Thread: Late Fees?
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Old 05-15-2014, 03:09 PM
GreenCanvas GreenCanvas is offline
LawnSite Member
Join Date: Apr 2013
Location: Ohio
Posts: 18
Originally Posted by keys861 View Post
This is my first year and the help that I have learned from this site has been tremendous.
I usually send out bills for the previous months service on the 25 or so with terms payable by the 7th of the following month. My question is about late fees. Do most of you add a late fee if not paid on time? If so, how much? Do you put those terms on the invoice?
We tried late fees a few seasons ago, but stopped. Instead of trying to collect MORE money when they already weren't paying, we decided to switch the people who were consistent problems to CASH ONLY. NO CASH, NO MOW. This resolved our problem immensely!! We also changed the terms of payment on the invoices to Due Upon Receipt. I've been told that unless you offer an agreement, that they sign, you are not required to give them 30 days to pay. In our opinion work was completed and payment is due. Period. They know this bill is coming so they needed to or SHOULD have budgeted for it.
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