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View Poll Results: Anyone else having these same issues?
Yes 6 46.15%
No 7 53.85%
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Old 04-22-2019, 06:38 PM   #21
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Originally Posted by WronGun View Post
I may start another thread on this , this is a massive problem.

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It's only a problem if you're extending credit to people who don't qualify, or to people who weren't made clear of the terms, or you don't have the proper cash flow to be extending credit in the first place.

I'm not sure what kind of work you do, but I can tell you that the main reason, second only to wanting larger margins, for going into one to three day jobs at the most was running my company COD. Phuck chasing money! I'm not a bank. Pay me now.

Nine million a year in sales and we do not have a billing department. We never send a bill or a statement. We send a receipt. We have nothing, zip, zero, nada in receivables.

Down payments and the balance on completion before we leave the home or business or we'll camp out in your living room, office or showroom until we get paid.

You want to be billed? Can't help ya. You need financing? No problem, we have companies that we can get you consumer financing from or you can use your credit card and get 30 days.

All the rest...KICK ROCKS!
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Old 04-22-2019, 06:41 PM   #22
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Thanks for all the replies.. Hate to think I was the only one but it looks like it can be managed

Has anyone ever tried a system where it is all done for you?

I was looking into one called FinanceFuel today (financefuel.co) and it looks like it could be the help I need to get my finances back on track.. They do everything for you apparently for cheaper than hiring someone!
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Old 04-22-2019, 07:46 PM   #23
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Default Ton of receivables.. Is this just me?

Quote:
Originally Posted by flyboy View Post
It's only a problem if you're extending credit to people who don't qualify, or to people who weren't made clear of the terms, or you don't have the proper cash flow to be extending credit in the first place.



I'm not sure what kind of work you do, but I can tell you that the main reason, second only to wanting larger margins, for going into one to three day jobs at the most was running my company COD. Phuck chasing money! I'm not a bank. Pay me now.



Nine million a year in sales and we do not have a billing department. We never send a bill or a statement. We send a receipt. We have nothing, zip, zero, nada in receivables.



Down payments and the balance on completion before we leave the home or business or we'll camp out in your living room, office or showroom until we get paid.



You want to be billed? Can't help ya. You need financing? No problem, we have companies that we can get you consumer financing from or you can use your credit card and get 30 days.



All the rest...KICK ROCKS!


The billing portion I feel I can tighten up and control.

My big problem is the email system. I got 2 calls last week from clients that say we never got your estimate/Invoice/email.

I cant imagine the jobs I lost from potential clients who didn’t call to let me know they didn’t receive the estimate.

I understand I could call but this is unpractical with volume.

And email trackers are pointless with platforms like QuickBooks online because emails get sent from Intuit.com, I actually called QuickBooks today and they said they are in the process of changing this so emails come from company email address.

How do you verify clients receive their invoice or more important Estimates to potentially new clients.


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Old 04-22-2019, 09:05 PM   #24
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Quote:
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The billing portion I feel I can tighten up and control.
Did you read my post? Stop billing! Collect your money on completion! Stop being shy about collecting your money.

Quote:
Originally Posted by WronGun View Post
My big problem is the email system. I got 2 calls last week from clients that say we never got your estimate/Invoice/email.
They are lying. There is no problem with your "email system". They are blowing you off.

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I cant imagine the jobs I lost from potential clients who didn’t call to let me know they didn’t receive the estimate.
Your losing jobs because YOU aren't asking for the sale in person! As in FACE to FACE.

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Originally Posted by WronGun View Post
I understand I could call but this is unpractical with volume.
You have to call them. You should be closing the sale face to face. Ask for the sale.

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Originally Posted by WronGun View Post
And email trackers are pointless with platforms like QuickBooks online because emails get sent from Intuit.com, I actually called QuickBooks today and they said they are in the process of changing this so emails come from company email address.
I have no idea what your talking about. Go back and read my post. Collect your money with down payments and in person on completion. Close your sales face to face.

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Originally Posted by WronGun View Post
How do you verify clients receive their invoice or more important Estimates to potentially new clients.
Did you read my post? We don't send invoices because we are COD and we close sales face to face! We collect our money in person on the day of completion!! We don't have a billing department so I can't speak to your question.

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Old 04-22-2019, 09:43 PM   #25
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Default Ton of receivables.. Is this just me?

Quote:
Originally Posted by flyboy View Post
Did you read my post? Stop billing! Collect your money on completion! Stop being shy about collecting your money.







They are lying. There is no problem with your "email system". They are blowing you off.







Your losing jobs because YOU aren't asking for the sale in person! As in FACE to FACE.







You have to call them. You should be closing the sale face to face. Ask for the sale.







I have no idea what your talking about. Go back and read my post. Collect your money with down payments and in person on completion. Close your sales face to face.







Did you read my post? We don't send invoices because we are COD and we close sales face to face! We collect our money in person on the day of completion!! We don't have a billing department so I can't speak to your question.



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[/QUOTE]



That’s a great system, but seems it would be a far far reach to execute for me.

For a few reasons.

1. We do a ton of jobs with owners not even home, they leave us a key

2. We do a ton of service calls to large communities and we are sent from our property managers or out of state facility providers.

3. Ive sent at least a half dozen estimates in the last month to entities not even located in my state.

4. How do you collect on spot when your doing a job at say Raytheon ?

There are so many variables I would need to hire a collector.

Some jobs are complex or I need to design or get material costs.. I’m not able to just sell the job on the spot and collect a down.

The only time I’ve seen things work like that were my first 2 yrs as an apprentice. I worked for a flat rate nexstar company. It was 100% faster service type jobs and all the employees were dispatched to addresses where they needed to sell the work out of a 3 ring price book.

They had to sell, collect downs, collect final payments... But it was 100% residential service. Never did a commercial job or any job that went over 2 days max.


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Last edited by WronGun; 04-22-2019 at 09:48 PM.
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Old 04-23-2019, 06:35 AM   #26
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Insisting on payment in full upon completion - I believe it's workable for residential contractors, but it just isn't going to happen if you want to do commercial work.
@WronGun - Quickbooks email will be improved when the invoices start coming from your domain rather than intuit.com. It also may occasionally get you on the spam blacklists, which is a treat to sort out. But in my opinion email will never be a perfectly reliable medium. (Snail mail certainly never was.)

Email read-receipts only work if the person at the other end agrees to send them - many or maybe even most people refuse them. There are simple trackers that work by embedding elements into the email and monitoring whether they've been pulled, but depending on the person's email settings, those may be blocked, again as an anti-spam measure. If they follow a link to read the invoice, that's always trackable, but lots of spam filters / security filters - especially with commercial email addresses - will block those links in the email the person receives. Sometimes they will capture the message and the recipient will never even see it.

I really see only two options.

Do your best with the automated system you have and kiss off what falls through the cracks. No sales system follows every lead 100%, and it seems like it's keeping you busy as is. (I am not sure that you fully appreciate how fortunate you are that this is even an option, that so much work is falling from the sky and landing in your pockets in the form of money, that you just send estimates and wait. )

The other option would be to supplement the imperfect automated system with old fashioned sales. Review what's not getting through daily and follow up with the ones that you're not sure are getting through, or at least the high value ones you can't confirm delivery. (Truth, I would follow up the really high value ones even if I was confident they got my quote - this is called sales.) In general, I have automated a LOT of things, and there aren't that many automated systems that don't benefit from some human intervention. If you don't have time to do this, it's easy to hire someone to do it, the question is will the sales you capture that would otherwise be lost, pay for that person?
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Old 04-23-2019, 08:01 AM   #27
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This webinar might be worth checking out.

https://profitrhino.com/every-servic...e-8f9c3d4050e2
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Old 04-23-2019, 07:08 PM   #28
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It's only a problem if you're extending credit to people who don't qualify, or to people who weren't made clear of the terms, or you don't have the proper cash flow to be extending credit in the first place.

I'm not sure what kind of work you do, but I can tell you that the main reason, second only to wanting larger margins, for going into one to three day jobs at the most was running my company COD. Phuck chasing money! I'm not a bank. Pay me now.

Nine million a year in sales and we do not have a billing department. We never send a bill or a statement. We send a receipt. We have nothing, zip, zero, nada in receivables.

Down payments and the balance on completion before we leave the home or business or we'll camp out in your living room, office or showroom until we get paid.

You want to be billed? Can't help ya. You need financing? No problem, we have companies that we can get you consumer financing from or you can use your credit card and get 30 days.

All the rest...KICK ROCKS!
I wish I could be this solid - and I can totally see getting payment when completed in residential circles.

BUT how the heck do you get paid when complete on a commercial job? All mine seem to want to send the bill to a bank who will then send me a bank check. Most of the time Im paid within 15, which is fine at this point, but how the heck do you do that COD 100% or close to it?
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Old 04-23-2019, 07:16 PM   #29
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but how the heck do you do that COD 100% or close to it?
You really can't, even in resi.

I am close to it, but to be 100% would make me look petty and lose work.

When I go a rental house to fix something for one of my good customers, I send them an invoice which they pay with credit card. Sometimes they pay the next day and once in a while the day after. If I said anything to them about it I would look bad.

Or when I do work with the wife home but the husband is the one who contracted with me and writes the check. Or no one is home. If it's a good customer, I am not going to be a hardass about it.

But if it's a more typical situation in which the customer is there and thinks they can get away with not paying, that's a different story.
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Old 04-23-2019, 07:29 PM   #30
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That sounds like me except I invoice net 15 for most jobs where they don't pay on the spot.

A big reason I don't get paid on the spot is also kinda how I run my business for the most part, particularly in the resi service side - If I send a guy there, and he is done for the job says it went well yada yada. Later that evening or the next day I call the customer and ask them if everything went well, did we clean up, is everything working correctly, is there anything else we can do. And when they say oooo la lah, I email the bill.

Very rarely do I ask my employee to collect payment. For one, I don't discuss my pricing with the employees. They might freak. Or start wanting side work. Im like a old broke ass around my employees. Dang moneys tight around here, yall better empty your pockets before you go home and wash all them wirenuts


edit I guess my main point was scale. Flyboy said 9m/y sales and I was over here thinking 9m a year and sales you practically are a bank, good lord I can't imagine doing that. Im close to 1M total sales since I started 2 years ago, and that has come with a lot of waiting to get paid, but not really a problem because when I was "waiting" the job that id been waiting for before that one paid. Cash flow has been decent.
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Last edited by LibertyRising; 04-23-2019 at 07:35 PM.
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