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General Business Discussions

A place to talk about general business discussions.
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  #1  
Old 06-01-2003, 09:25 AM
Lawn Butler
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Angry

Every month, when the bills are approaching the due date, I start getting really nervous. Last month, I got stiffed on one bill and the guy still hasn't paid.

So I'm trying to figure out a solution to the problem. You see, I can't keep telling myself I'm better off doing this than I would be working for someone else because I'm making XX per hour. As soon as you factor in a dead beat or two, that XX/hr starts shrinking fast.

I've called the bank and investigated credit cards, but in order for me to accept credit cards, it'll cost me 2.87% of my gross revenues, as well as 2.87% on the 7.5% sales tax I'm required to collect for the friggin' government. If you figure in the collection of sales tax, it works out to be about 3% of revenues. At 3%, that's equal to $30 on a $1,000 worth of invoices. Basically, you could re-phrase that to mean that one in every 30 cuts or so is free. That sucks if you think of it like that.

So now I'm thinking of adding a $5.00 "monthly statement fee" if a customer elects to pay via credit card. This would more or less, on average, cover my costs for the credit card processing.

If a customer balks over the statement charge, I could then explain that there is no statement charge for advance pay customers. If the customer is willing to pay an estimated monthly amount in advance every month, he/she can save $5 per month.


Any suggestions?
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  #2  
Old 06-01-2003, 09:30 AM
All County Lawns
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We work in sesonal contracts. The price is set for the entire year, and we have customers sign a contract even for a one time job, stating that they will be charge a % amount of late fee if not paid in full.
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  #3  
Old 06-01-2003, 09:34 AM
Gopher Tech
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Remember you can do this with your late fee option, check the previous message for how to set up your late fees or use the search button at the top right of this window to search for late fees
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