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  #21  
Old 12-03-2012, 08:19 PM
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Here, in Florida, I will take on nothing but monthly billing. Per cut people here are cheap and generally have no money. I like to be busy year round, and that comes from people that have properties that require monthly billing.
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  #22  
Old 12-03-2012, 08:37 PM
MDLawn MDLawn is offline
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Would anyone not take full payment up front? Would you offer a discount for it?
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  #23  
Old 12-03-2012, 08:42 PM
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Would anyone not take full payment up front? Would you offer a discount for it?
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Will ALWAYS take money up front - discount = no
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  #24  
Old 12-03-2012, 08:46 PM
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I'm always surprised at the opinions of how to bill clients. and to me what seems simple seems to be complicated to others.

I have always done the work for the month and invoiced for the work performed at the end of the month. if I only cut grass twice that month for $32 per cut then they receive a $64 invoice. if I did 4 cuts plus pruned shrubs for an hour at $35 per man hour then they receive an invoice for $163. if no work was done no invoice is sent.

guess it gets into how you manage your money in my opinion. I have enough saved up at all times and manage it where I don't need to actually be receiving checks every month of the year. I don't need a certain amount of money coming to me 12 months out of the year. the amount is the same whether it comes to me in 6 months, 9 months or 12 months. I still receive the same end total.

in the end I personally will take payment any way I can get it. I have some clients who are actually home and pay me when I'm done each week. most pay me on a monthly basis after I send them an invoice.

I have yet to have anyone pay a whole year up front or ask for a 12 month payment plan.

Money Mgmt is not the issue....the issue is your income is controlled by the customer and the weather, those two factors can limit the amount of money your gross ...no if's ands or but's . You are limited to what the God's give you with a per cut basis.

Now can you plan a good strategy with your money - sure - it is advised I would think - but what happens when during what is typically your busiest time of the year there is a drought...and your income is down 75% vs a regular year...does that make sense to you? Does that sound like a sound business plan to you?
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  #25  
Old 12-03-2012, 08:46 PM
MDLawn MDLawn is offline
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Originally Posted by Landscape Poet View Post
The key for all of you up there I think is to bankroll all their projects...mulch once a year, fertilizaiton, leaf clean up, x amount of estimated mows at a premium prices for you...into 12 equal monthly payments to them. They enjoy the lower level payment and know if that is within there budget ....you of course get more work as more people can afford your "monthly rate" and you are making interest on your investment by charging more for each service ....but the customer sees that monthly payment....that is all they care about....they know they can afford that $ amount. Which is why you see everyone from car dealers to big box retailers advertising items not in TOTAL COST.....but rather monthly payments.
I agree with your thought process. People are completely focused on payment rather than total cost. However I don't like "bankrolling" larger things like mulch or clean up jobs. If they walk you're out on the non repeating services.
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  #26  
Old 12-03-2012, 09:01 PM
MDLawn MDLawn is offline
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Originally Posted by Landscape Poet View Post
Now can you plan a good strategy with your money - sure - it is advised I would think - but what happens when during what is typically your busiest time of the year there is a drought...and your income is down 75% vs a regular year...does that make sense to you? Does that sound like a sound business plan to you?
This is the potential problem and the reason for initiating this thread for discussion.
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  #27  
Old 12-03-2012, 09:15 PM
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I agree with your thought process. People are completely focused on payment rather than total cost. However I don't like "bankrolling" larger things like mulch or clean up jobs. If they walk you're out on the non repeating services.
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I am sure if you put your brain to it there would be a way to still make it appealing to the customer and not extend your risk, especially with a well written contract if you feel the need. Contract or not IMHO the most important thing is how you feel about the customer - are they a risk? If so and you do attempt this with them - then their cost should be higher correct. No different than the bank would treat you if you had missed payments on something and then was applying for a new loan. They might give you the loan - but at a higher rate. Risk vs reward for sure.
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  #28  
Old 12-03-2012, 09:17 PM
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This is the potential problem and the reason for initiating this thread for discussion.
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I know - I am just trying to some input from others who thus far just want to say - there is nothing we can do about it or that is the way it has always been.
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If you aspire to a six-figure income, don't get advice from someone making $18,000 a year!
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  #29  
Old 12-03-2012, 09:24 PM
MDLawn MDLawn is offline
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I'm with ya and would like to have a consistent payment even if it was only the 7 months of the growing/working season. But I'd still be skeptical in extending the larger one time jobs unless I was a larger company with a good amount if funds in the bank to A.) purchase materials and B.) cover costs on non or late payers as the full cost of the large jobs won't be paid for some months.

Good points and I like the discussion.
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  #30  
Old 12-03-2012, 09:42 PM
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Originally Posted by MDLawn View Post
I'm with ya and would like to have a consistent payment even if it was only the 7 months of the growing/working season. But I'd still be skeptical in extending the larger one time jobs unless I was a larger company with a good amount if funds in the bank to A.) purchase materials and B.) cover costs on non or late payers as the full cost of the large jobs won't be paid for some months.

Good points and I like the discussion.
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When I suggested Mulch I was thinking of some of my size properties. My area has lots of lawns that are only 2.5 K or 4K of turf and 500 square foot of beds etc. Extending out mulch for this size would not be a issue for me if I were to have to do this assuming I controlled the time of year the mulch went in. For example right now and the last few weeks things have slowed down as par for the course here, we only work EOW or so on turf maint, so in that off week I could get the mulch done no problem and it dresses up the home for the holiday.
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If you aspire to a six-figure income, don't get advice from someone making $18,000 a year!
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