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View Full Version : how to get paid (billing)


s13browe
04-13-2010, 12:10 AM
I guess my Question is what are the different ways you deal with billing and receiving your money? Do you mail out a bill at the end of the month, than drive buy each house for your check at the beginning of the month. Or do they mail you the check?

I want to bill monthly and am trying to get my money with the least amount of wasted time? Any suggestions on how you do it would be nice.

CHEESE2009
04-13-2010, 12:38 AM
Post dated checks might work.

Though I fear of bounced checks

Steve
04-13-2010, 10:14 AM
Can you get paid in advance? Can you get paid the day of?

The faster you can get paid the better.

s13browe
04-13-2010, 03:24 PM
Im just thinking that if i have to wait for the customer to write me a check or stand by the door till they come to it. I Would be wasting my time. If there was a way i could just mail them a bill and they mail back a check that would save me a lot of time. That is what bigger company's do why shouldn't we? (electric bill, gas, credit cards, why not Lawn care?)

CHEESE2009
04-13-2010, 04:39 PM
There are some people who will say, "i have already mailed you a check/money"

then you are waiting weeks, & weeks, & weeks.

Forget it.

Just give them an invoice in their mailbox with a due date.

You can order custom envelopes with your logo on them.

This is what I plan to do next year;

Send my customers an open envelope with my invoice in it, they can put the money in the envelope & close it, then place it back in their mailbox for me to pick up next time I visit.

mark123
04-13-2010, 05:05 PM
I always use USPS to deliver my invoices. I include the bill, an envelope addressed to myself and a business card. I bill once per month. Most customers are on pay for service rendered plan (only pay during mowing season) and others are on a monthly service plan (pay all year). The worst issue I've had is one customer likes to wait 4 weeks after billing to pay.

Leaving bills always caused issues when I worked for other companies so I never do it. Mail only.

s13browe
04-13-2010, 05:58 PM
Those are some good suggestions. I might figure out a good way to send out my bills near end of month with due date, included return envelope postage paid. Than hope money comes in the mail..

mark123
04-13-2010, 06:06 PM
I don't put a stamp on the envelopes. I leave that up to them.

psparaco
04-13-2010, 09:11 PM
on the day i mow my client's properties. i never wait for money. I get in mow, trim and blow and get out. move onto the next. everyone knows in the contract it states they have 5 days to pay before having to pay a late fee. most pay me within 2-3 days. usually i give them a call the day before it would be late and remind them. and i always have been paid on time. unless they are sitting on the porch with money in hand i dont wait for it. i have too many lawns to do in a day that waiting for money takes of too much time. i come back on my day off which is always fridays usually and pick up all funds. hope this helps.

Steve
04-14-2010, 09:44 AM
That is what bigger company's do why shouldn't we? (electric bill, gas, credit cards, why not Lawn care?)

You bring up a really interesting point. I think there is a big difference though between utilities / credit card companies and small businesses.

Utilities, many times have you pay a deposit. They can also shut off your utilities and they know you will have to pay to get it turned back on.

Credit cards will mess up your credit if you don't pay them.

On top of all that, they have lots of money and are probably doing fine with their cash flow.

In a small, one man operation, cash flow is their life's blood. If they don't have good cash flow, they can go out of business. What I mean by cash flow is a regular inflow of money from customers. You shouldn't want to model your billing after big companies because they have different mechanisms to handle billing and collection.

As a small business owner, you need your money today, now! Not after a month and then maybe even later, whenever the customer gets around to it. You need to be paid today!

So that is why I say, the faster you can get paid, the better it will be for you.