Busier then ever and NOTHING to show?

Discussion in 'Business Operations' started by Ethanslawn, Jun 29, 2014.

  1. Locqus

    Locqus LawnSite Senior Member
    from Detroit
    Posts: 708

    Our "work for nothing" situation comes from our poor cash flow and slow payers. On paper we look solid as ever. Its the chasing money, calling etc. that is draining us and keeping things running tight. Slowly making changes to help with this, Locqus etc. but it will be a few month process. Just have to tighten the screws on things to get it where we actually have some breathing room for how hard we work for it.
     
  2. Ethanslawn

    Ethanslawn LawnSite Senior Member
    Posts: 283

    I know what my costs are and my pricing is competitive. I have all the work I can handle at moment which is a good and bad thing because all of it is small work (residentials) which stops me from bidding the big commercial work where the money is really at here in the northeast. And I just wanted to see if it was the same across the board or not.
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  3. dstifel

    dstifel LawnSite Senior Member
    Posts: 919

    To help with cash flow any project over 1k I require 50% up front. Just an idea.
    Posted via Mobile Device
     
  4. Locqus

    Locqus LawnSite Senior Member
    from Detroit
    Posts: 708

    ^^ Got that great tid bit of info off of another company I am good friends with actually and that is helping a lot too. We set it to anything over $500 is 50% up front. Helps tons! Keep that stuff comin!
     
  5. ed2hess

    ed2hess LawnSite Fanatic
    Posts: 13,138

    I think that might apply when materials are involved?
     
  6. Locqus

    Locqus LawnSite Senior Member
    from Detroit
    Posts: 708

    ^^ Oh yes, but of course.
     
  7. shane-pa

    shane-pa LawnSite Senior Member
    Posts: 337

    I started putting a finance charge on invoices over 30 days late. that seemed to help quite a bit. might tighten that up to 15 days.
     
  8. shane-pa

    shane-pa LawnSite Senior Member
    Posts: 337

    I am also looking at accepting credit cards.
     
  9. Locqus

    Locqus LawnSite Senior Member
    from Detroit
    Posts: 708

    Credit cards def. help. Especially with the high balances some may have. Easy to just toss it on the CC and forget about it.
     
  10. AI Inc

    AI Inc LawnSite Fanatic
    Posts: 25,297

    Why? Most take a while to pay and all that matters is price.
     

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