I've found that the more money a client has, the slower they are to pay.
I guess that's why they have more money.
I have had many local contractors tell me the same thing.
Question for self-employed or business people....
- Thread starter G-Mac
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I have had many local contractors tell me the same thing.
GypsmJim
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Eons ago I worked for a Fortune 500 company that often had problems getting payments. It took legal recourse at times, which cost the company money. Someone determined that it cost $74 for each late payment. Unfortunately, loose lips and that got out to the customers.
Several companies would shortchange their bill by $74. Obviously, no one would go after them because it wasn't cost effective.
Finally, we cut them off completely. Since we were their only supplier and now they had no product, several were on the verge of going out of business.
When they pleaded for help, we put them back on the supply list. With a 10% surcharge and a price increase. Funny, that ended the problem.
YeshuaIsa53
Member
We used to own a corporation that sold and/or installed products. We learned two or more lessons to say the least.
We went to court with one man's small business who didn't show, so they gave us what we needed to place a lien on his house. He was not incorporated. We warned him about what he wanted us to order for him. All was payed.
Only a month or two goes by, and he showed up again wanting what we had asked him to buy. He was told the special order would not be refunded. We stupidly let our guard down to help him try to please his customer. He later refused to pay for it. We had an invoice with terms and a signature for the courts. It drew interest every year. Lost the customer and the product. The lien disappeared through his local legal system that were most likely friends in a small town. Had it been local, it would not have disappeared.
Earlier in the corp, we installed products for a friend of my Dad's. They were in clubs together. We did not get a signature.
Many years later, it was still in our invoices. When a new man took over the office, he found it. When called, the man simply said "Show me an invoice with my name on it." We found he had a habit of taking advantage of people. Yes, he was rich.
We went to a local judge. He answered every single question with a phrase before each answer. He would answer beginning with "The law says".
He told us, "What we have here is good faith gone bad".
Of course we continued with signatures from government agencies. Non-governmental folk had to hence have a 50% deposit down and the balance due upon completion. If they started with problems, we knew where we were heading. The judge told us we could go on their property and take our materials, IF we had their permission. We found talking with people like that long enough could lead to our asking for permission to do so.
Most of those people, if talked to with skill and a goal in mind, would believe we would not do that and give permission. The materials would be removed same day. They may have cost us labor, but they would not have anything to show for it.
Competition would be warned of the person, as we were all friends that had bought from us here and there. One man called and said he had an air tight contract and was going to do his job. He was warned again. After not having placed an address location on his air tight contract, the man let him install. It was a large job. The man, when asked for payment, told my friend he had installed on the wrong property, even though he had shown them where placement was. He called us and said he should have listened.
Some work is best left for others.
We went to court with one man's small business who didn't show, so they gave us what we needed to place a lien on his house. He was not incorporated. We warned him about what he wanted us to order for him. All was payed.
Only a month or two goes by, and he showed up again wanting what we had asked him to buy. He was told the special order would not be refunded. We stupidly let our guard down to help him try to please his customer. He later refused to pay for it. We had an invoice with terms and a signature for the courts. It drew interest every year. Lost the customer and the product. The lien disappeared through his local legal system that were most likely friends in a small town. Had it been local, it would not have disappeared.
Earlier in the corp, we installed products for a friend of my Dad's. They were in clubs together. We did not get a signature.
Many years later, it was still in our invoices. When a new man took over the office, he found it. When called, the man simply said "Show me an invoice with my name on it." We found he had a habit of taking advantage of people. Yes, he was rich.
We went to a local judge. He answered every single question with a phrase before each answer. He would answer beginning with "The law says".
He told us, "What we have here is good faith gone bad".
Of course we continued with signatures from government agencies. Non-governmental folk had to hence have a 50% deposit down and the balance due upon completion. If they started with problems, we knew where we were heading. The judge told us we could go on their property and take our materials, IF we had their permission. We found talking with people like that long enough could lead to our asking for permission to do so.
Most of those people, if talked to with skill and a goal in mind, would believe we would not do that and give permission. The materials would be removed same day. They may have cost us labor, but they would not have anything to show for it.
Competition would be warned of the person, as we were all friends that had bought from us here and there. One man called and said he had an air tight contract and was going to do his job. He was warned again. After not having placed an address location on his air tight contract, the man let him install. It was a large job. The man, when asked for payment, told my friend he had installed on the wrong property, even though he had shown them where placement was. He called us and said he should have listened.
Some work is best left for others.
pantannojack
US Veteran
I USED to do door and window installs, trim, and repairs. Now I only work for people I know or can see reliable references for. HO's like to boast about the lower class working man who is so easy to rip off. Well good luck finding a blue collar professional who will trust "you" ever again. I must see the CASH first, then i may start the work.
