Crane Data Logger


Rule One of Business: Get Paid

Being paid, just like you would understand is essentially crucial in your business because if you are not getting paid, what are you doing in business?

You might be astounded at the amount of business people who only get their customer base to pay up when and if they get on with it. I know of such a businessman who repetitively holds bad debts like charms. Why, do you think? Just because he cannot bring himself to request the cash and people just intimidate him.

If you let someone credit, only do so because they cleared consistency to you by paying cash on delivery (COD) for some time. Furthermore, you need to find whether they have the cash to pay you - otherwise why do business with them. Don’t push yourself into the pattern of “I need the work” or “I need the sales”. It’s ultimately doing the job or providing the goods for zip if you are not paid.

If you are the kind of person who can’t request the payment even when the job has been done, try these ideas:
Tell your customer that when all the work is finished up, you will require cash or cheque. They should likely have it there at at the finish date and you do not need to ask for your money.

When giving out an initial quote, make sure your payment terms are understandable.

Create an invoice that has your terms of payment simply stated and give the customer the invoice when the task is finished up. They will look at the invoice and generally assume they need to pay it off now without you needing to say a word. Manufacture a “vicious boss” who will flay you alive if you can’t go back with the fee for the job.

Organise your bank to hook you up with Merchant facilities so you can have credit cards including Mastercard and Visa. Many people utilize credit cards and it can solve the dilemma of the client not holding a cheque account or not having enough cash at the time.

Alternatively, don’t be frightened to keep any goods till after you have been paid. Understand, until the goods are paid for, they still are yours.

If you decide to give a client credit, be sure you have the following contact details of them at a time PREVIOUSLY you give them credit.

  • Name
  • Address
  • Phone number
  • Bank name and address
  • Account no.
  • 3 trade references with their names, addresses and phone numbers

Once you have all this detail, telephone the banking institution and make certain that they do operate an account with them. Then, phone all of the trade reference and request if they pay their invoices punctually or if they have any dilemmas with them.

Most people will be willing to tell you if the person is troublesome. If everything is OK, allow them a moderate level of debt, say no more than $500 (depending on your business). Monitor the operation of the account for a few months before allowing this amount to be exceeded.

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