invoice dates

Discussion in 'Business Operations' started by stslawncare, Apr 12, 2002.

  1. stslawncare

    stslawncare LawnSite Bronze Member
    from DE
    Posts: 1,484

    hey guys, with all the lawns im getting this year (not many but a huge increase for me) i am trying to do them on monthly billing schedules as much as i can, what i do is mail them an invoice and request payment within 14 days. when shuold i mail these to keep a good money flow, or is it best to do it all at the end of the month and budget my money throughout the month? i was thinking mail it on the 30th then id have money by the 14th, but then do i budget or split it up and do half on 30th and half around end of month or what?
     
  2. tailoredlook

    tailoredlook LawnSite Member
    Posts: 142

    First you should budget for the month. Next what I do is personnally do is put the bill in my customers front door after the final cut of the month. Saves on postage(helps control the budget) and I usually recieve payment within 5-7 days.
     
  3. MuskTurfKing

    MuskTurfKing LawnSite Senior Member
    Posts: 338

    I'd mail em out on the first of the month, then you get your money back because people are usually being paid right then.

    Hank
     
  4. stslawncare

    stslawncare LawnSite Bronze Member
    from DE
    Posts: 1,484

    want to bring this back to the top and get some more opinions.
     
  5. kris

    kris LawnSite Bronze Member
    from nowhere
    Posts: 1,579

    Scottie ... we send them out at the start of the month before we have set foot on the property... By the end of the month when work is completed we usually have the payment.
     
  6. Pro-Cut Lawns

    Pro-Cut Lawns LawnSite Member
    Posts: 71

    Hey Scottie
    I put my invoices in the mail the 1st day of the month with a note on the statement due by the 20th. I had planned on sending part of my customers out the 1st and part of them the 15th this year for a steady cash flow, but Im doing good to find the time to have them done once per month, let alone twice.

    Something I started doing last year was enclosing a self addressed stamped envelope for the customer to drop their payment in. I get my money back in a fraction of the time I did before starting to do that. I only do it on my residentials and not my commercial accounts. Its added expense but has greatly improved the times on getting payment back.

    Larry
    Pro-Cut Lawns
     
  7. scott's turf

    scott's turf LawnSite Senior Member
    from NH
    Posts: 949

    That doubles your postage for the year. I would have a hefty late fee with a system like that to help pay for the additional postage.
     
  8. ekaespencer

    ekaespencer LawnSite Member
    Posts: 1

    This is the first time I have replied to anything on this site so I hope that I do it right.

    My husband started his lawn care business in the summer of 2000. At first I mailed invoices out at the end of every month but I found that the cash flow was difficult to manage. Last year I started mailing out invoices every Friday according to the letters of the alphabet and found that it helped cash flow tremendously. I pay our employees every Friday, so having money coming in all throughout the month made it much easier for me. So far, I haven't had too much trouble getting payments pretty quickly. Most of our accounts are residential; we have about 50 regular residential customers and five commercial accounts.

    I will add, though, that it was a tough winter!
     

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