My 1st real PITA

Discussion in 'Starting a Lawn Care Business' started by Poncho25, Aug 14, 2006.

  1. Poncho25

    Poncho25 LawnSite Senior Member
    Posts: 369

    Ok....so I have this local client, they live like 10 houses down from me.. they haven't paid for last months service or this months yet, I have left them about 3 messages on their answering machine at home, and sent out a letter stating that they were late for last months. I have not heard peep out of them yet, no call no letter no check, nothing. My wife told me to stop doing their yard till I at least hear back from them...so today was the day she was on my route, and I skipped her.... here's my thing...now, how does one go about collecting whats due? Do I just keep sending her letters? Its also stated in the agreement we singed that anything past due is getting a 1.5% charge per month its over due....what do I do at this point with them?

    (and she told me that their last LCO just stopped showing up.....what person in their right mind would stop showing up as long as they are getting paid.......... thing to remember!! people do not just STOP showing up for a paying customer!!)
     
  2. K&A Lawncare

    K&A Lawncare LawnSite Member
    Posts: 38

    I have heard of guys putting a lien against the house or send them to a collection agency.
     
  3. ChadsLawn

    ChadsLawn LawnSite Bronze Member
    Posts: 1,110

    HAve you knocked on there door? Since you live close to them. Go there around 7ish. If they dont pay, send a certified letter stating there going to collections(just to see what they do). Yes stop mowing them like the wife said. keep knocking on there door.


    Oh can I see a copy of your agreement( a blank one)
     
  4. K&A Lawncare

    K&A Lawncare LawnSite Member
    Posts: 38

  5. Charles

    Charles Moderator Staff Member
    Posts: 7,952

    10 doors down? I would be on their tails every single day. To run your business properly, you have to become a fierce debt collector. You make it a point to pass their home every single day(if nobody will come to the door) You catch them out in the yard and you ask them nicely to pay you. YOu just keep doing this until they pay you to go away:)
    If that doesn't work then its debt collector, lien etc
     
  6. Dunn's

    Dunn's LawnSite Bronze Member
    Posts: 1,534

    Give this company a try poncho they work great for us and are one of the fastest growing collections agancy in the country it doesn't cost you unless they collect.

    Anderson, Crenshaw & Associates, LLC

    12801 N. Central Expressway, Suite 250

    Dallas, Texas 75243

    866-400-4550 Ext. 2506 (tel)

    866-400-5110 (fax)
     
  7. Poncho25

    Poncho25 LawnSite Senior Member
    Posts: 369

    Thanks DUnn!! Reason I don't want to start harrasing them at their house is because of how close I live to them. Its not like if your late on a payment for your car/truck that you bought down the street they are not going to come to your house and ask, its not professional in my opinion. I left them a few messages, very nice ones, asking for them to please call me back, no response, sent a late notice letter still nothing...so going to wait a few more days before sending them another letter stating that they are being charged a late fee now, and that service has stopped till this issue is resolved. If at that point I still don't hear anything, I will give that company a call. Here's my question tho, what if they are REALLY PITA'S and claim that you never did their lawn, blah blah blah...ya know where I am getting at? I mean, the only proof i have is the records I keep for every visit that was made...not that it would stand up in court or anything cause anyone can doc something like that up quick.... Its not alot that they owe me, but two months service, just wondering if it really pays to go after them for it through an agency? What are the fee's after they collect it?
     
  8. Dunn's

    Dunn's LawnSite Bronze Member
    Posts: 1,534

    they take thirty percent but legally you are allowed to charge any reasonable collection cost to the customer so you take what they owe you lets say 100.00 to make it easy when you send it to collections you make it for at least 145.00 that way the collections agency gets 43.50 and you make 1.50 for the trouble of having to have to send it oh yeah add a late fee on before you send it as well we add a 10% late fee we call them 2 days before the bill is late to remind them as well sometimes it helps others it does not. so after the first bill is late you send a second with the late fee and a letter stating how many times you tried to contact them by phone and that if you dont hear from them by the day after the second bill is late that it will be sent to your collections agency put there name there and it will incur further charges. we also take picures of all properties we service with digital camera and send the pictures to collections as well.this company is great because they can be nice in there collections attempts if you want to keep them as customers or they can haunt them till the day they die. whichever you prefer we prefer haunting them.
     
  9. garth1967

    garth1967 LawnSite Senior Member
    Posts: 640

    in my experience nothing works better than good old fashioned door knocking.the fact that they are 10 doors up wouldnt bother me and certainly hasnt before
     
  10. ChadsLawn

    ChadsLawn LawnSite Bronze Member
    Posts: 1,110

    Poncho Ill be your debt collector. want me to come over?
     

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