Do most of you have a tough time getting paid from commercial accounts? Do ask for a check as soon as your done or do you have them mail it? I'm not talking about national accounts, just small business.

Rich Gallina
Countryside Carpet Cleaning

Sometimes I do...usually you have to at least give them 30 days..thats normal..and its 30 days from when they get your bill ..not when you do the job..even if you leave the bill..I would still send an extra bill in the mail. Ive had some tough times getting paid....I did a $900..just before memorial day....labor day rolls by..and Im still not paid...in between this we had called once..the lady says.."oh yeah..here it is..its in our "process" lol...so I finally called ...threatened to put a lean on a building i knew they were renting..( call center )..I had the check in 2 days...

My biggest struggle as a newer one man show..is waiting for commercial payments...to many build up..and you have no cash flow...last week I had almost $7,000 that I was "waiting" for...luckily about $4,000 of that showed up the last few days..so now I can write checks and pay those who are paitently "waiting" for my payments..hehe

I just find it very aggravating dealing with this kind of stuff. I thing it's the only thing I hate about commercial carpet cleaning.

Rick must have some good clients because if I had to depend on commercial accounts being paid up I'd be in deep poop!

$7000.00 is a lot of money. I'd die of a heart attack from stress!

Rich Gallina
Countryside Carpet Cleaning

Rich,

Our accounts receivable often gets higher than $7000. It seems that we always run with a lot of money being owed to us. But the money comes in and so the cycle continues. We normally let our customers run 30 days. As your commercial business builds up you’ll develop a steady income stream.

We are seeing more companies preferring to use credit cards now too. That is good because we get our money right away. On the downside we loose a couple percent - I don't mind losing a little to get paid sooner.

We also experience some un-collectables every year. But this amounts to a real small percentage. If you manage your accounts well you’ll get your $$$.



Rick Gelinas

Rick Gelinas

I see what you mean Rick. I guess as time moves on and if every account was 30 days late eventally I'll start having a steady income, am I right?

Rich Gallina
Countryside Carpet Cleaning

You are correct Rich. It takes some time, but it can build into a nice little money machine. The trips to the PO Box are enjoyable.


Rick Gelinas

Shoot...

You guys got nuttin' on some of us. We JUST got paid from a $8,000 water loss from June.

Yet another reason I'm really starting to hate restoration.

Scoot

I run $10,000 in accounts receivable all the time, sound slike you all are doing it right!
just checked, I currently have 16,888 out, I'm gonna have to start making phone calls.


GCC