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Starting a lawn care business. How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.

Do you bill monthly?


Starting a lawn care business.

How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.
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  #11  
Old 03-05-2011, 10:26 PM
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Quote:
Originally Posted by Hedgemaster View Post
That's sort of what I was wondering... does it make things too complicated if some people want to pay "now" as opposed to waiting?
I just use my daily schedule from Gopher and mark their payment by their name so when I come home to mark the completed jobs I can also input the payment. Mark it as soon as they pay even if you have to get off the mower and walk back to the truck. Billing someone for a payment they made would get sticky.

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Originally Posted by Hedgemaster View Post
I'd imagine "monthly" would work very well for a "contract" client, but how about "one time" customers - say a hedge cutting job - do you bill them at the end of the month as well, or is that a "take it as soon as you can get it" situation?
No, everyone gets a bill on the last day of the month. I've been considering even sending a zero bill as a receipt to those that pay at service but I never seem to get around to it.
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  #12  
Old 03-06-2011, 01:54 AM
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I have gone to billing the month in advance. It seems to be working out well for me. I send out invoices on the first and due by the 15th of the month. Customers haven't complained one bit.
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Old 03-06-2011, 11:18 AM
SpokaneSRC SpokaneSRC is offline
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I'm afraid of asking a new contract client to pay for a month in advance when they know nothing about me or my company. But I also don't want to have to try to collect (for the previous months service) from people who have a hard time paying.
One time services need to pay at the time the service is completed.
I appreciate all the info.
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Old 03-06-2011, 11:50 AM
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I send my bills every 15th and 30th of the month. I also give them 15 days to pay, after that we stop service
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Old 03-06-2011, 07:20 PM
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We bill about 90% the first of the month. The other 10% pay after we mow. If we have slow pay we send a past due notice by e-mail. If they do not respond by next day the service is cut off till payment is made.

I had one customer that late pay too many times and fired them. Don't want to play games with my customers!
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Old 03-06-2011, 07:33 PM
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Quote:
Originally Posted by SpokaneSRC View Post
If you have contract customers, do you bill them monthly? and if so, do you ever bill for the previous months cuts or are they always billed and paid prior to cutting?

I was thinking for customers who sign at least a 3 month contract, that I would bill them at the end of the month and have it due by the 10th of the next month. Too risky?
I think monthly is good for the down economy.
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  #17  
Old 03-06-2011, 08:31 PM
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I bill on the first of each month for that months service, with payment to be made by the 15th of the month. It has worked out very well and I am not out a lot of service if a client can't pay. I also have a lot of clients that have insisted on giving me post dated cheques 6 or 12 months advance. I really like that option, never an issue knowing your not getting paid. I've never had a client's cheque bounce, thank goodness for "lil old ladies".

For our one time services/clients, they are billed once service is performed and same rules apply ... 14 days to pay. Most of these clients want to pay once your done anyway, so it has never really been much of an issue for me.

Lloyd
Blue's YardFX
Camrose, AB
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  #18  
Old 03-06-2011, 08:37 PM
USA Lawn Care USA Lawn Care is offline
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I've never used a contract but we collect as we mow. It has absolutely saved the spring cash flow issues. When I ran my business years ago, we did the usual billing at the end of the month. Spring was way too expensive for me by doing that (expenses keep adding up until money starts flowing in about 7 weeks later) and I think any new folks in the business NEED to look at keeping cash flow by either collecting the day of the cut or (as some here do), collecting in advance. I even tried billing twice monthly (15th and 30th) but my customers hated it. If our payments / bills crossed in the mail, they were confused and were constantly adjusting what was actually due. We did it for a few months and dropped it.
We are 100% pay as you go since last season and it has been a life saver and probably the most positive change our company made.
New lawn companies...........you NEED to be able to cash flow your business and customers paying NOW will save you tons of issues.
Hope this helps someone out.
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  #19  
Old 03-07-2011, 10:25 AM
SpokaneSRC SpokaneSRC is offline
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All this info is a big help. Probably will collect as service is performed, at least at the beginning.
Thanks for all the input.
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  #20  
Old 03-09-2011, 07:51 PM
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Mcscapes bills advanced monthly but the customer sets up the day of the month there due, I don't claim to know what my customers bills look like but the first is a load for a homeowner so let them pick whats good for them. We haven't had a problem with customers paying but we do have some that forget and that's why I'm here to remind them. Business isn't just about you doing a good job it has a lot to do with what kind of person you are, there are times when you need your customer to work with you the same should be done for the customer. Thanks for listening BRIAN
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