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rbno22

can anyone answer this question for me please as it is getting on my large man boobs.......

as a compnay we spend on average throughout the year 4-5k weekly on spare parts.

i dont want an account and never will have one im from the old school of pay as you go. all parts centre or pts offer is standard trade rates unless i open an account!!!!

dont want one but i cant understand how someone who pays direct for parts id penalised against someone who pays 30 or 60 days later

anyone care to explain??

oh anyone in north london need a job lol
 
they want records to assess what discount to give you and be able to set up some rates. try opening a bank account as well makes life easier :)
 
because that makes no sense ie city plumbing who i used once said open an account and well give you x amount discount so no records etc lol
 
get using a local indie I get a great rate if its cash or account because I am in every other day spending godknows how much the local indies will look after you more as they appreciate you more
 
Have asked about a trade cash account some operate this system, or used to, works the same as an ordinary account so they can track purchases and set terms up on your account so have to adjust discount every time but you pay as you go!! got a cash account at my local independent one!
 
Plumbbase offer a cash account but because its plumbbase your already paing well over the odds just for walking in the door so i wont use them
 
Why wouldn't you want better discount and 30 days to pay??

there's old school and not been to school.

just get an account, get discount .
 
hmmm now when i started in business years ago i couldnt get an account for toffee or a credit card or nowt...you have no credit rating etc etc etc...so im used to the way i do it and i swore would never have any of the above...why would i want help when i dont need it ????? if i couldnt be helped when i did??? you call it what you like i call it a matter of principle or whatever ...dinosaur maybe fool maybe ...but a man of damn principle for sure.......now as an end to this discussion and for all your information have received a message from a pts manager that they are starting a new cash card with terms agreed when you sign up....without a track record or any of the other bull people put up with.........so an answer at last lol phew thats my moan of the week over lol ....next
 
Chalked said:
Why wouldn't you want better discount and 30 days to pay??

there's old school and not been to school.

just get an account, get discount .
Click to expand...

There aren't many people who don't want lower prices, but there are lots of reasons and lots of people who prefer to pay-as-they-go.

Sometimes its because they have had problems with credit in the past, sometimes its because they er...cough...prefer not to leave a paper trail, sometimes they just prefer the simplicity and security that this brings.

When the banking crisis happened back in 2008/9 there was a sudden and sharp increase in cash transactions, which has never gone away.
 
Tbh my accounts always get the better of me. I just buy and buy and buy without keeping check on my spending and they always bite me in the bum.
 
You should have paid better attention in business management and cash flow seminars!
 
Ermintrude said:
You should have paid better attention in business management and cash flow seminars!
Click to expand...

Dont believe they bothered to teach cash handling and accounting at plumbing college, it might have helped a few potential tradesmen stay in business.
 
lame plumber said:
Dont believe they bothered to teach cash handling and accounting at plumbing college, it might have helped a few potential tradesmen stay in business.
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Good point Jon. People start up businesses all the time, without even a 6 week fast track course in business management! I sometimes go on the UK Business forum, and I am staggered at the inexperience and naivety of some of the postings.

Its no wonder that the failure rate of new businesses is so high. Perhaps we should insist on a city and guilds or NVQ in running a business?
 
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I also think that paying cash keeps me in touch with prices - like the yoyo price of
copper - if I find a good deal somewhere I will buy all I can afford.

last xmas our builders merchant was asking a low price by the bundle so we bought a few
thousand quids worth - should have seen his face when he came to re-stock ! CHK
 
Ermintrude said:
You should have paid better attention in business management and cash flow seminars!
Click to expand...


Takes plumbers all their time to learn plumbing :mad2:, don't go into overload with accounts, leave that to the receiver :86:
 
happyflyer said:
No please Ray !!!! Your choking ain't you
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I am joking, but to be honest I would provide basic cashflow management, credit risk assessment and business accounting training for free, IF I thought the right customers would go on it.

90% of our bad debt is caused by two things:

1) Naive plumbers trusting builders/service providers/similar larger organisations, and then getting either completely stitched, or having their cashflow so stretched that they go pop OR
2) Plumbers who go Self Employed, and never work out that the money they take at the end of the job is not all theirs, and they need to allow for paying merchants, tax man etc. Effectively, they are using the business account as an overdraft, and if they have a prolonged quiet period, or take a bad debt themselves, there is nothing left.

The trouble is, if I ran those courses, the people who would come are the thoughtful, sensible ones who would have worked it out anyway. Its just like the DIYers who come on this board - the ones who most need the advice are the ones who don't listen to it.
 
Ray Stafford said:
I am joking, but to be honest I would provide basic cashflow management, credit risk assessment and business accounting training for free, IF I thought the right customers would go on it.

90% of our bad debt is caused by two things:

1) Naive plumbers trusting builders/service providers/similar larger organisations, and then getting either completely stitched, or having their cashflow so stretched that they go pop OR
2) Plumbers who go Self Employed, and never work out that the money they take at the end of the job is not all theirs, and they need to allow for paying merchants, tax man etc. Effectively, they are using the business account as an overdraft, and if they have a prolonged quiet period, or take a bad debt themselves, there is nothing left.

The trouble is, if I ran those courses, the people who would come are the thoughtful, sensible ones who would have worked it out anyway. Its just like the DIYers who come on this board - the ones who most need the advice are the ones who don't listen to it.
Click to expand...

I agree with every bit of it.
 
As this thread has moved on - here is my take in addition to Rays -
1. One man outfit who is good and gets loads of work
Expands and takes a few fellas on
2. The one man then spends all his time running around the men he employes
and some weeks he will pay them more than he earns not good
3. The lesson is aspiring expanding one man bands need to go from 1 - 10
in a year or the whole thing falls apart - 10 fitters can carry the main man

This is my opinion - seen good fellas leave me do this and fail and want to come back - we always say yes - like some bank years ago Centralheatking
 
Ray Stafford speaks his mind - I love it nice one Ray

I would come one of your courses & speak about being a self employed fitter taking on men etc anytime - and tell the whole truth

CHK
 
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rbno22 said:
i think im gonna open my own parts shop and get direct lol
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Looked into a few years ago, but you would need a very good supplier, to guarantee
next day that the big boys can do.

Mind you our two local parts indies have just shut down, so might be scope for one now
 
Linkyplumb said:
Looked into a few years ago, but you would need a very good supplier, to guarantee
next day that the big boys can do.

Mind you our two local parts indies have just shut down, so might be scope for one now
Click to expand...

The difficulty is that you can't just buy the fast moving stuff. To have a direct account with the manufacturers and get decent terms, you have to commit to stocking a whole range of their parts. Of course, you can just buy from a factor, but then you are trying to squeeze two margins out of a sale that only has room for one.
 
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