Quote:
Originally Posted by killer69
Try this.
try taking 40,000 in cash to the bank teller for a job and see what happens!!!!! 
now that cash is not an acceptble method of payment and CC are no good what is the option????????
interact?? that has now become the only acceptable payment type. cuz you sure ain't gonna take a personal cheque are you.
we normally will have the customer get a certified bank draft. it is a PITA for the customer but thats too bad |
They would not accept your $40k in cash? I don't know why they would not take it. That's strange to me.
I probably would be very annoyed if my builder asked me to get a certified check every time I had to make a payment.
Quote:
Originally Posted by ironworks
I do very few credit card transactions. I have found the guys who really can't afford to build a car try to use a credit cards. I have customers send me a check every 2 weeks for the work completed in that time frame. They send me a personal check and we start on another invoice. If at any point they are not satisfied they can pull the car or I can get rid of them. The additional expense of credit card charges for doing the transaction, is reason enough to me to not do a credit card transaction.
I understand some customers want the points or mileage for the large expense, but in the car building industry there is not the room in the hourly rate to lose another 2-3% on a regular basis. That margin could make the difference between a successful profit margin and not.
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Like I said before, credit cards used wisely are a great tool and apparently you haven't run across any of these type of people. I don't think it's fair to assume they can't afford to pay cash just because they do not, unless of course you ask for their personal financial statements before entering into a build. I have paid my invoices to my builder all with CC's, but I could have paid cash. Did they know that? No, cuz they didn't ask and I didn't tell.
If you don't like the fees for CC merchant fees, tell customers you will add 2-3% to the invoice to take credit cards. That way they still get to decide if they want the points and the benefit of 30 days cash flow. And you don't lose out.
This is a good thread topic and very interesting. Thanks to you builders for chiming in with your opinions.
