in this thread that you have intentions of filing a lean on the propertywhich sounds like a great idea but I believe here in ohio you have to be improving the property value to place a lien on his property. Lien would be the most effective beings that he is selling so hopefully you can.
Mrs. H
11-10-2007, 01:42 PM
Mrs. H, I see that you have 2.5 years in collections.. It may vary from state to state but I read earlier in this thread that you have intentions of filing a lean on the propertywhich sounds like a great idea but I believe here in ohio you have to be improving the property value to place a lien on his property. Lien would be the most effective beings that he is selling so hopefully you can.
I'm from Ohio, but I never did any collections there. I was based out of WA ST and most of the debts in my department originated in FL, GA, TX and other parts of the Southeast. Collection laws do vary from state to state.
As best I can see, now I haven't actually been down to the courthouse on this one yet, as long as I have proof that he owes the debt and the statute of Limitations hasn't expired, I can file for a judgement. If the lien is granted to me, the property cannot change ownership until the debt is paid. Usually, this can include the cost of the filing fees as well.
I have talked to a collection agency here in AL and do know that a lien must be filed in the county where the property is located. The agency that I spoke with did not provide the service and they just told me how to go about it myself. The company I worked for had a department set up to do nothing but file liens all day long. So I guess there are companies that will do it for you, but I am going to just do it myself.
GreenT
11-10-2007, 04:19 PM
Just curious...
If your account are on monthly contracts the why on earth would you decide to drop them in the middle of November. This is the time when you are making your highest profits on those accounts.
Other than the non-paying one, wouldn't it make sense to drop them in March-April?
Mrs. H
11-12-2007, 12:34 PM
The other, David can't stand. There's a price on the contract and he dosn't want to wait until the contract expires to raise the price. It's THAT BAD. Otherwise we would let them fire themselve and be subject to the early termination fee. That's not worth it to us either. It's a bad account.
You can have her.
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