Learn how accepting credit cards will help you get paid faster.
What is it in your business you think you can’t do that maybe you just haven’t tried or haven’t tested? We have all these assumptions about how business works and how life works. Yet, a lot of times we are wrong simply because we haven’t been educated or haven’t learned about specific topic.
Let me give you an example. One of the biggest things that made my business better years back was we decided that we would only work with clients that paid us with a credit card each week. We performed the service and then charged their credit card. It was a big change.
A lot of people in our market weren’t doing it. I have told hundreds of people about this idea because one of the biggest bottlenecks in growing your company is cash flow. You’ll never get big if you don’t have the money to get big.
One of the ways to solve the cash flow problem is to auto charge your clients’ credit cards the day of or the week after service so that you’re getting paid fast. Then, you can time that with payroll. It just changes everything.
Most don’t believe this is possible. They say it won’t work in their market or that their clients wouldn’t do that. That was exactly what everybody said in my market. I just finally got the courage to try it, but at the time really nobody else was.
Why is it that this industry is the only industry, or one of the few industries, that believes that you have to send an invoice at the end of the month and get paid a month later? I know not everybody does it that way, but for example, the lady that cleans our home, we leave her a check every single week. She cleans my home, she gets a check that day.
If you’re an HVAC company or a plumber that comes to my house, I pay you when you perform the work right there at the job site. I have the guy that comes and washes my car. He swipes my credit card as soon as he washes my car.
I have a pool guy. The pool guy sends me an invoice at the beginning of the month for all of the weekly services I am going to receive for the month. I pay him in advance. I can go down the list of all the different providers that I use in my home.
We had our hardwood floors handscraped and re-stained. I gave the guy half the money down and half the money when the job was done. When I had my house painted, I gave the guy part of the money up front and then I gave him the money in stages as he finished painting my house because it took several weeks.
There’s almost nobody that I deal with at my home that sends me an invoice at the end of the month and then expects me to pay them a month later. In other words, floats my money for 60 days.
Again, I say, what is it in your business you think you can’t do that maybe you just haven’t tried or haven’t tested? I ask myself that all the time and that’s where the big breakthrough has come from.