# Business is a 2 way street



## brm1109 (Sep 17, 2012)

For those of you who are interested, remember that business is a 2 way street. Every company expects us to sign their contracts that are tilted in their favor. But what about the contractor, we are the ones that are actually extending credit to these companies.
The other day, I received a call about doing work for a "national", after seeing their prices they are not a national but a regional. Anyway I replied back that we will review the documents but in the mean time I attached the following in a PDF for them to review and sign.
Guess what, I received a call that they do not sign anything like this because they are giving the work and not the other way around. So I tried to explain that yes they are giving the work which means I am giving them credit. Oh well from now on we are using this for everybody that contacts us, if they don't want o sign it then there is no work.

*It is understood that the below named company is interested in securing our services and having us extend credit to them for said services. As a condition of performing any work and extending credit for our clients, the following items must be adhered to. By signing and dating the following items it is understood that any violation of the terms may result in legal action being taken. Any legal action taken will be conducted in New Jersey. 
1. All invoices MUST be paid no more than 45 days after services are completed and payment MUST be received no later than 50 days after services are performed. In the event that payment is not received in the above manner, then ALL outstanding invoices will be due and payable IMMEDIATLEY. 
2. Once a work order is received and the original amount is listed, any attempt by the client to reduce the invoice amount WILL NOT BE TOLERATED. In the event that the client does attempt to change the pricing after the work is completed will result in the client being put on a hold status and no other work will be completed until the dispute is resolved. If the client continues to not adhere to the original quote, a lien may be placed on the property where the work was performed. 
3. In the event that payment is not received per item 1 above, all client’s work orders will be put on a hold status. 
4. As we are extending credit to you, it is understood that any work that is not paid for according to item number 1 may result in a lien being placed on the property where the work was performed. 
5. The client will be responsible for all legal fees of our company in the event that we must take action to obtain payment.*


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## Wannabe (Oct 1, 2012)

You forgot that they must complete a background check on all employees AND a complete financial history check to see how solvent they are..


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## MYMONEY1 (Aug 2, 2013)

love it !! Now I hope you don't go hungry waiting on work :thumbup:


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## cover2 (Apr 3, 2013)

brm1109 said:


> For those of you who are interested, remember that business is a 2 way street. Every company expects us to sign their contracts that are tilted in their favor. But what about the contractor, we are the ones that are actually extending credit to these companies.
> The other day, I received a call about doing work for a "national", after seeing their prices they are not a national but a regional. Anyway I replied back that we will review the documents but in the mean time I attached the following in a PDF for them to review and sign.
> Guess what, I received a call that they do not sign anything like this because they are giving the work and not the other way around. So I tried to explain that yes they are giving the work which means I am giving them credit. Oh well from now on we are using this for everybody that contacts us, if they don't want o sign it then there is no work.
> 
> ...


 That right there boys and girls is what every one of us should be doing, I know I'm going to from now on!!! Excellent post!


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## preservationpit (Feb 14, 2014)

brm1109 said:


> For those of you who are interested, remember that business is a 2 way street. Every company expects us to sign their contracts that are tilted in their favor. But what about the contractor, we are the ones that are actually extending credit to these companies.
> The other day, I received a call about doing work for a "national", after seeing their prices they are not a national but a regional. Anyway I replied back that we will review the documents but in the mean time I attached the following in a PDF for them to review and sign.
> Guess what, I received a call that they do not sign anything like this because they are giving the work and not the other way around. So I tried to explain that yes they are giving the work which means I am giving them credit. Oh well from now on we are using this for everybody that contacts us, if they don't want o sign it then there is no work.
> 
> ...


What about adding an interest and late penalty clause 
ie payment due in 45 days, 5 day grace period. If payment not received by the end of the grace period a $25 initial late fee will be imposed, if payment is not received within 60 days an additional 9% compounded interest will accrue monthly 

Realistically you are extending credit, you are entitled to late fees and interest payments on the money you lay out for them -- you agree to a payment date - charge them interest-- they backcharge for BS and adjust invoices for BS and have the disputes tied up for months you are entitled to something for the inconvenience of delayed payments- how else can you continue to run your business?


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## allure9121 (Jan 26, 2014)

that is great if you can get the company to sign it but you they will say no and go to the next vendor that will abide by there rules and there are plenty of idiot contractors that will sign what ever is presented to them

If we could all band together it would work but it will never happen

i was a union guy for 18 years in verizon and half the guys loved the union and half hated it and Verizon is a huge company so if they cant make it work we will never make it work


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## preservationpit (Feb 14, 2014)

We've been in this 5 years, the problem is certain people will ban together and the others will keep going, and than you have the new guys willing to do that complete lock change for $20 and they do this for a few months until they realize that they are thousands in the hole-- new guys rarely take advice- this business is so easy to get into -- hey have illusions of thousands of dollars floating in their heads and think the people doing this for years are just trying to hog the business etc.. Yea everyone should ban together tell them all to scr-- off and not take anymore work on to try to force them to pay fair prices and stop sh---ing on us and treating us like we are the scum , but others are going to come in and do it anyway - and do a crap job and than leave the business so someone else has to clean up after them -- so how do you stop that from happening?


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## brm1109 (Sep 17, 2012)

I have been in business for about 7 years now. My new feeling is that every other customer (private) that I have signs the contract that has the same wording in it. Including large companies that we do maintenance jobs for.
I only deal with 2-3 nationals in this business and have been ok. The way I look at it is if a company can't sign a contract guaranteeing payment then there is something wrong.


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## ADP LLC (May 15, 2012)

The problem is in a competitive marketplace you are only worth what the next guy is willing to do it for. And there is always an influx of people willing to "clean out houses" but without actual trade skills they wont do well and just drive rates down and cause problems for those who actually have integrity and skill. It never ceases to amaze me the types of slop job roof repairs, incorrect key codes, incorrect padlocks, full water heaters, incorrect boarding, that I clean up on a weekly basis. But banning together and forming some type of contractors union is essentially price fixing, if you cant niche out a profit in a competitive market place then its time to find a new profession. With competition comes low prices, plain and simple. And the amount of work is finite and even decreasing.


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## foothillsco (Nov 8, 2012)

I would hazard that 99% of my competition in Colorado has never heard of Preservationtalk.com, or anything else that is standard knowledge to some of us. 

They understand this: Need money. Sounds easy. They are banks, it must pay good.


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## david (Apr 11, 2012)

*hi*

i totally agree with post but it'd be like banning together to disban temp agencies some would,most would'nt because they have to work,but agreeable something needs to be done.


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