cowboy customers

[super chip]

My business is growing and so are the amount of cowboy customers , I get sick off the people i meet trying to get something for nothing, I carnt walk out of curry's with a TV without being arrested , but people can order loads of labour /materials from us builders , and we have to go to court , and get fobbed off with what the consumers, can so called pay over time,on the never never

great stuff, you can see why i love England , works well if your an ass hole

Dave

 

[ds65]

Take payment upfront or at least half upfront?

 

[simon field]

^^^ and eliminate the majority of the cowboys.

Brilliant!

 

[super chip]

Please read and enjoy ,
http://sabotagetimes.com/life/10-things-that-will-****-up-your-small-business/#_

 

[super chip]

cut and paste the link into google think it somes up most of us small business in the uk

 

[simon field]

If you've allowed the cowboys to put you in this position, the harsh truth is that it's your decision isn't it?

 

[Homer J Simpson]

I had a bloody nightmare customer not so long back. Just make sure you have good T's & C's written up, a signed contract for works to be done (including the price) and sue them if they don't pay! if over £750 you cab bankrupt them (although usually only advisable if it's a larger debt and they have assets)

 

[MorrisChesterfield]

Unfortunately what ever trade your in, there are folk who think they dont need to pay.

Self storage and removals is as bad!

 

[kjones34]

Take payment upfront or at least half upfront?

This

 

[greenhouseindonesia]

I'm wondering what cowboys customers means...........but after I scroll down and read more I think I understand.

I experienced it, February 2013. My customer left me with 3.5 containers furniture (he paid 30% deposit well its my mistake cos I trust him to much -my former boss was the middle person between us- on that time I was thinking I can put trust on them).

In fact by the time when the goods are almost done to pack and almost shipped, the buyer gone away without news, my former boss started talking that the customer has difficult financial issue. He tried to calmed me down by saying he will help me to find another buyer who wants those goods, again I trust him but until now I heard nothing.

for small business person like me of course its really pain in the ass to stay with 3.5 containers goods unpaid fully. I had to struggle a lot, I sale the goods retail, forcing my friends to buy piece by pieces. Even until now I still have them (1.5 containers left).

Life must goes on, business has to keep runs if not I won't able to pay my people (and their family), I become much more careful now, if somebody comes to me and buying goods for me I will really investigate him/her till detail LOL, well 50% deposit upfront sometimes can't be guarantee but at least its better than 30% deposit LOL.

Just be more careful

 

[geoWD]

Hello there,

You've described a truly undesirable situation; however, it is one that could be avoided. One mistake made by many business entities is to target all potential customers: irrespective of their attractiveness; that it itself attracts a host of undesirables: and non paying characters is merely one of them. There are many individuals who dispute the importance of planning and strategic alignment in business. This situation serves as an ideal countering component.

 

[Steve Thornbury]

If only there was some help out there!

 

[Justjules123]

It doesn't help with all these tv programs out there making out that every tradesmen or business is out to fleece you.

 

[IanG]

You won't always get payment up front, reality TV has made people scared of that.

 

[Flobot]

I'm sorry to blow my own trumpet but I have written an article specifically about this. It is probably the main reason that I do what I do now. This is a bug bear of mine and you are absolutely correct. You can't walk into restaurant eat a meal and then tell the waiter to send him and invoice and you'll pay it 30 days (and then 30 days later say you weren't happy with your dinner and not pay!)

 

[MBE1]

I would recommend taking a good deposit and then further stage payments on jobs as they proceed. Get it agreed in writing, plus penalties if they fail to pay on time.

Anyone not finding it acceptable will probably not want to pay in the end.

 

[Nuno]

Have you thought of Escrow for the deposit? This will safeguard at least that 50% at a fairly small cost.

 

[Deleted member 237683]

I had a bloody nightmare customer not so long back. Just make sure you have good T's & C's written up, a signed contract for works to be done (including the price) and sue them if they don't pay! if over £750 you cab bankrupt them (although usually only advisable if it's a larger debt and they have assets)

I could do with some T & C's I could use.

Can anyone help? james.madge AT gmail.com

 

[Ideaswise]

Ts & Cs are essential. The easiest way is to look at what your competitors use and then put together your own version from that. Not as watertight as getting a lawyer to draft them, but sufficient in nearly all cases. And yes, get part payment up front. Also get everything confirmed by email and refer in your email signature to your Ts & Cs.

 

[Paul Murray]

Ideally you should be getting at least 50% up front, not only to help your cash flow, but also to separate the "tyre-kickers" from the genuine customers/clients.

I agree completely that tradesmen are getting a lot of bad press from TV shows, and I'm often weary of using someone I've never used before so tend to stick to friends/family for recommendations.

A strong brand and professional appearance is essential to put people at ease. I'd be reluctant to hire a group of blokes turning up in a tatty van to do some building work at my place, but would have much more confidence in a team that arrived in 'uniform' (t-shirts with the company name/details) and a van with livery that proudly displayed who they are and what they do.

That's not to say the first group aren't competent, but the second look much more trustworthy, organised, and professional.

 

[beasty]

I'm sorry to blow my own trumpet but I have written an article specifically about this. It is probably the main reason that I do what I do now. This is a bug bear of mine and you are absolutely correct. You can't walk into restaurant eat a meal and then tell the waiter to send him and invoice and you'll pay it 30 days (and then 30 days later say you weren't happy with your dinner and not pay!)

But you would equally not go into a restaurant, tell the waiter you had an idea of what you planned to eat and pay 50% up front, the comparison does not work for many reasons.

I do not see how this can be tough if this is your trade, you quote, you take material costs, you pay per fraction of the job and done..

Anyhow, I aint a tradesman but do not see why you need one large transaction, quote, materials, its going to take 8 weeks, then split the payments into 8.. obvious, reasonable and both parties should be happy.

 

[Talay]

It doesn't help with all these tv programs out there making out that every tradesmen or business is out to fleece you.

If 51% were competent, trustworthy, honest and reliable then the balance of probability would be in their favour......

....... but they aren't.

From incompetent, thieving, unreliable to brazenly dishonest, the majority of tradespeople I've met in the last few years have all wanted easy cash for not a lot of effort.

I have met some true stars but they can't get equally good people to team up with as there simply aren't enough of them for the amount of work going around.

 

[Nuno]

All bar one of the tradesmen I've used in 15 years has been efficient, diligent and honest. (Works done on 2 houses and one workplace).
Could it be how you pick 'em?

 

[Talay]

All bar one of the tradesmen I've used in 15 years has been efficient, diligent and honest. (Works done on 2 houses and one workplace).
Could it be how you pick 'em?

I said met, not used

Quite a difference !

 

[Nuno]

I said met, not used

Quite a difference !

Could be the circles you mix in...

 

[Chris Ashdown]

Sorry but its all down to you, you are the one giving credit so its all down to you

You could ask for payment up front, Stange payment, post dated cheques or keep better credit checks and control
If people are wary of paying up front prove to them you are ligitimate buy giving references etc

You can always ask for the full money to be held by say a solicitor and stage payments made at agreed times or levels

 

[Talay]

Could be the circles you mix in...

If I mixed with decent trades folk then I'd never be short of a good recommendation. Unfortunately, like many, I am left to interview (if they turn up), chase down references (sometimes suspect), check their background and then ask perhaps why they think it acceptable to try to rip me off for materials. I'd rather they were proud enough to say they justified £100 an hour labour / skill than try to rob you on backhanders and disguised prices.

Somewhere in there is probably a business idea for someone, perhaps the OP

 

[Karimbo]

I get the impression that the building profession is like that.

I buy a lot of timber panels to build flight cases for my AV equipment for my hire company. I buy the timber from selco which is a small builders merchants.

They have a notice on entrance that no bags are allowed, and that bags must be left at the counter or in your vehicle.

On exit, all your purchases are checked against your invoice by a security guard just after the checkouts.

It's a ********* builders merchants, you dont even get this level of mistrust and scrutiny in a jewellers!!

I guess tradesman are likely to pocket stuff.

 

[farmerswife]

T&Cs should be drawn up specific for your type of business and read over by a solicitor as they could be worth naught if not legal or checked. I would rather pay for these to be drawn up by a commercial solicitor than copied and pasted.

 

[Karimbo]

T&Cs should be drawn up specific for your type of business and read over by a solicitor as they could be worth naught if not legal or checked. I would rather pay for these to be drawn up by a commercial solicitor than copied and pasted.

that's going to be quite expensive, if you join a trade association they ususally have template packs specific to your trade. I got our rental agreements from a hire association, membership just cost an hour of a lawyers time and you get so much more value out of it.

 

[InternetMarketingPlatinum]

The problem and it's a problem that many of us SME owners have, is that we offer payment terms and don't take payment upfront in order to be competitive. But honestly you will still get business if you take payment upfront instead of payment terms. Yes, many larger companyes will demand payment terms but it's your choice about who you do business with. It's the risk you take.

 

[SMR Locksmiths]

we are locksmiths covering south west London and some people except to get their stuff/doors/locks for free or next to nothing. we always ask the call out fee but first we try all our best to get as much information as possible over the phone so customers don't get a nasty surprise with the actual labour/parts costs...

 

[Darryl Wright]

I know how you feel I've lost over 20K over the last 6 years from customers not paying or companies going under then starting up again. Now I make every customer sign my T &Cs , which I used a lawyer for. Once they have a signed document they are less likely not to pay. It has helped me. Good Luck