Do some of you do this?

Discussion in 'Business Operations' started by precisionlawn, Feb 10, 2003.

  1. precisionlawn

    precisionlawn LawnSite Senior Member
    Posts: 254

    One question, I'm in the process of typing up a Grounds maintenance agreement. For one, not sure if I should call it a "contract", I think most people would not like that much. What do you think I should title it?
    Secondly, I was wondering if any of you billed for the whole year? Around here its about an 8 month season ,give or take. Say the weekly bill is $40 x 30 cuts = $1200 for the season ( 8 months). Rather than just bill $160 for the 8 months, Do any of you spread it out for a full 12 months, dropping the monthly bill to $100/month? I think it would help keep customers over the off season. What are your thoughts?
     
  2. HBFOXJr

    HBFOXJr LawnSite Bronze Member
    Posts: 1,712

    It's an "agreement" not a contract. Just like it is weed "control" not weed killer.

    Do not spread payment to 12 months! If it is an 8 month work cycle go no more than 9 months with the 9th month being 1 month ahead of any work at the begining of the season or as a "initial payment"
     
  3. paponte

    paponte LawnSite Silver Member
    Posts: 2,366

    Yes it is called a maintenance agreement. People get scared by the name contract. I bill on a monthly basis. As far as the 12 month thing, friends in the business yell at me for it but I do offer a "12 month payment plan" for senior citizens. Where they get an extra 3-4 months to pay their bills. The reason I do offer this is because I know seniors usually get 1 check a month. Yes I wait longer for my money, but it's not like it is killing me. i have enough customers paying monthly. Also I find it good because my seniors are guaranteed checks over the winter months, where normally I would have none. I have picked up a handfull of customers offering that plan.
     
  4. LAWNS AND MOWER

    LAWNS AND MOWER LawnSite Bronze Member
    Posts: 1,129

    I offer a 12 month payment plan to my larger accounts. It's nice to see checks in the mailbox in Feb when there's 10 inches of snow on the ground!!!
     
  5. precisionlawn

    precisionlawn LawnSite Senior Member
    Posts: 254

    Why not!? This way you will be getting checks throughout the"off" season! Makes sense to me, and I think alot of customers would jump for that because it makes there monthly bill drop.
     

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