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Show is over :( now I have my hand out!

Discussion in 'Commercial Snow Removal' started by Dr Who, Mar 6, 2011.

  1. Dr Who

    Dr Who Senior Member
    Messages: 637

    Well I am officially done this season, the snow is long gone, its in the 50's and 60's in the daylight hours and above freezing at night. Had a few days last week in the mid-high 70's and rain rain rain..

    Well I have my hand out waiting for the checks to roll in, my 3 good paying customers are paid up. My slow paying customers are paid up, now I am waiting for my property management co and the people I sub for to pay.

    Anyone heard of Resource Service Solutions out of Lenexa Ks?
    this is the 1st time I have worked for them and I am on a 45 day pay period, but its been almost 60 days since the invoice was sent out.
    Am I just getting a little ency, or are they one of the big corps that take there sweet time to pay?

    Now I subbed for someone, they owe me a nice piece, not near what you northern boys are owed, but its my money. I talked to them the other day, they are broke and waiting for there contracts to pay, one being USM so they can pay there people..

    Now I understand that money is tight, and its harder to make, but dang people pay your bills.

    I think next season I am going to be "COD" only, I am not going to bill anyone, if they refuse to pay I will pile the snow in there doorway or block there drive with it.

    You know, I forgot how bad I hate the service type business, how sorry people are when it comes to the bill. If you do not like the price, then do not have the service done, why bi*ch about the bill when you were told up front and signed off one it. Many a time I got a bill that I did not like, but I paid it if there was nothing that was not in order (like charges that were not authorized).

    You know I am having 2nd thoughts about the 2nd truck, was going to pick up another truck or 2 this summer to grow my business, but now I remember how it is like to deal with customers..

    Sad thing is that since these 2 customers are not paid in full, I have just broke even after paying for fuel, insurance (truck and snow plowing) and my salt/ice melt, add in the ware and tair on the truck and my time..

    I guess it could be worse, I could had went in the hole...

    Now what to do this summer since there is no surveying work so far? Use that plow to level gravel driveways? LOL
  2. Mick76

    Mick76 2000 Club Member
    from Maine
    Messages: 2,157


    Sorry to hear about your troubles
    Last edited: Mar 6, 2011
  3. Dr Who

    Dr Who Senior Member
    Messages: 637

    Oh no, I did not sub for anything USM has, I ran the other way when I was asked to do the Wally World,lowes Rite Ad and Wall Greens... I do not have the equipment for the large lots (only one truck) and I knew better...
    You Know I am not sure that they(contractor) knew they were not supposed to sub out the USM work, I do not know for sure, but that is my guess. I do know they got way in over there head and are in debt A LOT of money, way more then they owe me..

    Customers, Damned if you deal with them, Damned if you don't. But as for the COD, I do not think I will have much of a problem with that as I am going to only go after Mom and Pop business, no chain stores/business.

    Oh, I will be going to see the one contractor very soon. Talked to one the other day, supposed to meet with him next week, hope I will have a date on the pay. As for the other, well Kansas is a ong way from Kentucy, not sure its worth the 3-400 they owe me with the cost of fuel and hotels...

    As for the rates, I am higher then most, but there are a few that are way higher then me, like 100X higher! But I have low overhead so I can charge less but I still have to make it worth my wile and make money...

    Yeah well, you said it when you said it is all part of doing business...about everything I have done I have got screwed out of money, I lost over 60K in an automotive repair shop due to thieving partner and dead beat customers in one year, the last year is was open too...

    Oh well,its just money!
  4. paponte

    paponte Senior Member
    Messages: 717

    I'm confused. You ran the other way when asked to sub for USM, but yet you knowingly subbed for a sub of USM, and are now wondering why you have not gotten paid as of yet? Just want to make sure I have my facts straight. Thumbs Up
    Last edited: Mar 6, 2011
  5. Dr Who

    Dr Who Senior Member
    Messages: 637

    No, I ran when the person that had the USM contract tryed to get me to do the work (sub contract)..

    I have no ties to USM what so ever! The contractor that I did other work for had the USM contract, I did some other non national company work for them, they asked me if I wanted the USM stuff and I said NOOOOO! LOL
  6. brianbrich1

    brianbrich1 PlowSite.com Addict
    Messages: 1,102

    Sad thing is that since these 2 customers are not paid in full, I have just broke even after paying for fuel, insurance (truck and snow plowing) and my salt/ice melt, add in the ware and tair on the truck and my time..

    If that the case I would be looking at the rate your charging..... I'm pretty sure is very low...USM isn't known for their steller rates and your the sub of sub for USM

    Sorry about your troubles but I do agree with this that you took on work for to litte money if your just breaking even before the other 2 pay up..jmo hope it works out
  7. CaptCaveman

    CaptCaveman Member
    Messages: 73

    I am confused about all the people badmouthing USM...They are one of my best if not the best paying customer I have
  8. 32vld

    32vld Senior Member
    from LI, NY
    Messages: 622

    Makes me wonder if this guy is doing work for USM and other customers it doesn't matter that you did not plow any of his USM work. Because his cash flow is behind because of USM not paying in a timely manner most likely.

    So what you are is a sub that has to wait in line to get paid. Some things will have priority such as gas, oil, his business phone, elect, and heat, his equipement repairs, shop rent, his regular employees. When the USM money comes in he gets his profit and pays his subs.

    You got the USM hosing by indirectly working for them. You realize that you did work for USM because your boss' profits are based on him being paid by USM no matter where your boss sent you to plow.
  9. Dr Who

    Dr Who Senior Member
    Messages: 637

    Never thought of it that way...but you are correct
  10. paponte

    paponte Senior Member
    Messages: 717

    Yes, sir. Just chalk it up to lesson learned. You'll get paid, just not as fast as you would like. It's a good idea to categorize your customers after you've been doing them for a while. You'll know who pays 30, 45, 60, and 90. Your prices will reflect this also. I will wait for my money, but not for free.
  11. Dr Who

    Dr Who Senior Member
    Messages: 637

    going rates are 35-45 hr for subs I charge 75hr min. Now I did to some sub work for one company for 65 hr, but I had 7 of theres to do.

    25.00 min per drive, on resy, but I only have 2 that I do that low and they have been with me for 3 years now.
    Rest are 35 per drive, 4 are on the same street, next door to each other, 3 on the side street off it, it takes me 1.5 hr to shovel all of them by hand as its quicker then using the truck since there are cars in the way and no were to put the snow as its duplexes with handy cap spots on each side of the drive (4 car wide, one car long)

    Have one that is 40 bucks, takes me 5 minutes with a shovel, and I have one other that is 50 bucks and it takes me 15 min with the truck and doing the sidewalks with a shovel...

    No its not my rates, its the lack of snow we have...You all forget that I am in Ky, we do not have winter till mid/end of Dec and its over around mid Feb.

    This season we had 7-8 plow able events, most were 1-2 inches, one was all ice, one was slush from freezing rain. I think we had one 3 inch snow, maybe it was 4 in some areas of town, but that was our big snow...

    No money to be made when you go out 7-8 times in 3 months to plow snow and have only 5-6 paying customers, not drives but customers that I invoice to.

    I did look at my balance sheet, I did better then I thought, I brought in about 6k, spend out about 1k, so that is good, but that is excluding the 2k I am owned still.. So all in all I am still about 3k to the good, not counting my time that is or the ware on the truck, but I would just be home doing nothing anyway and the truck is paid for.
  12. Dr Who

    Dr Who Senior Member
    Messages: 637

    I geuss if I do get paid, it will be like Christmass as I will not be expecting it!