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Jerk wants me to reduce his bill

Discussion in 'Business Fundamentals' started by birddseedd, Apr 8, 2014.

  1. birddseedd

    birddseedd PlowSite Veteran
    Messages: 3,516

    So one of my lots called me today, he is asking me to drop his price from 150 to 100 for the last 3 months. He owes me 2250 for the last 3 months. Down to 1500.

    Its a strip mall type place, his claim is that it just cost more than what he made. A couple of his units were not open, due to construction and new tenants.

    We did have a record year for snow.

    he is willing to sign up for this year. Wife says I should meet him in the middle and do 125.

    dropping from 150 to 100 would be 100 an hour down to 66 an hour.
    dropping from 150 to 125 would be 100 an hour down to 83 an hour.

    maybe i can do it if he will sign a 2 year contract.

    what do you guys think?

    keeping in mind, i am desperate for the work still. and need money asap. in fact, i need to gain 20 more lawns soon.
     
  2. djagusch

    djagusch 2000 Club Member
    from mn
    Messages: 2,071

    Does the contract say if he doesn't make money then you need to reduce your price? Never really seen a service contract like that.

    Anyways he paid the first couple months at full rate so he thought it was fair then. Why isn't it fair now?

    If you really need work tell him you would take a payment plan for xyz months if he signs up for the next 2 yrs.

    Could set him up for a 12 month payment contract where he pays all year if cash flow is his issue.

    Otherwise getting work that isn't going to pay isn't work a person needs.
     
  3. birddseedd

    birddseedd PlowSite Veteran
    Messages: 3,516

    i did try to offer a payment plan. his argument was that it was not his ability to pay, it was that if he pays it, will be paying more than he made
     
  4. 1olddogtwo

    1olddogtwo PlowSite Fanatic
    Messages: 11,503

    Just because he's a bad business man ,isn't your problem
     
  5. Mr.Markus

    Mr.Markus PlowSite Fanatic
    Messages: 5,161

    If someone can get his suppliers thinking about dropping their price by 1/3 after their service has been rendered I wouldn't call him a bad business man. I would hire him...:rolleyes:
     
  6. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 8,468

    Only drop what you are charging for this season,
    if he signs back to for next year at your price not his price.

    BUT////

    His story, hardship or lack of filling his business is not your responsibility, why should you have to pay for the lack of tenants?.

    Did your operating costs go down?
    Why should you be the one to save his strip mall..

    If the guy owns a strip mall he's probably a millionaire or close to it, he can afford it.
     
    Last edited: Apr 8, 2014
  7. Whiffyspark

    Whiffyspark 2000 Club Member
    from SOMD
    Messages: 2,402

    There's a book you should read but I can't remember the name of it

    Basically no matter how broke you are don't let people know and have the confidence like you have a million in the bank
     
  8. John_DeereGreen

    John_DeereGreen PlowSite.com Addict
    Messages: 1,879

    No way...it isn't your fault that he can't pay his bills...

    You earned your money. Get all of it!
     
  9. allagashpm

    allagashpm Senior Member
    Messages: 703

    I wouldn't consider it. In fact if you do lower the price just to get paid what stops him from doing it next year bringing it down again because he knows you are desperate. I am sure he is trying to recoup after a hard winter but hes waiting until now to try and change it? its easy to forget how much work you put into plowing and the maintenance and how tired you are when youre doing it. next year when the units are full and hes making money is he is going to pay you more?
     
  10. birddseedd

    birddseedd PlowSite Veteran
    Messages: 3,516

    What if I lock him into a 5 year contract
     
  11. Whiffyspark

    Whiffyspark 2000 Club Member
    from SOMD
    Messages: 2,402

    He won't

    Those kind of people won't do seasonal contracts.
     
  12. jrs.landscaping

    jrs.landscaping Senior Member
    from Maine
    Messages: 638

    What good is a five year contact off he can't pay for one season?
     
  13. OldSchoolPSD

    OldSchoolPSD Senior Member
    Messages: 242

    Why bend over backwards for him? Get your money and walk... I don't care how hard up for work you are, this isn't the kind of customer you want to hold on too.

    Frankly if the guy owns a strip mall and $1500 is going to hurt him, he probably won't be around by the end of a 5 year contract. He's either lying to you or he's going under.
     
  14. Longae29

    Longae29 PlowSite.com Addict
    Messages: 1,954

    Not a chance. And I sure wouldn't want him for a customer next year. Not every customer is a good one. If you think you can afford to give it away why charge that amount in the first place. Terrible decision to stick with him or offer a longer contract. Unless he agrees to pay in full move on.
     
  15. Defcon 5

    Defcon 5 PlowSite.com Addict
    Messages: 1,674




    Why would you lock him into anything???.....He is not willing to pay your price now...:eek:
     
  16. leolkfrm

    leolkfrm PlowSite.com Addict
    Messages: 1,403

    you agreed on a price with him....tell him to pay it, if you need money why would you give him $1000? info like that will get around and everyone will want a break after the fact from you
     
  17. Buswell Forest

    Buswell Forest PlowSite.com Addict
    from NH
    Messages: 1,668

    Services rendered. Payment due. Small claims court is right down the street.
     
  18. Snow tracker

    Snow tracker Senior Member
    Messages: 126

    Don't don't don't do it. If you let him push you around now he will do it forever. You did the work, he agreed to the price by paying your bills. Did you personally make it snow this much this year???? If you did, we need to talk.

    I would agree to letting him pay off the full amount with a contract for future work at full price.

    Stand your ground. Or forever run. Stand
     
  19. kimber750

    kimber750 PlowSite Veteran
    Messages: 3,611

    Why don't you try this with people you have your vehicle loan thru. Tell them you are not making enough to pay what you agreed to pay and want to pay less. If it all possible get a recording of their laughter.

    Would this be the same place some jerk backed into a flag pole?:laughing:
     
  20. peteo1

    peteo1 PlowSite.com Addict
    Messages: 1,659

    Why does the scene from Good Fellas seem to fit here? "Oh didn't make enough money this week? &$#@ you, pay me"!