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payment, when?

Discussion in 'Starting a Lawn Care Business' started by dapozer, Dec 12, 2005.

  1. dapozer

    dapozer LawnSite Member
    Posts: 52

    do you guys bill ahead or behind? any issues with getting paid if you are billing behind? how about 1/4ly billing with small discounts?

    PMLAWN LawnSite Gold Member
    Posts: 3,535

    Monthly, At the end of the month for prior month.
    For one time work we invoice that night and mail in the AM

    1/4ly is to long to wait
  3. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569

    On straight maintenance Invoices go out on the 1st day of the month due by the 15th day of the month FOR THAT MONTH. This way the clients are getting the first two cuts on "credit" and paying for the last 2 (yes rarely 3) in advance. That way it is a two way street of trust and I have limited time I am acting as their creditor. I bill every month that way with no issues and I am billing seven figures yearly.

    On installs and landscaping No Deposit is required but the entire bill is due upon completion.
  4. LB1234

    LB1234 LawnSite Gold Member
    Posts: 3,210

    Lawn/Landscape work with contracted customers gets billed at the end of the month, due by 14th day of following month.
    One time customers or larger jobs (>$1k) with existing customers have to give a deposot before work can begin. Balance is due anywhere from upon completetion, 6 days after completion, or existing customers get added to their monthly invoice. Late fees are added to customers.

    Snow plowing is done with a net 30 day payment with invoices going out every Saturday. 18% annual (1.5% monthly) finance charges apply.

    Issues getting paid, yes. 99% of the time it is cleared up with either a second notice or phone call. One time (this past year) we had to send third and final notice via certified mail with cover letter indicated a copy was sent to attorney and this would be the last you will be contacted directly from us. Needless to say it worked.
  5. YardPro

    YardPro LawnSite Gold Member
    Posts: 3,563

    we bill some of out smaller accounts ($70.00 per month) every 2 months..
    landscape work for good regular clients are billed at end of the month up to $5k.
    Larger than that we bill upon completion...

    Jobs for new customers we get either a 50% down.. 50% on completion.. OR on jobs over $10K we do 30%, 30% remainder.....
  6. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

  7. Lawn Masters

    Lawn Masters LawnSite Senior Member
    Posts: 850

    I am charging before each cut. if I'm not paid, I'm not mowing it. you know the drill right?
    I REFUSE to be screwed out of my payment, I got to help pay my part of the bills too, so its pay up, or I'll send Bobby Gedd after ya lol.
    We all got bills to pay, and this pays them, its either the customer pays us, of we find a way to collect it ourselves.(within legal means of course)
  8. MMLawn

    MMLawn LawnSite Gold Member
    Posts: 3,569

    BUT the big difference is you are only 17 and people "expect" to pay a 17 year old that way, they do not expect nor should they have to pay a real LCO that way.
  9. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

  10. Lawn Masters

    Lawn Masters LawnSite Senior Member
    Posts: 850

    Good point. but it sure is nice to get payment on time though, or early. isnt it?

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