Thoughts on payment upfront

[TEESSIDE]

Hello everyone

I have been looking at our systems moving into 2017, Last year we made a huge dessision to stop working for local and national chains of letting agents as the payments were dreadful waiting 2-3 months for money, they would take 10 - 12 % commission and wanted us to drop everything to do there work

We have not looked back since stopping there work However I have been looking at who owes us money and most money that is owed is £69.00 - £200.00 Jobs

Meaning the girl in the office is chasing these up daily, Most of the jobs are new customers for say boiler services or little repair work.

I have been thinking of doing a payment upfront plan for 2017 ......

Example 1 - A customer rings to book in a boiler service, Office girl books in and takes money for service

Exmaple 2 - A customer rings no heating or hot water, we take £42.00 Diagnostic charge ... once w go out it needs a PCB we then take a futhur £150.00 before installing the board.

Does anyone do this now?

We have a shop people can come to, someone on phone every day. We cant hide, customers can!

What are your thoughts?

Thanks in advanced

 

[REDSAW]

option 2 sounds good but i would charge after job fitting board for the ballance.
£42 booking fee is not unreasonable.

payment on completion is my method unless established contract customer then 14 days credit or 5% per week after 14 days until paid in full !!

your the boss, set your own terms in your advantage and see if it affects trade!

 

[ShaunCorbs]

Option 2 for me as well but may I make a change

Diagnostic fee non refundable but if repair works agreed will be taken off end cost of Bill

Doesn't make it much of a call out charge then and might stop you loosing business because of a call out charge

But show it don't take it off your bill if that makes sense

 

[joni os]

At first sight of heading I thought it referred to ladies offering alternative remuneration.

 

[newcastle phill]

Im not as big as you by the sounds of it, as i am the engineer and the girl in the office, i am also the I.T guru and head of advertising.
My business model is they pay up when im there or the windows go out when its dark ☺

Probably option 2 tho

 

[REDSAW]

shut up and get me a coffee

 

[Paulplumb]

Same as Phil. Payment by cash or debit card on job completion be it a tap washer or replacement boiler. Don't give people the chance to knock you.

 

[SteveWannadoGas]

Hello everyone

I have been looking at our systems moving into 2017, Last year we made a huge dessision to stop working for local and national chains of letting agents as the payments were dreadful waiting 2-3 months for money, they would take 10 - 12 % commission and wanted us to drop everything to do there work

We have not looked back since stopping there work However I have been looking at who owes us money and most money that is owed is £69.00 - £200.00 Jobs

Meaning the girl in the office is chasing these up daily, Most of the jobs are new customers for say boiler services or little repair work.

I have been thinking of doing a payment upfront plan for 2017 ......

Example 1 - A customer rings to book in a boiler service, Office girl books in and takes money for service

Exmaple 2 - A customer rings no heating or hot water, we take £42.00 Diagnostic charge ... once w go out it needs a PCB we then take a futhur £150.00 before installing the board.

Does anyone do this now?

We have a shop people can come to, someone on phone every day. We cant hide, customers can!

What are your thoughts?

Thanks in advanced

A tutor at college advised us, take the money for the boiler/board/materials, once they arrive on site. Then if the customer defaults, at least you`ll only have lost money for your time. Of course if they aren`t happy to do that, then you might want to reconsider the job. Oh and a bit of advice from Judge Rinder.... get everything down in writing!

 

[Radioman]

I would go for both and maybe have a look at iZettle card payments