“Phantom” Discounts

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“Phantom” Discounts

this small change can make a BIG differenceDo you pay your rates bill to get the discount offered? Most people do. So, if you’re a service provider and want to get paid more quickly by doing VERY little then consider offering “phantom” discounts on every invoice. (It’s like charging Late Charges without having to go through the process of having to have everything signed off in your initial paperwork.)

NOTE
Some will pay the lower amount later than the “deadline” (23 May). But they’ll probably pay earlier than they would have otherwise. AND, if you have to follow anyone up for payment, chase the larger amount ($419.00) and accept the lower amount IF they object (that’s the amount you really wanted in the first place) and you’ll be seen to be doing them a favour. You’re the Good Guy yet again!

 

 

Most clients will pay to

  • get that discount and to
  • avoid any confrontation.

 

EXAMPLE
This fee, if paid on or before the close of business of
23 May 2014 – $ 344.50 + $ 34.50 (gst) – Total payable – $ 379.00
After 23 May – $ 380.90 + $ 38.10 (gst) – Total payable – $ 419.00

… where $379 is the amount you expect to receive.

By | 2017-07-13T08:51:39+00:00 December 8th, 2014|Uncategorized|0 Comments

About the Author:

Have you ever wondered why a client does business with you and then ignores your invoice like they had no intention of paying it in the first place or they treat you like their own personal line of credit, leaving YOU dangling, waiting months for their payment? Unfortunately this situation is all too common and can even be puzzling for the most experienced business owner. If you’ve ever had to handle outstanding accounts or you are just so over non-payers, then we can help. Real-world skills, solutions, tips & strategies to get more accounts paid on time, and, most importantly, how to maintain customer goodwill while keeping YOUR cash flow in the positive. You will find the blog posts helpful but to get real results, contact us by using any of the forms on this site, by email or by phone. I’ve been involved in the management of accounts for over 30 years, heard every excuse in the book, can spot a non-payer at 20 paces. Finance Companies in the 70s (systematic, tough), professional firms in the 80s (no systems, too gentle) and, since then, just about every other sort of business you can think of. I’ve written books on the topic, spoken all over the place about it and the blog in this website is my way of “giving back”. I hope you find it helpful.

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