Billing Your Customers

[skyracer808]

Hereis a question? When just starting out, how did you guys bill your clients?

Did you want payment after the job or did you send them invoices?

[alcpi]

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When I was just starting out I would head back over to the house in the evening to my cash if they weren't home when we cut, if they were, I'd knock on the door. This got old, however, and then starting using statement booklets w/ carbons from Office Depot. Say maybe 2 cuts lawn maint. @ such and such $.........total. Have your address on there and when finished just drop in there mailbox.

[Scaper-S2k]

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QuickBooks Pro is a great program for tracking invoices and their payments (and all other business angles). I'm not sure if the regular 'non-Pro' edition lets you invoice, I think it does though.

If the price is too steep, maybe look into another type software. I do believe you can get other types that are strictly just for creating invoices for under $60.

It really is a good way to go, and a good investment. We bill monthly by the way.

<<Don't Fear the Green!>>

[Scott]

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I've always billed my customers. I got a cheapo program from Office Depot for something like $40.
"Invoices and Estimates" or something like that.

[GroTech2]

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When I do the bid and get the job I tell the customer that they will be billed on the 15th with payment due on the 25th. Very unusual that I dont get the ck by the 25th but if I dont I'll give them a call.

Made a simple invoice on "Word" that works just great.

[GrassMaster]

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Hello Everybody:

I Billed My Customers Once a Month! Like any other Business Would that's used several times a Month on a Regular Basis.

One of the Main Reasons you are Hired is Because They do not want to Hassle with any of it & The Once a Month Billing Cycle Just Makes Their Life a Lot Easier!

<b>Have a Nice Day!
GrassMaster - Admin -Click to PM Me or E-Mail Me!
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[Phil Nilsson]

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Look into the prospects of setting up customers on the seasonal contract program ... all known services on contract, payments put thru charge cards, 48 hour money into your account, they get bill from credit card company, you give them service done via email or hard copy mailed, they can finance your services easier ... check out how to make your life easier, might work for you, might not.

Phil Nilsson
Nilsson Associates Consultants
Visit Lawn Service & Landscaping Book Store

[srlawnservice]

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Second year in business. 1st year we did it ad hoc, bad move. This year we have been billing every other service with self addressed stamped envelope in door. Stamped envelope, good move, every other service, bad move. We're going to once a month billing next year with the self addressed stamped envelope. Stamps this year are costing us more than gas.

RL

[jg4jesus]

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Is it a good idea, if I am just starting out & I need to get the cash flow going, should I immediately request payment upon completion of initial service then start billing? I'm having a tough time collecting on a clean up job we did of about $300 and now I feel like I should have said payment is expected upon completion then start billing for the 1 yr. contract. They did say they wanted a contract.

Or how should I handle this?

Thanks!

[Kidsweet]

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This is first year in business. I myself get payment upon completion of job. I have heard of some stories and don't want to get shafted. I also told the customer that if they are not home I would leave a envelope with a bill and to please mail it to me, or call I would come pick it up.

[Rob Shauger]

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We do chem care only and leave invoice at door upon completion. Our contratc states that payment is due net 10, and covers legal fees if we have to chase them for money. Past due bills are sent weekly for 3 weeks after 30 days, and then we send a collections letter. This process is done using Winlawn software and we also use Quickbooks Pro. Buy software that will allow growth for 3-5 years of bizz, but dont overbuy.

[Phil Nilsson]

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If you get all customers onto credit cards, this will eliminate most of the billing headaches and even "eliminate" the need for billing and invoicing software for the most part. Residential customers have credit cards so charge it to their card. A lot of the software "out there" causes more work than it cures. You do the work, let the credit card people be the "Bank" ... not you. You don't make money by fooling around with billings and collections!!!!!!


Everybody in the country offers their customers the "option" of using their credit card .... why aren't you doing it? Sending an invoice in the mail is so "out of date" it's becoming a weird concept. Who's got time anymore to go thru a stack of bills they get, or even keep track of a "due date" that you set? To me personally getting a bill in the mail is a pain. I toss them in a pile and ignore them until somebody calls and then I tell them to debit memo my casj account. I don't have time to mess around finding the invoice, writing a check, stamp, envelope, then put it in the mail? I have better things to do than keep track of the lawn peoples invoices. For the most part they get ignored (not) because I don't want to pay ... but (because) it's low priority. No big deal. It's become a cashless and checkless society.

Phil Nilsson
Nilsson Associates Consultants
Visit Lawn Service & Landscaping Book Store





Edited by - Phil Nilsson on Sep 08 2002 09:01:36 AM

[jg4jesus]

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Hi Phil,

I know you've mentioned a few times about the credit cards. That's a good idea, I know I rarely carry cash and mostly use my debit and/or credit cards because they are accepted everywhere and for the convenience. It would also be a great option for customers, it covers everything...cash, check or plastic.

Thanks!

[alcpi]

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It might be wise to mention that there are costs involved with accepting credit cards such as paying for the machine and a monthly service charge. For larger company's this wouldn't be a problem, but for the smaller lco's starting out it would be one more bill and probably not wise. Try typing up a letter and sending it to all your current clients polling them on whether they would even use this service if it were made available. If your response is overwhelmingly positive then, and only then consider the offer. Just a thought!

[Maddog]

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The first year I billed every time I mowed. This was not the best system but helped build the account quicker. I bill monthly now unless the cutomer wants to pay every time. Much easier on me to bill monthly and the customers like it better.