Commercial Late Payment - How Long is Too Long????

Discussion in 'Lawn Mowing' started by Tn Lawn Man, May 19, 2006.

  1. Tn Lawn Man

    Tn Lawn Man LawnSite Senior Member
    Messages: 479

    I have a commercial account that we just started this year that is set up on a 12 month payment cycle.

    So far we have only seen payment for January.

    I have contacted the manager and have been given the typical excuses that people in the "main office" are fiddle farting around etc....

    Since I am primarily residential I would like to know what you all with alot of commercial accounts think.

  2. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    If it doesn't say anything on your contract, 60-90 days is normal and 120-180 days is not unusual.

    See, I get real nervous about money, even a lousy 100 bucks does it to me, I got to get paid that is just how it is. So, on my commercial contracts it says payment in 10 days is expected then it is late and service can be interrupted and blammo I get paid super pronto.
  3. carcrz

    carcrz LawnSite Silver Member
    Messages: 2,085

    If there is a headquarters number on their paystub from the first payment, try talking to them. I had trouble getting paid from a daycare. They always paid, it was just about four months late. I called the accounts payable department & asked them what I needed to do because the lady had not been paying on time. They told me to fax them over the invoices & I had full payment in about 2 weeks.

    TJLANDS LawnSite Bronze Member
    Messages: 1,668

    You have four payments that are late. That is not common. I charge 2% late fees for any payment over 30 days which in your case would be Feb, march and April. You just have to be careful that the commercial property in Question is not going under. Otherwise they do eventually pay up.
  5. Liquidfast

    Liquidfast LawnSite Senior Member
    from Ontario
    Messages: 739

    I soon expect to be paid from a comm. spot I did in January. When I called, they told me the check will be ready at the end of this month. :dizzy:
  6. zero_turn_mowers

    zero_turn_mowers LawnSite Senior Member
    Messages: 410

    I have went through this for a couple years now with one large account, I send them a bill they might in a 4-8 weeks later send a check for 2/3, they are alway behind, it pays good enough when they do pay, most are slow but how every that is where the money is if you can ride it out.


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