COD late payments

**Perform Computers** · 25-Feb-11, 10:53 AM

Yea you see I normally plug in the PC, and show the client everything is working. Then I give the invoice. So by then, everything is plugged in, and I can't exactly unplug everything and say, "I'll bring it back when you pay".

You know, I actually tried that once with a home user. He didn't have the cash. He literally stopped me, saying, "Where do you think you're going with that!"

What do businesses do normally in this situation? I assume they make it COD, but have their debtors call within 7 days or something right? For payment.

**IanF** · 25-Feb-11, 11:40 AM

Put down the follow up for 3 days and only worry then, now start with the marketing.
I have found that you mustn't dwell on the negative, it puts you in a bad mood and can ruin your day.

**Justloadit** · 25-Feb-11, 01:06 PM

Simple, insert a user name and password on the system at boot up. The password is given once payment received. The P C will remain operating until it has to reboot, which happens at least once a week, so there is enough time to make the EFT before switching off.

**Perform Computers** · 25-Feb-11, 01:23 PM

You know, thats what my girlfriend said. Put a password on, and when payment is received, give them the password.

**daveob** · 25-Feb-11, 02:43 PM

not a bad idea, but I would make sure that the fact that you'll be adding a user / password option is clearly stated on the job card that you complete with the customer when you collect the PC. Otherwise you run the risk of getting a reputation of devious under-handed practices - even if it is for the best intentions.

**adrianh** · 25-Feb-11, 03:09 PM

You know, thats what my girlfriend said. Put a password on, and when payment is received, give them the password.

I think this is a very bad idea. What happens if you or the client is hit by a bus.

Yes ok the company owes you R800 or whatever but it doesn't give you the right to potentially sabotage the computer.

The best thing to do is to phone the client before delivery and ask them to have the cash on hand - say that it is company policy - if they say why then say that as a very small business you have to manage your time & cashflow very carefully (like Mr Delivery) When you walk in the door, before you start with anything ask them whether they would be ble to pay the invoice before you leave.

Another angle is to make out as if you work for a terrible boss who will kill you if you don't come back with payment. Say that the boss has these policies and you just work there. Doing this means that they can't force you into making a decision on the spot because you are the boss. It took me a long time to learn this. A customer tried to force me into a corner the other day and i really didn't have a suitable reason for not doing what he wanted - ( I simply didn't want to do it because it was potentially dangerous) I said that I'm sorry but the company accountant doesn't allow me to do that.

Bottom line: Depending on the situation, act if you are a small cog in a big wheel with very powerful allies - how does the customer know whether it's true...Lie when it suits you.

**sterne.law@gmail.com** · 25-Feb-11, 04:01 PM

Rudi is right on the money. Lame excuse. They never raise the "Not working/unhappy" defence until the heat is on. I take this as they either dont want to or cant pay, normally the former.

A legal route that may help, particulalry for you Rudi, is the use of a Provisional Summons. This route is specifically "designed" for the person owed money, and actually stacks the odds in your favour.
The provisional summons can be used where the debt can not be disputed, ie a acknowledgment of debt, bounced chegue OR SIGNED invoice!!!!!! You submit the documnet with the summons. No affidavits, particulars of claim or anything. The debtors only possible defence allowed is - not his signature or an agent. If they want to dispute anything else such as performance or lack thereof, they must first PAY the debt before they will be allowed to take the matter further. The provisional summons also bypasses the need to get a writ for execution and all taht process - it is a one stop shop!!
Summons tends to push you to the top of the list where the debtor is messing you around!
The summons can be done by anyone(standard format) your only cost will be the sheriff!
More than glad to send you a copy of standard format summons Rudi

**SilverNodashi** · 25-Feb-11, 04:10 PM

Originally Posted by adrianh

I think this is a very bad idea. What happens if you or the client is hit by a bus.

Yes ok the company owes you R800 or whatever but it doesn't give you the right to potentially sabotage the computer.

The best thing to do is to phone the client before delivery and ask them to have the cash on hand - say that it is company policy - if they say why then say that as a very small business you have to manage your time & cashflow very carefully (like Mr Delivery) When you walk in the door, before you start with anything ask them whether they would be ble to pay the invoice before you leave.

Another angle is to make out as if you work for a terrible boss who will kill you if you don't come back with payment. Say that the boss has these policies and you just work there. Doing this means that they can't force you into making a decision on the spot because you are the boss. It took me a long time to learn this. A customer tried to force me into a corner the other day and i really didn't have a suitable reason for not doing what he wanted - ( I simply didn't want to do it because it was potentially dangerous) I said that I'm sorry but the company accountant doesn't allow me to do that.

Bottom line: Depending on the situation, act if you are a small cog in a big wheel with very powerful allies - how does the customer know whether it's true...Lie when it suits you.

So you're actually saying that we should let clients walk over us, and take it with a smile?

**Perform Computers** · 25-Feb-11, 05:02 PM

The best option is to call the client and inform them you'll drop off said PC at a certain time. Then add, "How will you be paying?" If it's COD, then add, "Please note it's COD when the unit gets dropepd off".

Doesn't sound rude or unprofessional.

Client paid today after I had to call and ask for the money. Funny how you always get the, "Oh hasn't Joe Soap paid you yet? Damn, I did tell him! Let me go tell him again"

**daveob** · 25-Feb-11, 05:26 PM

How about e-mailing / faxing the invoice and ask them to do an EFT and send the confirmation to you, so that you can thereafter schedule a time to return to the client's office with the PC. Your boss does not allow you to make appointments to return the repaired goods until the company accountant signs off on the job.

This way the ball is in the client's court - you're not chasing him for payment - he is chasing you for the PC.