PDA

View Full Version : Switching From Bill Monthly to 12 Month Contracts


mcw615
09-18-2009, 11:11 AM
About 80% of my customers are set up like this: June 01 - June 30 statement will be mailed July 1 (or first business day) and payment is due in 30 days.

After spending quite some time debating and jotting down on paper the pro's and con's of only offering contracts I have decided that I want to switch all the remaining customers to contracts.

The contracts I currently have are basically complete grounds maintenance... year round fertilization/spraying, mulching, pruning, leaves, aeration, THE WHOLE WORKS.....

I am thinking because there will be people that want to cut their own bushes, or get their nephew to do their mulch, or TruGreen to fertilize their lawn, that the minimum I offer is Spring clean up, year round mowing, and leaf removal in the fall -- and then maybe offer incentives for adding additional services..?

The way my contracts work are.. begin service on March 01 (or whenever the contract date), Invoice is mailed March 01 for the first month's price and due by March 30. So I don't think I will hear much fuss because it is not a whole month in advance before you do any work.

My main concern is how to approach my customers and say this is all we can offer next year? I have thought about some of the reactions I might get to plan ahead, "we are not sure we will be here all next year, we are thinking about moving so we will hire you, but we won't sign a contract." I have thought about "what if we are not happy, how can we get out of the contract?" Now I don't have an exact answer for these but I think if I stick to my guns I will be okay, I will just tell them if for some reason you are that dissatisfied we will get to that bridge if and when for some reason we get there but until then I try and keep good communication to make sure your happy and will work to keep you happy.

Any comments on how/when to approach them?

I am thinking do it at the end of this season, take some extra time each week to extra nit pick at details so they are happy and the end of the season and approach them about next year while they are fresh with my services and go ahead and get the contract under way.