# Have you heard of this?



## MSsnowplowing (Nov 1, 2012)

I get a call to put a bid today at a place.

They want a 2 inch trigger, plowing and salting, no sidewalks.

Pretty easy setup, a little bit of pita because they have parking on both sides of the road.

So I'm working on my numbers and I get a call.

"I forgot to tell you, our billing cycle is 120 days"

I had to think about that and then was wait a minute, thats 4 months.

So if I plow 3 times in December, I get paid in april,

I plow 6 time in March, I get paid in July.

I have never heard of a billing cycle so long before.

Has anyone else run into something like this?


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## ProperLandscape (Sep 10, 2013)

A lot of tier one and two auto suppliers are on 90 day billing cycles that end up being 120 days by the time they actually cut and mail the check. This is assuming you have the correct purchase order number on the invoice and they don't loose the first copy you snail mail into them. Forget about getting a check in December before 4th quarter financials are released, not going to happen. This is the only instance i have run into a lengthy billing cycle. Most places are net 30.


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## grandview (Oct 9, 2005)

Call back and tell them your 10 days,if they can;t do it ,good bye.


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## MSsnowplowing (Nov 1, 2012)

grandview;1661572 said:


> Call back and tell them your 10 days,if they can;t do it ,good bye.


I sent them the bid and told them unless they did a 30 day cycle, I was not interested in plowing for them.

We shall see. I should know in a few days and will update.


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## Buswell Forest (Jan 11, 2013)

Yeah, I would have told them I was swamped, and to call ______________<-----enter some local dub's name who has a 1987 GMC half ton and a 7' myers plow plow.


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## MSsnowplowing (Nov 1, 2012)

Buswell Forest;1661629 said:


> Yeah, I would have told them I was swamped, and to call ______________<-----enter some local dub's name who has a 1987 GMC half ton and a 7' myers plow plow.


I will give them Grandviews number.

:laughing: :laughing: :laughing: :laughing:


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## BC Handyman (Dec 15, 2010)

now now, we all know GV only does ford & boss


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## Dogplow Dodge (Jan 23, 2012)

Sorry to anyone that's working under those terms, but NFW !


They would be looking at my butt cheeks wiggling as I quickly turned and walked away from that bologna..... My terms, or no terms.... That's insanity to wait 4 months to get paid. Hell, I could be dead in 4 months, and then they don't have to ever pay me....xysport


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## grandview (Oct 9, 2005)

Could pull out my72 Bronco with a manual straight blade.


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## 1olddogtwo (Aug 6, 2007)

grandview;1661677 said:


> Could pull out my72 Bronco with a manual straight blade.


Hold the boat GV....u have 72?

My First plow truck was a 74. I still have a 77.

Sign them up as a seasonal....


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## bhmjwp (Dec 12, 2005)

For us, we do a lot of commercial annualized billing. Lawn-snow-chemical. No problems, just figure you price, add 15%, and budget yourself accordingly. The good news is, accounts get hooked on this, and few competitors will bid, as you see above. 

I gave up in the 80's thinking I could change corporate policies. So I worked them to my advantage.

It takes lowballing and beer money pushers out of the game!


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## Buswell Forest (Jan 11, 2013)

Wise. Turn problems into benefits.


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## Longae29 (Feb 15, 2008)

bhmjwp;1661900 said:


> For us, we do a lot of commercial annualized billing. Lawn-snow-chemical. No problems, just figure you price, add 15%, and budget yourself accordingly. The good news is, accounts get hooked on this, and few competitors will bid, as you see above.
> 
> I gave up in the 80's thinking I could change corporate policies. So I worked them to my advantage.
> 
> It takes lowballing and beer money pushers out of the game!


I agree with the above. If you know ahead of time the terms you can be prepared for it. Add a little percent onto your pricing for playing banker. If you're the type of operation that runs check to check to keep gas in the truck this probably won't work for you.


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## MSsnowplowing (Nov 1, 2012)

Longae29;1661908 said:


> I agree with the above. If you know ahead of time the terms you can be prepared for it. Add a little percent onto your pricing for playing banker. If you're the type of operation that runs check to check to keep gas in the truck this probably won't work for you.


If it was seasonal that could be done and yes I offered a season rate but they were not interested.

They will only do per storm, 24 hour operations for them so I could be called at anytime day or night to come salt because of slipperly conditions and a hill.

So they want me on call for 24 hour service for salting, but want to wait to pay for it for 4 months, not happening.


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## Buswell Forest (Jan 11, 2013)

MSsnowplowing;1661923 said:


> If it was seasonal that could be done and yes I offered a season rate but they were not interested.
> 
> They will only do per storm, 24 hour operations for them so I could be called at anytime day or night to come salt because of slipperly conditions and a hill.
> 
> So they want me on call for 24 hour service for salting, but want to wait to pay for it for 4 months, not happening.


Though I posted that I agree before.......I also hate walking away from what could be lucrative work....Would it really be so bad to make a bit more than standard, and have "money in the bank" so to speak? Getting a check in the mail in June for $500 would not be so bad..as long as you can bankroll it until then.
They need to understand, standard interest rates would apply for using your money for 4 months...I bet the point person there understands.


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## buildinon (Oct 6, 2011)

bhmjwp;1661900 said:


> For us, we do a lot of commercial annualized billing. Lawn-snow-chemical. No problems, just figure you price, add 15%, and budget yourself accordingly. The good news is, accounts get hooked on this, and few competitors will bid, as you see above.
> 
> I gave up in the 80's thinking I could change corporate policies. So I worked them to my advantage.
> 
> It takes lowballing and beer money pushers out of the game!


I agree with this as well.
We work on a very similar pay out to this with our largest client. I have been working with them for several years, and at first it was a 60 day pay out. Then they did a corporate restructure with a new CEO and what not and it went to a 90 day for the last 2 or 3 years. But the money is there when it is supposed to be. If you can swing it, and it worth your time then do what YOU need to do.


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## Bossman 92 (Sep 27, 2006)

bhmjwp;1661900 said:


> For us, we do a lot of commercial annualized billing. Lawn-snow-chemical. No problems, just figure you price, add 15%, and budget yourself accordingly. The good news is, accounts get hooked on this, and few competitors will bid, as you see above.
> 
> I gave up in the 80's thinking I could change corporate policies. So I worked them to my advantage.
> 
> It takes lowballing and beer money pushers out of the game!


EXACTLY. We have several that pay 60 a few that pay 90 and 1 that pays 120. Its nice to receive large snow checks in the summer. As long as you know going in and price it correctly its not bad at all. Also keeps the lowballer guys out


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