Clean It Up
UK Floor Cleaning Forum => Frequently Asked Questions & Useful Resources => Topic started by: M Walker on November 12, 2005, 11:45:49 am
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what do you reckon the best method of extracting my hard earned money from the customer is? At the present I invoice with no terms hoping that they will feel obliged to pay me promptly. Some do and some dont although I have never had to wait 30 days I would like to encourage prompt payment. Is it reasonable to make invoices payable upon reciept this would work for my smaller customers but I do have one or two bigger companys on board who I would like to see pay a bit more promptly. How are they likley to react to such an invoice. Of course I could offer a discount. here is an example I have one particular customer whom I invoice weekly for amounts exceeding £300 pounds I am three weeks in with no sign of payment yet. So in essence I have produced invoices for £1000 but not recieved a penny. Next week it will be £1200 although they may then pay one. any advice would be very much appreciated
Regards
Mark Walker
The Exeter Cleaning Company
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offer discounts for prompt payments and charges for late payments, always agree terms with the customer first. you are entitled to charge a daily % for late payments.
if you use sage for your accounts, this can be done with ease.
ben
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Thanks Ben I have now Ironed out my invoice problems I talked to the customer and we agreed that he would pay on receipt. I do quite a bit of work for him to the tune of several hundred pounds per week however I let it build up a little before I invoice him otherwise he would recieve invoices daily we have agreed that because of the nature of the job that I will submit one invoice weekly and he will pay it on reciept. Which is a great result. I use Quickbooks but am loath to offer discount on the basis that I will have to mark the job up prior to this I am already at the higher end of the market and expect my customers to pay for the service they recieve.I do not negotiate very much on my pricing I am very busy and would rather walk than give in to some skinflint I am good not cheap. that is the message I am trying to get over. So far it is going very well. Thanks again
Mark Walker
The Exeter Cleaning Company
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New to forum and love helping business owners......
The easiest way to make your business professional is to use business forms. The "Service Agreement" provides all the information your prospect needs when setting an appointment.
Example: Payment at time of Service (and what occurs when not received)
Most residential clients don't like a "contract" but appreciate the Service Agreement.
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Gail, welcome to the forum........ On my invoices I always state for payment on receipt of invoice. Try shopping at Tescos and see if they will wait a month for their money. No reason why we should have to wait. Best, Dave.