answer this question for me.

Discussion in 'Lawn Mowing' started by lawnwizards, Jun 12, 2008.

  1. lawnwizards

    lawnwizards LawnSite Silver Member
    Posts: 2,434

    i have a commercial account that pays 1600 per month. say they dont pay this month? i usually charge 5% late fee but being its 1600, that would be 80 bucks. wouldnt that be considered excessive? would you continue with the 80 bucks or would you lower the late charge? thanks.


    randy.
     
  2. jsaunders

    jsaunders LawnSite Bronze Member
    Posts: 1,781

    LATE IS LATE!!!!!!!!!!
    It doesn't matter if it is $15 or $15,000- Pay your bill on time and you don't have a late fee. No one gives a s@#T if my bills are late- I get a fee added as well.
     
  3. MitchDaniel

    MitchDaniel LawnSite Member
    Posts: 33

    If it is written in the contract, you might be okay to do that. However, I wouldn't wan't to lose a $1600/month customer either! You might just let them know that if it's late the next time, that there will be a 5% late fee. I try to be friends with all of my customers though. I know they will pay me, so I am not worried if it takes them a few weeks. I know where they live! :) I've never had anyone to cheat me out of any payments.
     
  4. MitchDaniel

    MitchDaniel LawnSite Member
    Posts: 33

    On the other hand, I don't deal with commercial accounts. They might be more likely to try to cheat you with the way the economy is.
     
  5. Scagguy

    Scagguy LawnSite Bronze Member
    Posts: 1,522

    I have a commercial account that's always 45 days late. When their contract came up for renewal I figured an extra 6% for late fees plus additional costs for fuel, fert etc. Went through their committee process with no problems. Went from $2760 p/m to $3130.
     
  6. bohiaa

    bohiaa LawnSite Fanatic
    Posts: 5,220

    How Much interest does your bank give you on your money ?

    NOW how much do they give ya if You DONT deposit money ?
     
  7. johnnywill08

    johnnywill08 LawnSite Senior Member
    from MA z6
    Posts: 383

    whatever the contract says... no late fee stipulation- can't charge it, unless they sign off on it..... if you don't have a a piece of paper, that's just a bad idea w/ commercials.....
     
  8. k911lowe

    k911lowe LawnSite Senior Member
    Posts: 526

    ditto for me.
     
  9. zemzabob

    zemzabob LawnSite Senior Member
    Posts: 321

    I would have to think about that one, dose this happen often or is this there first time being late, is this a good account, is the pay good for time of cut. I would take all that into consideration before charging them $80 late fee. You don't want to lose a good account over a one time late fee.
     
  10. ResidentialOwner

    ResidentialOwner LawnSite Member
    Posts: 21

    If this is a one time thing cut the guy some slack, if he is a cronic late player fee him.
     

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