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questions about collecting payments

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  • questions about collecting payments

    I see most guys/gals charge in average, like $75/month for the standard "mow & blow" which is the average cost of mowing each week during season and twice a month off season, so supposing a customer paid either for a season or an off season then ended the relationship, someone would get screwed no? I'm considering charging per cut to avoid this. How do you guys avoid this issue, if it even is one?

    Also, if I'm not mistaken most charge after the work. I'm thinking about charging before, allowing maybe a job to go by without payment, but charge a penalty for late payment, like $5 to encourage customers to keep funds in their account like prepaid cell phone plans. Is that doable?

    How do you do "auto-payments" anyway? Are there CC payment systems that automate that or should I just leave it to an assistant in the beginning? And what DO you do when you charge a customer the average price during season (where you're doing more work per what you're collecting)and they then stop using you? This must be every newbie's 1st question.

    And how about an auto check collecting system, like what you can do with a standard bank these days with "bill pay" where your bank will send a check on schedule to your bill collector, whoever that may be.

    I know, big question, sorry, but these are important. Maybe there is a comprehensive thread on this someone can refer me to? Thanks in advance for your input.

  • #2
    There are a lot of discussions on here about billing policies. But ideally, if you can get the customer to prepay for the month ahead, you are all set. That way, you don't have to worry about mowing lawns and not getting paid, collecting, or worrying late fees.

    You can have them pay in advance with a check, credit card, or cash. I am not sure about any of the other auto pay options.
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