UPHOLSTERY DISCUSSION BOARD
HOW TO UPHOLSTER FORUM

Rostov Upholstery Supplies Welcome, Guest. Please login or register.
October 21, 2018, 07:19:23 PM
How To Reupholster A Couch, Chair, Ottoman.
Recover Car And Boat Seats. DVDs
Foam Cutters $130+
1/2" and 3/8" crown staple guns- air and Maestri electric.
Upholstery Tools
Long Nose Staplers $124
Sunbrella Fabric     Complete line of Sunbrela fabrics. We also custom sew beautiful cushions from Sunbrella.
Custom Cushions     Custom cushions sewn at a high level of craftsmanship. Choose from fabrics and a range of quality foam.



: Check out CoachTrim's Advanced Leather Workshop and Basic Sewing Course on Suppliers Page
***Please click here www.facebook.com/upholster.upholstery and click "LIKE" for our UPHOLSTER Facebook business page (it will help me promote this free site)-Ken***



 
 EZ Foam Cutters with 240 volts and plugs for Australia, New Zealand and UK and EU.
SPECIAL 110V MODELS $130 (limited time!!) http://www.upholster.com/toolkits/Foam-cutter.html



+My Community
|-+General Upholstery Questions and Comments
| |-+General Discussion
| | |-+How To Collect Overdue Bills
« previous next »
: [1] 2
: How To Collect Overdue Bills  ( 2792 )
Mojo
YaBB God
*****

Karma: +1/-0
: 4178


I'm Always In Trouble


« : January 05, 2015, 06:22:29 PM »

This is an article from Marketwatch. I found this interesting and thought I would pass it on. I still think I would probably revert to sending Luigi over to collect myself. But then that's just me. :)

Chris

The Moneyologist

http://www.marketwatch.com/story/how-do-you-ask-clients-for-money-nicely-2015-01-05?siteid=YAHOOB

Virgs Sew n Sew
Guest


« #1 : January 06, 2015, 08:26:59 AM »

I've been lucky so far. 

I have only one guy who hasn't paid and it was small ticket ($30+) and the item still sits in Sew & Sew.

I made some flower girl dresses for a lady and threatened to sell them on eBay and she ponied up the $$$ quickly.

I had the Boat Dock issue but they finally came through, after I talked to the owner rather than the b*tchy office manager.

I probably need to sit down and write myself some collection rules.  I do collect for material before ordering.  Otherwise, I collect upon job completion.  I've had some large jobs and then I break into significant portions and invoice as I go along.

Do y'all handle your own collection invoices or hire outside?

Virginia
gene
YaBB God
*****

Karma: +0/-0
: 3045


« #2 : January 06, 2015, 09:14:34 AM »

From the article:
Quote
A friend who I donít even like...
I would not have a friend that I did not like.

My thoughts:
1. My terms are 50% with the order and 50% (or the total remainder due) when the project is completed. It is my responsibility to make sure you know and understand my terms. If you buy fabric from me that is paid in full up front.
2. The money you owe me is not your money. It is my money.
3. I am not a bank and I did not give you an interest free loan.
3. I am a small business and I need prompt payment which is why my terms are 50/50.
4. I am a small business and I cannot afford to spend time (or money on an outside collection agency) to collect accounts receivable.
5. I want to always be nice.
6. It's business. It's not personal. (This is a very difficult one for me to remember. Mr. Moneyologist in the article did a good job of expressing this thought.)

Thanks for the article, mojo.

gene
« : January 06, 2015, 09:15:40 AM gene »

QUALITY DOES NOT COST, IT PAYS!
sofadoc
YaBB God
*****

Karma: +2/-0
: 4461


All types of upholstery.....except cars and boats.


« #3 : January 06, 2015, 09:37:42 AM »

I've had a few over the years that jerked me around for a couple of weeks. But nothing serious.

And I've had 3 or 4 write me a hot check. But they always took care of it within a week or so.

Basically, never had a real problem with overdue bills.

One thing that I'm careful about. If for some reason, a piece stays in my shop for a fairly long time before I get around to starting on it, I call them first and make sure that their priorities haven't changed since we last talked. It's just my way of conveying to the customer "Just because I took a long time to get to your work, that doesn't mean that you can take a long time to pay for it when it's ready.

"Perfection is the greatest enemy of profitability" - Mark Cuban
kodydog
YaBB God
*****

Karma: +3/-0
: 2976

North Central Florida


« #4 : January 06, 2015, 05:37:03 PM »

Once we were paid with a check that had a different name than the person paying. It was a cushion job, She droped them off and picked them up. When Rose questioned her about the name difference she said her boyfriends mother was paying for it.

We deposited the check and it cleared. Two weeks later we noticed the bank withdrew the money from our account saying it was a stolen check. It was the boyfriends mothers check but she didn't know she was paying for it. And because it was her sons girlfriend she didn't want to press charges.

Here's the thing, in SC and probably most other states, with a stolen check, you either have to press charges or honor the check. The city police paid her a visit and explained this to her. It took some finagling but the bank finally put the funds back into our account.
« : January 06, 2015, 05:45:40 PM kodydog »

There cannot be a crisis next week. My schedule is already full.
http://northfloridachair.com/index.html
Darren Henry
YaBB God
*****

Karma: +2/-0
: 5632

some days are better than others


« #5 : January 06, 2015, 06:55:37 PM »

I was as fortunate as Dennis when I had my own shop. I got burned once in all that time for $600 and have two pair of snowshoes in my shed that I cannot get ahold of the owner. [I did shoe repair and leathercraft too , remember.]

That said; I have two points to offer to this thread.

My good friend is a caretaker on the Lake of the Woods. His turn around time for payment for his out of town clients went from 2-3 months, to 2-3 days once he was able to post pictures on the internet. Pre-internet they would wait until some one they knew saw the work completed before they paid. Once he was able to show them the before and afters cheques and authorizations become almost instant.

My current employer does not take cheques (with few exceptions). He takes a credit card deposit up front---and uses that number to satisfy the balance on completion for parts or RV service. Over in my shop our retail customers get billed and send in a cheque for repairs etc...

Life is a short one way trip, don't blow it!Live hard,die young and leave no ill regrets!
Virgs Sew n Sew
Guest


« #6 : January 07, 2015, 10:13:44 AM »

When we lived in Leavenworth, I sold Avon & Tupperware at the same time for about 4 years.  Burnout is quick when you are doing both at the same time.  I had a woman who hosted a Tupperware party from me.  I always gave hostesses several days after the party to finish collecting money, shake a few more orders out of friends/relatives/etc.  When we finally caught up with each other, she placed a large Avon order and included that in her personal check for the Tupperware party.  She told me that she had told her friends they "could pay her when she delivered their orders".  I'd never had anyone do that before but whatever works.  Several days after I had delivered her party order to her, I got notice in the mail from our bank that her almost $300.00 check and been returned NSF.  Fortunately, I had money in savings that I transferred over to prevent my checks from going NSF.  I called her for several weeks, always getting her voice mail.  Finally, I left one in a very irritated tone of voice telling her: "I am going to be your worst enemy.  I am not going to give you close to $300.00 worth of product.  I will call you every day morning and evening.  If that doesn't work, I will camp out on your front doorstep.  It seems to me that it would be easier for you to just pay me so that I don't have to hound you."  I didn't hear from her initially and did as I told her I would.  Finally, I left her another message that said I would spend as much time the following day on her steps as it took for her to contact me.  She called me that evening and said that she would have cash for me the following Friday at 1 pm.  I literally drove on her bumper as she went to her bank to withdraw cash for the check and the returned check charge.  I had to laugh though as after she paid me, she asked about hosting another party.  I smiled and said, thanks but no thanks and thought to myself "I just don't have this kind of time to chase people around."   

Virginia
Allan
Guest


« #7 : January 07, 2015, 05:29:46 PM »

If i have an overdue account when i send the reminder i put a note on it that it will attract a weekly interest of 10%
That seems to galvanise people into action and pay their bill
Hasn't let me down yet

Allan
« : January 07, 2015, 07:50:34 PM Allan »
bobslost
Newbie
*

Karma: +0/-0
: 38


« #8 : January 07, 2015, 06:01:48 PM »

When I was in the Detroit area and did a large volume of business , I was burned a couple time by designers. And found a lot of them work strictly on commission whether for themselves or a large firm . Its almost impossible in Michigan to get a judgement against someone who doesn't have a regular paycheck. Some of us are to trusting and have to learn the hard way.
Also if you ever receive a call about a bankruptcy move quick don't hesitate if they make you an offer take it, a little bit is better than nothing.
BigJohn
YaBB God
*****

Karma: +0/-0
: 596



« #9 : January 11, 2015, 01:32:49 AM »

When one charges off a bad debt I know several individuals who sent out 1099 forms since they provided something of value and the customer didn't pay so they in affect got income that they should have to pay tax on. Now I'm not sure this is the correct way of doing things but it got action.

                                                                      Big John 
gene
YaBB God
*****

Karma: +0/-0
: 3045


« #10 : January 11, 2015, 09:05:43 AM »

Quote
Civil Damages for Fraudulent Filing of Information Returns (Section 7434) :

If you willfully file fraudulent information return for payments you claim you made to another person, that person may be able to sue you for damages. You may have to pay $5,000 or more.

I'm not sure how filing a 1099 would be OK? If someone steals from you is that considered making a payment to them?

Any tax folks out there???

gene
« : January 11, 2015, 09:08:34 AM gene »

QUALITY DOES NOT COST, IT PAYS!
Virgs Sew n Sew
Guest


« #11 : January 11, 2015, 10:43:14 AM »

I don't believe that is correct.  I sent out 1099's when I was a staff accountant for my last office job.  They were sent out because we had paid them money for services rendered (rent, contract labor, lawn maintenance, etc.).  Part of preparing 1099's is sending a 1096, along with a copy of all 1099's mailed out, to the IRS.  I cannot believe that the IRS did not put a stop to this.  The 1099 has you identify the type of "Income" the 1099 is for.  Getting stiffed by a customer does not qualify.  They are sent out if over $600.00 is paid to a company/individual for services.  I issue a 1099 for rent and contract labor for Sew & Sew.

When you fill out your Schedule C (Form 1040), to itemize your profit or loss, you can list the business loss on the second page as part of your "Other Expenses" and that will keep you honest with the IRS.

Sending out the 1099 as a means of rattling the customer's chain may have been effective for this individual but I suspect that could land them in legal trouble with the IRS had the recipients followed up with a tax attorney or called the IRS directly (thus admitting that they are a low-life, dead-beat, non bill-paying scumbag).

Virginia
lizzieb
Newbie
*

Karma: +0/-0
: 48


« #12 : January 13, 2015, 07:49:27 PM »

I am having a problem right now with a customer.  She dropped off 4 cushions to be done and if possible, wanted to have them by Thanksgiving.  I told her I would try but I wad going out of town for 2 weeks.  She called me the Monday before Thanksgiving and I told her I wouldn't have them ready.  She screamed a d yelled saying I promised her, I listened, apologized and said that's not how I remembered our conversation.  I had 3 already done so she was going to get them a few days after my return. She called leaving nasty messages on the phone and gave me a deadline or she would call the police and report they are stolen!  I delivered them to her (quite awkward and frosty).  She asked if she could pay next week?  I am still waiting and it's been almost  5 weeks.
Virgs Sew n Sew
Guest


« #13 : January 14, 2015, 10:01:54 AM »

Do you have any kind of written contract? 

Unless it is someone that I have done a lot of business with, I never let go of the customer's property until I am paid.  Without their whatever, I have no leverage to ensure that I get paid.  Even business, I want to paid at the completion of the job.  If it's a lengthy job, then I ask for "draws" at points along the way.

I would implement the process I described earlier that I used with a bad check.  I would call repeatedly and tell that woman that "you will be her worst nightmare" until she pays you.  You do have to be careful though as what I did was before "stalker" laws were written.  I think that might be harder today.

I would also send her a written statement that shows how much she owes you.  You always have small claims court as an option but if you can get her to pay without going that route, that's a plus.

Virginia
Mike
YaBB God
*****

Karma: +0/-0
: 2902

Marine canvas & upholstery SWFL


« #14 : January 21, 2015, 07:21:49 PM »

Virginia when I was in NH  all my work boat canvas and upholstery was brought to me either on a trailer or by water and it the boat didn't leave till the customer came and paid. here in florida almost all boat are in the owners backyard very very few ever come to me so I have to install the work and I try to finnish when the owner is there to collect , but when there there I hate installing as there are watching if something is wrong  I like to be all done then have them arrive  but if im done and they are not home then they have the upper hand.

: [1] 2  
« previous next »
:  



Latex Mattress    Foam Order allows you to design your own latex mattress using layers of certified natural and organic components.
Organic Mattress     Foam Order makes a wonderful organic mattress using certified natural and organic components. Choose your own firmness.
SMF 2.0.14 | SMF © 2017, Simple Machines