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Checks in the mail

Discussion in 'Landscape Lighting' started by MarkOlex, Apr 22, 2008.

  1. MarkOlex

    MarkOlex LawnSite Member
    from VA
    Posts: 28

    Here is the situation. 65 days and no pay from a commercial client. Not returning phone calls. Has told me 3 times the check is in the mail; last time was the 10th of april. What would you do?
     
  2. Pro-Scapes

    Pro-Scapes LawnSite Platinum Member
    Posts: 4,181

    Pay a personal visit to have a check issued on the spot. If they are unable to issue a check on the spot I would ask if they would like to arrange a payment plan. If thats no good I would have my lawyer send a certified letter at 90 days.
     
  3. INTEGRA Bespoke Lighting

    INTEGRA Bespoke Lighting LawnSite Platinum Member
    Posts: 4,102

    It all depends how much the invoice is worth to you. You could sell the receivable to a collections company, or you could lein the property, or you could issue a final demand payment letter, followed up by a small claims suit.

    It really comes down to how much the invoice is worth and what it will cost you to recover the money.
     
  4. daveyo

    daveyo LawnSite Senior Member
    from N.J.
    Posts: 907

    I put them directly into collections, www.olddebts.com, its cheap and very effective, choose the option that puts there credit rating straight down. Second forget about small claims go to the township and file criminal charges for theft of services. Meanwhile let the client know what you are doing, tell them its not a threat its just your policy. 100% of the time I get my money, it may be a little bit less (very little) but they all pay.
     
  5. Lite4

    Lite4 LawnSite Gold Member
    Posts: 3,104

    You need to send a certified letter stating that you will lien the property if payment is not made within say 5 business days. Your envelope for liening property is 90 days from the date of completion. (at least it is in my state) If you lien his property he cannot sell a single unit or piece of it until he has satisfied the lien. That is unless he really hates you, but then he has to put up money in escrow for the value of the property which is usually a whole lot more expensive and complicated. 99% of the time they will just pay the bill. I have had to do this in the past. It's not personal, it's just business. You need to make sure you are covered.
     
  6. Chris J

    Chris J LawnSite Silver Member
    Posts: 2,804

    Give him one last call and tell him of your intentions. Tell him he has 24 hours to return the call or you will act upon either of the above mentioned methods. If he calls, tell him you will pick up the check personally.
     
  7. Lite4

    Lite4 LawnSite Gold Member
    Posts: 3,104

    Tell him "cashiers" check please.
     
  8. Chris J

    Chris J LawnSite Silver Member
    Posts: 2,804

    Yeah, that! Sorry I forgot to mention it.
     
  9. INTEGRA Bespoke Lighting

    INTEGRA Bespoke Lighting LawnSite Platinum Member
    Posts: 4,102

    Cash, Money Orders and Certified Cheques work pretty well too!
     
  10. INTEGRA Bespoke Lighting

    INTEGRA Bespoke Lighting LawnSite Platinum Member
    Posts: 4,102

    VISA, MC, and others

    I just set up a merchant VISA account for my biz. Do others out there accept credit cards and if so, what do you do with the 1.75% to 3% fee that they charge? Do you add it to your invoices and then "cash discount" for those clients who choose to pay with a cheque?

    I know that not everyone will opt to pay for their invoices with a credit card... but if they did it would cost me about $20K per year in transaction fees! I am all for convenience and giving the clients what they ask for, but that little transaction fee can sure add up.

    Regards.
     

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