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Getting Paid ?

Discussion in 'Bidding & Estimating' started by 160SR, Sep 9, 2016.

  1. 160SR

    160SR Junior Member
    from nh
    Messages: 27

    In my area I see the same reputable snow removal contractor doing the same lot year after year. ( 10+ years ) I know the lot is managed by one of the pm companies usually advised to stay away from on Plowsite. I am guessing he is either getting paid or hoping that this will be the year he gets paid, or he needs a 100K loss on his taxes.
    I would like to hear from anybody who has actually gotten paid by a pm company. I don't think pm companies have an exclusive on screwing people. I have accounts receivables from friends, neighbors, people I subbed out to, etc. None of them I have any hope of collecting from. Driveways around here are done by guys with no ins. and don't pay taxes.
    So I can't compete without losing my ass so whats the difference. These guys do not have the manpower or equipment to do commercial. I do. Yes I have the ins. I can lay-off 3 guys with families for the winter also. I have the means to suffer a slow payer as long as I get paid at some point. Yeah I'll ***** about it, but it will be just one more thing. Is there anybody on this forum who has actually been paid by a pm company?
     
  2. Dirtslinger35

    Dirtslinger35 Junior Member
    Messages: 4

    I was just getting on to post about the same thing basically. I just got an rfp from rsm maintenance out of nj for a 400000 sq lot and im wondering if its even worth it .
     
  3. FredG

    FredG 2000 Club Member
    Messages: 2,250

    It's really not a issue of being able survive while waiting 120 + plus days for payment. This is bad biz behavior and should not be tolerated. I don't like financing anybody's jobs while they collect interest on the moneys.
     
    Mark Oomkes likes this.
  4. Mark Oomkes

    Mark Oomkes PlowSite Fanatic
    Messages: 10,915

    I worked for 2, one for 1 year and another for 2 or 3 years. The same property, which I've been doing since '97. The only reason I bothered is because the property manager from the company that owns it is great to deal with and I know they paid the NSP on time. And for the most part, I was always paid on time.....30 days. The only part I didn't like with the first NSP was they paid at the end of the month instead of the beginning, which was BS, because I know the property owner was billed at the beginning and paid net 30. So they were sitting on MY money for a good 30 days.

    The property owner has fired the NSP this year. The property manager hated them, and I'm guessing many others did. All he wanted to do was make a phone call to me and solve the problem, which are very, very few.
     
  5. Mark Oomkes

    Mark Oomkes PlowSite Fanatic
    Messages: 10,915

    It's udder BS. Nobody pays employees every 120 days. Or 90. Or 60. Why should a contractor? I have one customer that has a 45 day pay policy, I don't like it, but they are a good customer, so I live with it. Everyone else is 30 or less. And contracted work is invoiced on the first of the month, extra work is either invoiced upon completion, end of month or at times during the winter we do a mid-month billing for cash flow.
     
    FredG likes this.
  6. FredG

    FredG 2000 Club Member
    Messages: 2,250

    Good deal, No NSP :terribletowel: and invoices on time. Thumbs Up
     
    Mark Oomkes likes this.
  7. LapeerLandscape

    LapeerLandscape PlowSite.com Addict
    Messages: 1,613

    Here is something else to add. You have to charge more when working for a NSP (not because you want to stick it to them) and here is why. You may (probably will) have to wait longer for your money, they require more office paper work, they may require pics of work completed, you may have to go back to get papers signed from the manager after the property opens. They are just all round higher maintenance. You have to do the paper work correctly and not just correct in your eyes but correct as to the way they want it done or your not getting paid.
     
    FredG and Mark Oomkes like this.
  8. Dirtslinger35

    Dirtslinger35 Junior Member
    Messages: 4

    How can they make you wait for your money if their terms are net 45. This crap irritates me. Has anyone ever been completely screwed and not paid at all by them. Hell i got paid by fema and vadot qucker last winter.
     
  9. 160SR

    160SR Junior Member
    from nh
    Messages: 27

     
  10. 160SR

    160SR Junior Member
    from nh
    Messages: 27

    Excellent points. I am looking at one now that says they pay in 45 days after their client pays them. Each NSP has their own system. I've never done plowing for an NSP but every lot around here is controlled by one.
     
  11. Randall Ave

    Randall Ave 2000 Club Member
    Messages: 2,037

    If you decide to go with a NSP, can you survive the 60 or 90 day, or more wait to get paid. Its not like working for a local guy, you can't just go bang on his door.
     
    FredG likes this.
  12. BUFF

    BUFF PlowSite Fanatic
    from FR NoCo
    Messages: 7,319

    One of my customers I've had for aboot 8yrs for snow and grounds maintenance has a net 45 cycle which would be ok if they actually paid at 45d. On the 48th day I'm resending the invoice asking when payment will be made, sometimes the check shows up on the 50th or up to 58days. Invoices are paid by their corporate office which is back east and I'm convinced they do it just to #uc& with me.
     
  13. Randall Ave

    Randall Ave 2000 Club Member
    Messages: 2,037

    Unfortunatly in the truck repair buis, 60 days seems almost normal. Just cut off a nationwide moving company, owe me about 5000.00. Can not even get a response out of them. Im a one man shop, average about 25000.00 out. Replaced an injector today in an ISM Cummins. Bill will be 1000.00 Will not see that for 3 months. I'm still owed money for last years plowing, and plow repairs.
     
  14. FredG

    FredG 2000 Club Member
    Messages: 2,250

    They will pay now after cutting them off, If nothing else maybe out of embarrassment. How many other guys will extend them credit? Around here you need to have funds for repairs when picking the truck up. I don't care how good your credit looks. Can't even charge fuel anymore. The only place I have a account is at the gravel pit, Not sure how long this will last. Some guys ruin it for everybody. Hurts my feelings when I owe somebody money.
     
  15. maxwellp

    maxwellp PlowSite.com Addict
    Messages: 1,112

    The problem seems to that someone will work for the NSP and deal with the slow pay. So it comes down to if you are willing to play their game. I Will not. I expect to get paid as soon as the Invoice is received. If not I will call ask for payment, if I do not get paid - I will stop service.
     
    FredG likes this.
  16. Dirtslinger35

    Dirtslinger35 Junior Member
    Messages: 4

    Has anyone stopped service because of late payment with a nsp ??
     
  17. FredG

    FredG 2000 Club Member
    Messages: 2,250

    I did once, Started up my equipment and sat right there in case some fool tried to come in there and plow, The Manager of the property paid me to date and been plowing since and paid by the owner.
     
    Dirtslinger35 likes this.
  18. Dirtslinger35

    Dirtslinger35 Junior Member
    Messages: 4

    Nice Fred well that gives me hope if i get this account.
     
  19. FredG

    FredG 2000 Club Member
    Messages: 2,250

    24 hour truck stop motel combo. I am not saying this will work for you without following through with it. I mean its not that hard to run off whoever comes in to help them out. I don't think I want to approach a angry contractor that has not been payed. Those Nsp's have fools in line. Once they know your not plowing and waiting for payment they run off anyways. Who wants to dedicate equipment for non payers. Fools of all fools usually will walk away. Believe it or not even if the cops come they will be on your side if he's decent. Non payment is not cool to law enforcement or a court of law. Would you feel safe with your equipment pulling something like that. I wouldn't you may not have any equipment to use around here. I don't want no damage or vandalism over that, Or anybody sniffing around my accounts to get even.
     
  20. FredG

    FredG 2000 Club Member
    Messages: 2,250

    Specially with them Italians around here. Those boys can hold a grudge.