deposits

Discussion in 'Landscape Architecture and Design' started by slowleak, Feb 27, 2003.

  1. slowleak

    slowleak LawnSite Member
    from 63055
    Posts: 96

    how much of a deposit on sevice is the norm? or do you just bill'm.or does it depend on the material used.?
     
  2. paponte

    paponte LawnSite Silver Member
    Posts: 2,366

    Service? What kind? As far as maintenance, all our customers get billed monthly. If it is design, installation, const. etc. we get at least 1/2 down.
     
  3. Haley Lawn Care

    Haley Lawn Care LawnSite Member
    from NC
    Posts: 119

    That is a very good way to do it. Any thing other than mowing you get half down before you even start the job. That way you have the customer commited and if they would want to back out hopefully you have not lost anything. On mowing I just bill once monthly if they are contract or every 2 times if they are not contract.

    David
     
  4. dougaustreim

    dougaustreim LawnSite Senior Member
    Posts: 488

    Anything over $500.00 is one third down, if the job is real heavy in special material, we go for half. You don't get a spot on the schedule until the deposit is made. The only deviation is of course some commerical subcontract work, where the terms are worked out with the general contractor. Those are usually bonded jobs, so your pretty much guaranteed. Also in the late fall, when we don't know how much season is left, we won't ask for a deposit for jobs that we're not sure we'll get done , unless we have to order special material.

    Doug
    Austreim Landscaping
     
  5. baddboygeorge

    baddboygeorge LawnSite Bronze Member
    Posts: 1,249

    maintance is billed at end of month an design an installation work is 50% down upon signing of contract ..
     
  6. PAPS

    PAPS LawnSite Senior Member
    Posts: 404

    *Maintenance is billed once a month.
    *Construction is a 50% deposit on any work over $1000.00.
     
  7. bob

    bob LawnSite Platinum Member
    from DE
    Posts: 4,254

    I've never ask for any money up front. But I beleive the norm would be enough to cover the cost of the materials.
     
  8. jlmac

    jlmac LawnSite Member
    from Maine
    Posts: 17

    If you don't get a deposit to cover materials and at least some labor you are acting like a bank and financing a portion of the job for your customer. This costs you money. I won't do a job without at least a 50% deposit. Cash flow is the life blood of a small business.
     

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