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Carpet Solutions

  • Posts: 13
Payment up front......
« on: April 13, 2013, 11:15:17 am »
Hello all. For years and is the norm in our industry, we take payment before we can cut any carpet off the roll or fit it for obvious reasons, but for our carpet cleaning side we don't. We have had a few customer's recently promise payment on completion but they don't, often making some trivial excuse, then we are waiting more than the 30 days, sometimes up to 2 months to get paid often (compared to supply & fit) for small amounts that take us time and money to chase. In the past 8 months I have 'written off' nearly £600 in bad debt for our carpet cleaning department.

I was wondering if it would make a huge difference to our customer's whether we insisted on payment (as is our company policy regarding all other parts of the business) before we commence any carpet cleaning ensuring that we actually get paid?

Are any of you guys insisting on payment before commencement? Will it deter customer's?

I must add that we already insist on cash before commencement when doing any EOT work.

 :)


Simon Gerrard

  • Posts: 4405
Re: Payment up front......
« Reply #1 on: April 13, 2013, 11:32:26 am »
It will deter them. The difference between buying a carpet and having a carpet cleaned is you know what you're buying with a new carpet, not so with carpet cleaning, far from it.

Simon

Carpet Solutions

  • Posts: 13
Re: Payment up front......
« Reply #2 on: April 13, 2013, 12:06:24 pm »
I see, but they don't know how the end product will be ie fitting until after the event, so my thinking is that really it is the same as carpet cleaning. Customer's have no problem with paying us the fitting costs up front, do you think carpet cleaning is any different?..

Shaun_Ashmore

  • Posts: 11382
Re: Payment up front......
« Reply #3 on: April 13, 2013, 12:14:14 pm »
I always get paid inless stated otherwise that I get paid at the end of the job or I won't start it, I would put more into insisting this on booking.

Shaun

tony bish

  • Posts: 165
Re: Payment up front......
« Reply #4 on: April 13, 2013, 06:59:20 pm »
Payment up front for fitting ,thats a new one on me .We always take a big deposit or full payment for carpet underlay etc to cover ourselves obviously ,but the fitting we get payment when job is done .Not sure how the big boys work it but all the small companies I know do the same as us .

Carpet Dawg

  • Posts: 2968
Re: Payment up front......
« Reply #5 on: April 13, 2013, 07:07:14 pm »
As Shaun said, insist on payment on completion. Mention it a couple of times subtly in the telephone conversation.

wynne jones

  • Posts: 2918
Re: Payment up front......
« Reply #6 on: April 13, 2013, 07:20:06 pm »
Tell them payment on the day when you book it but then ask how they will be paying on the day. Then they have told you how they will be paying ON THE DAY.   ;)
It's not expensive, you just can't afford it.

Craigp

  • Posts: 1272
Re: Payment up front......
« Reply #7 on: April 13, 2013, 07:50:26 pm »
You cannot legally do it.

I was a member of buy with confidence trading standards scheme.

The Trading Standards Officer told me we (I) are meant to give the 14 cooling off period. Plus we are meant to tell them they have 14 days cooling off.

Really he wanted me to get the customer to sign a form waving their 14 day cooling off period if they wanted the work doing in less than 14 days (which he knew was the case almost all the time)

However he seemed to not mind overlooking the fact I was not going to do this.


This is why we cannot 'legally' charge a cancelation fee. UNLESS they have signed a 14 day cooling off waiver AND the same form need to inform of cancelation fee.

sherco

  • Posts: 1041
Re: Payment up front......
« Reply #8 on: April 13, 2013, 07:51:45 pm »
Dont empty your waste tank until you get paid. No payment put the dirt back onto the carpets!
Natural stone floor restoration service.
Natural stone fixing and repairs.
www.poshstonefloors.co.uk

mark turton

  • Posts: 238
Re: Payment up front......
« Reply #9 on: April 14, 2013, 01:16:02 am »
id keep it simple whether domestic or commercial, when i clarify the job they want and what i can offer with price and they agree i cover the options of payment methods.

then ask which payment method they prefer, then clarify that we dont need paying until the job is complete and they are satisfied.

i complete the job check they are satisfied give them my bank details if asked for bank transfer, or stand there all expecting like (once all kit is loaded back into van) and say well were all done here was it cash or cheque, if its cheque if you can make it out to my company name....usually does the trick. if theres no payment after 2 weeks for domestic 3/4 weeks if commercial, i just call and say hiya i just wondered if there was a problem with the clean as ive not received payment, is everything ok?
if ok (yet to have one thats not) thats great could you tell me when you expect to arrange payment, as i like to keep my accounts in order month by month ideally.







rich123

  • Posts: 59
Re: Payment up front......
« Reply #10 on: April 14, 2013, 02:00:38 pm »
You can't really ask for money upfront with carpet cleaning, it differs from supplying carpet because you're buying a product, cleaning is a service industry.
And you should never pay for a service upfront.

Carpet Solutions

  • Posts: 13
Re: Payment up front......
« Reply #11 on: April 14, 2013, 02:15:16 pm »
Thank you everyone. I've decided to keep it as we have it now for carpet cleaning and that is to invoice after the event. Supply & fit however will also remain the same whereby clients will still pay up front before works. Thank you.