Keeping customer credit card on file?

Discussion in 'Starting a Lawn Care Business' started by Da_R3DN3CK, Sep 22, 2013.

  1. Da_R3DN3CK

    Da_R3DN3CK LawnSite Member
    Messages: 9

    I just recently signed up with square and got the card reader to start accepting credit cards. I am hoping that it will help me with what we all struggle with at times... CASH FLOW!

    I recently was reading a thread (forget which one) and came across I thought the video on their website explaining their business model was very interesting. They keep customer credit cards on file and charge the customer for the lawn mowing the day after service. A cool way to get your money right away!

    1. I am wondering if anybody else is doing this, and how you go from being only a cash or check business, into a get-paid-right-away with credit card business?

    2. Do i charge a credit card fee with their payment? Or is it worth it to eat the cost of the credit card because I am getting paid on time?

    3. Also what software would I need to properly/ securely store all these credit card numbers for my customers?
  2. Slimreynolds

    Slimreynolds LawnSite Member
    Messages: 96

    great questions...I'm interested also as I plan to start accepting cards next spring.
  3. cpllawncare

    cpllawncare LawnSite Silver Member
    Messages: 2,659

    We started taking credit cards this year, problem is until you have a certain relationship with the customer most aren't willing to give the landscaper access to their credit card number to hold on to. Unless you upcharge for CC fees it will eat into your profit, most small companies do charge for using CC's though.
  4. 205mx

    205mx LawnSite Silver Member
    Messages: 2,393

    Different to accept than to keep on file
    Posted via Mobile Device
  5. cpllawncare

    cpllawncare LawnSite Silver Member
    Messages: 2,659

    Understood, we do both.
  6. TX Easymoney

    TX Easymoney LawnSite Platinum Member
    Messages: 4,109

    I have not had amore than a few odd problems with folks allowing us to keep a credit card in file for 10, years...I won't do work without it...not allowed to charge fees...but bank account automatic debit is much cheaper...30cents a transaction...goto QuickBooks. It does it all.

    Once you move to having multiple crews, you will apreciate not having crews go to the door and waiting on payment...
  7. cpllawncare

    cpllawncare LawnSite Silver Member
    Messages: 2,659

    How do you handle charging for different services? does the bank withdrawal allow for different rates? We do f/wc also so the bill isn't always the same.
  8. TX Easymoney

    TX Easymoney LawnSite Platinum Member
    Messages: 4,109

    Most all ours are on contract...but I have them fill out an authorization form...the service agreement states that when extra services are performed we will charge them to their card after...I recommend submitting an estimate prior to extra services..
    The bank withdrawls can be done each invoice or might want to email them with the bill and then ask them if its ok to debit their bank account if charges are different from month to month
  9. TX Easymoney

    TX Easymoney LawnSite Platinum Member
    Messages: 4,109

    We do have some where we bill monthly with all the performed work kn the there are different services etc...contracts are vastly different and easier

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