Flat rate Billing or Bill Due at Completeion?

Discussion in 'Lawn Mowing' started by Lawn Wizard, Nov 25, 2001.

?

How Do You Bill Your Customers?

Poll closed Dec 25, 2001.
  1. I bill them when the work is done

    7 vote(s)
    50.0%
  2. I bill my customers a flat monthly rate for the season

    7 vote(s)
    50.0%
  1. Lawn Wizard

    Lawn Wizard LawnSite Member
    Posts: 99

    Was just wondering how many people charged for their services as they are done, and how many people add up the services and bill them over the season.

    This upcomming season i really want to get all my customers on a flat monthly bill and was wondering what percentage of LCOs do it each way.
     
  2. Chuck Sinclair

    Chuck Sinclair LawnSite Senior Member
    Posts: 336

    On my maintenance accounts i bill on the first on the month due by the end of the month. All extra work is billed on completion of the work.
     
  3. Monthly, but will be doing avg across 8 months neaxt season, with a pre pay.

    Pay starting March 1st till November 1st. Start mowing April, unless it starts growing earier.
     
  4. Guido

    Guido LawnSite Silver Member
    Posts: 2,085

    There is a good thread going on right now about 12 month contracts and the such.
     
  5. kutnkru

    kutnkru LawnSite Silver Member
    Posts: 2,662

    If you havent done this in the past you could bill your clients for the lawn and fert portions and then add on the other services you provide to them as completed.
     
  6. Scraper

    Scraper LawnSite Bronze Member
    Posts: 1,656

    I have been feeling out my customers lately on going to a 12-month payment plan where I will pro-rate an average number of cuts (28-32) as well as fertilization applications over a 12-month period. All other work like mulching, herbicide application and cleanups will be billed on an as-done basis. So farr people seem to like the idea. This way they don't get slammed on 5 cut months and they as well as I can budget accordingly. Not to mention the checks coming in during the winter months will be nice when I am sitting around waiting to go skiing. I have also thought about a pre-pay discount, but I have decided against it for the time being.
     
  7. kutnkru

    kutnkru LawnSite Silver Member
    Posts: 2,662

    Scraper

    The best part IMHO about the 10 month billing system is that you will have cash flow coming thru your doors prior to start up and after completetion of the season.

    This will not only make your life so much easier, but less stressful too. I have one commercial client who signed up for the 12 month plan starting in January. I believe that my residentials will go no further than the 10 and thats fine with me.

    Kris
     
  8. landscaper3

    landscaper3 LawnSite Bronze Member
    Posts: 1,354

    On grounds maintenace we bill at months end. On ponds, landscape lighting, hydroseeding or other landscape services we charge regular customers 100% materials up front and 100% of labor charge when finished. On new customers we charge 100% of material and 50% of labor up front and depending on the size and length of job we may get 25% 1/2 way through and the other 25% when finished or all 50% when finished. This we found over the years this policy is our best way to protect us incase of no payers. So if a customer stops paying 1/2 way through we still got 100% of RETAIL!!!! material cost and at least 50% of labor charges so we wont loose ANY!!!!! money we may not make much but we dont loose any. If a company or person doesnt like our policy its probly becuse they fall in the no payers demographics. We close at least 80% of our estimates and and out of those 80% we get 100% of retail cost of materials on the day they SIGN THE CONTRACT!
     
  9. KirbysLawn

    KirbysLawn Millenium Member
    Posts: 3,486

    Same here. I invoice on the 1st of the month due on the 15th.
     
  10. AltaLawnCare

    AltaLawnCare LawnSite Senior Member
    Posts: 962

    Some customers are billed per job, and some are monthly payments (12 equal based on avg visits)

    All new customers are done on the 12 month payment plan - no more "per job" billing for me! I made my statements, "payable upon receipt" - but thats hard to enforce.

    I'm doing like scraper is doing for customers who want the nice little extras ! :D
     

Share This Page