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commercial billing

Discussion in 'Commercial Snow Removal' started by Tom Smith, Jan 29, 2004.

  1. Tom Smith

    Tom Smith Senior Member
    from IL
    Messages: 149

    How do you all bill commercial customers for snow plowing and salt... Do you bill out after each storm... or do u do an end of the month billing??
     
  2. rmartin

    rmartin Member
    from mass
    Messages: 68

    i do it after each storm....that way there they are not hit with a huge bill to pay all at once.
     
  3. jt5019

    jt5019 Senior Member
    Messages: 853

    I bill them monthly,its just easier if theres a bunch of storms.On the bill i have it noted that payment is do by the tenth of the month.But i have found some businesses pill all their bills at the end of the month thats something you would have to work out with them.
     
  4. CMerLand

    CMerLand Senior Member
    Messages: 173

    You should have already worked this out in the contract but I strongly suggest you bill them after each storm unless you like playing banker to your clients. If you wait 30 days past a storm and they take 30 to pay it, youve carried all the expenses and costs for 60 days. On top of that, you can run into discrepencies over whether or not it snowed, the amount of materials etc etc. which will further delay getting paid.

    Lastly, is in a bad snow year a company may get pushed over the edge into bankruptcy and leave you holding the bag with no recourse to get paid. Better to get what you can while they have the cash instead of getting beat for several 100s or 1000s of dollars for services.
     
  5. gt_racer50

    gt_racer50 Senior Member
    from Ohio
    Messages: 484

    I try to bill within a couple of days after each event. Alot of customers would rather have several little bills than 1 large bill. Plus after each event, you can keep your cash flow flowing. Salt is not cheap, and I can't play banker for 60 days.
     
  6. JMR

    JMR Senior Member
    Messages: 567

    We bill after each storm. I like my customers to know as soon as possible after the event what they paid for snow plowing, sanding & salt, and snow blowing. We do this for a number of reasons. 1) If the customer has a discrepancy with the charges or service they can be handle and corrected, while its fresh in everyones mind. 2) Some of our accounts can occur charges in excess of $2000-4000 per a large event (last storm 13.5"). I don't want a surprise, to them or to us, when they get a monthly statement. Maybe they expect it or not, but a snow removal monthly statement for a couple of good storms. But, on the other hand if you own that large a property you should expect that size snow removal bills.
     
  7. Chopper14225

    Chopper14225 Junior Member
    Messages: 6

    We bill on a 7 day billing cycle starting on Monday. Customer has net 30 and then 1.5% per day over 30 on remaining balance.
     
  8. MSC

    MSC Member
    Messages: 75

    I bill after every storm.
    I have found it easier to do this.
    As many have said before, people would rather recieve a bunch of small bills rather than one large one.
    Rich
     
  9. shibby575

    shibby575 Junior Member
    from IN
    Messages: 7

    i bill for the season a flat rate, weather we get snow or not. Then i divide it by 12 months and that is there payment / month