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Guardian
01-12-2002, 12:58 AM
Today is the 11th. Its the day that all the invoice money is due.

Typically, several customer's $$ didn't come in.
Oh I've incorporated late fees in the contracts, but its still hard to charge them (feeling like there is soo much competition - it may just be a reason for them go elsewhere) and some aren't bound by contract. I've just had them as customers since day 1 and never made them sign.

Ultimately, they all pay - AND usually I have enough $ to not have to wait for their money to pay my bills - BUT Christmas wiped me out this year.

My wife is tired of hearing me whine. She says this is just my time of the month.

geogunn
01-12-2002, 01:33 AM
guardian--you might ask her to cut you some slack.

that is unless "her time of the month" is also determined by non and late payers!

GEO

scagman
01-12-2002, 04:45 AM
This is why I am hesitant about one year contracts are all yours averaged out into twelve months. Is this what happens when you do this. It would be nice to have checks coming all year, but it seems to me that people dont understand that it is averaged out creating small payments. Its almost like they look out their window and say " The lawn service guy hasnt even done any work why should I pay him."

BigJim
01-12-2002, 04:57 AM
Like you said they all pay ultimately,Christmas probably wiped them out too!Paitence is a virtue,I'm very virtuous!:angel:

walker-talker
01-12-2002, 10:26 AM
Originally posted by scagman
This is why I am hesitant about one year contracts are all yours averaged out into twelve months. Is this what happens when you do this. It would be nice to have checks coming all year, but it seems to me that people dont understand that it is averaged out creating small payments. Its almost like they look out their window and say " The lawn service guy hasnt even done any work why should I pay him."

Scagman,

It might be possible that he is still mowing, he's from Florida. Are you still mowing Guardian? Don't get me wrong Scagman, I don't agree with the 12 month payment plan as you indicated. I think if a person just manages their money well enough, if should not be a problem.

MATT

Randy Scott
01-12-2002, 11:16 AM
It's irritating as piss, my bills are payed on time always but the customers like to pay late. Some days it bothers me, some days not. I don't think it's fair and over time I would just weed out the late payers.

Guardian
01-12-2002, 11:27 AM
We mow all year with an exception of ...maybe 3 weeks (spread out) for those "odd" occasional icee/winter moments.

BUT there are times when I feel my customers do like SCAGman said - "Doesn't look like he's been here, its cold - Why send this guy a check?"

Its still a good system. I averge working only 15hrs per week for about 4-5 months and still have enough monthly income to pay my bills. Going to annual contracts is great for presenting an affordable package for customers. It sounds better to pay $119/mo than $40 per cut. The customer usually just thinks -
$40 x 4 per month = $160, so WOW, this is a deal PLUS since he comes all year, My place won't ever look bad and NO need for a BIG cleanup in Spring

If we'd have been better during Christmas, I'd be fine.

I do want to incorporate some of the "planning" that you all do - like simply saving more during summer. For us, we need to make and save Christmas $ in July.

Guardian
01-12-2002, 11:30 AM
Randy is right,

The customers doesn't realize that we are planning to weed them out when we can. When my list is full, Why not drop the worst payer for the next potential "good" payer?

mowerman90
01-12-2002, 08:00 PM
Guardian,

I know the feeling. I've beens using yearly contracts (exclusivly) for going on 13 years. When I first started I would mow anything (dustbowls, vacant lots, bahia, no sprinklers,etc) As my business increased I dropped the the crappy lawns in favor of the better new lawns. Then I dropped the late payers and replaced them with newer better lawns. I'm to the point now that I have ALL my receivables by the 10th of each month. One other thing that I know will floor you, I BILL FOR THE MONTH.....IN ADVANCE!!! Why? Because I got screwed by a builder when I first started and vowed I would never let it happen again. It hasn't. If I were you, for every new lawn I took on, I'd drop one of the deadbeats the moment they pay up. (you do have a cancellation clause in your contract don't you?)

mdb landscaping
01-12-2002, 08:20 PM
i just sent two notices out today asking customers where my money is. they always pay, but it takes em longer and longer every bill i sent. i thought maybe this will get them to move a little faster. i have others who pay me within 3 days. gotta love those people.

lawncare
01-12-2002, 08:32 PM
Well ride by and make sure they are there I had a few that pay late so after 3 letters I ususally have to ride by early sun morings to collect. Last month doing the routine get to the house and the son of a !@#$ moved on me. So a had to swallow a 100 so im thinking about billing a month in advance also and if i don't get it my attorney on retainer she dosen't mind sending the threating letters:p

Guardian
01-12-2002, 10:51 PM
Mowerman -

I do have a cancelation clause that has to do w/ payment default.
I also started charging a 1 month deposit about 8 months ago. I guess thats similar to you charging in advance. It sounds like you have a nice system and a nice customer base.
It seems we get a little nicer cust. base every year. So we are on the right track.