Customers paying late

[plumber_UK]

I've been a plumber / gas engineer around 12 years now and still cant manage to get customers to pay on time. I've tried everything, telling customers how much the job is before I turn up, invoicing while on the job so they have no excuse to wait for the invoice. Adding "payment on completion" to invoices, reducing due dates. Automatic reminders for late payments and nothing works. Why do people have work done if they cant afford it ?

Its about time they made shows about cowboy customers.

I'm sure the bulk of plumbers and gas fitters on here have had their fair share of late paying customers ?

We are all made to look bad on these shows but they never show it from the tradesmen's side.

Being Christmas id especially like to get paid on time but it seems 70% of my customers have chosen to use my money to enjoy themselves.

Is their anyone else that shares similar views ?

Rant over

 

[ShaunCorbs]

whats your terms?

 

[plumber_UK]

It was 30 days, then 7 days, now payment on completion although i do leave it a week or so before sending a reminders.

 

[ShaunCorbs]

do they just ignore the letters ? have you tried phoning them to see wheres payment

 

[plumber_UK]

oh mate, I try everything
I have a system set up where a day late they get the first reminder then a week later 2nd reminder and another week later final reminder. If i dont here anything i follow up with a phone call. This month though a few people have just plain ignored emails and texts.

Obviously I do get paid eventually but its the time and effort it takes.
Cash flow is king, I cant keep financing these people.

You cant walk into tesco and decide that your going to pay next week then a week later post a cheque out.

 

[plumber_UK]

how are your customers ?

 

[ShaunCorbs]

maybe state on the bottom of the late reminders that the outstanding balance will be passed on to a 3rd party if you do not pay etc

my terms

14 days for small amounts about 10k
30 days for big amounts anything upto 1 mil

 

[plumber_UK]

I have. i'm register with a debt recovery agent whos name is in the terms but i think most people ontt read terms or aren't botherd

 

[ShaunCorbs]

I have. i'm register with a debt recovery agent whos name is in the terms but i think most people ontt read terms or aren't botherd

maybe worth putting in bold on the late invoice, and maybe if they ignore toss some work to him, i know you dont like to but might be worth it like you said you dont ask for credit/extensions from tesco etc

 

[plumber_UK]

Yes
That is possibly the only thing I haven't done