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FT painter/FT dad
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Discussion Starter · #1 ·
Back to this same old subject again

I keep finding myself getting in a jam due to what's in my contract, or better yet...what's not in my contract. Call me crazy for being so behind on this, but I just added a 5% charge per day for late payments. I keep getting customers who owe me thousands of dollars and then skip town on a vacation. And here I am sitting around waiting for there money with no recourse. If this doesn't help, I'll raise it to 10%. And there are other things that have bitten me lately or caused issues too...

I need a serious contract overhaul.

Where can I find a contract that is very specific and covers most bases in detail? A link where I can find one? Tips from a contract you have? Any help would be great.

Thanks
 

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... I just added a 5% charge per day for late payments... If this doesn't help, I'll raise it to 10%.

I could be wrong (I often am) but I don't think that's legal, it isn't in Wisconsin anyway. Most companies will charge a 1.5% or 2% per month for late payments. Not to exceed 18% per year.


Get an "intent to lien" in with your proposals. Send one to the customers after they are two weeks late. You'll get a payment real quick, an maybe less animosity than charging them a high fee.
 

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Rich, I don't suspect 5% a day is legal either...

You might amend your contracts so your final draw is not so big...
r
 

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FT painter/FT dad
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Discussion Starter · #5 ·
Ok, the concensus says that's not legal. Seems like not many guys want to share what they have, so can anyone recommend a good company to deal with? I am seriously losing my mind. Just when I think I've covered myself...a customer has some issue with my wording or lack of wording. I just can't seem to cover it all and have had such bad luck lately (not my style at all).
 

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Ohio Painting Contractor
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275 Posts
Rich email me please and I will send you the back of our contract.
I did hire a professional attorney to write ours as at one time we planned on franchising the company so it's 100% legit.... Our payment terms for residential are 10% down 60% when we start balance due upon completion...

[email protected]
 

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Back to this same old subject again

I keep finding myself getting in a jam due to what's in my contract, or better yet...what's not in my contract. Call me crazy for being so behind on this, but I just added a 5% charge per day for late payments. I keep getting customers who owe me thousands of dollars and then skip town on a vacation. And here I am sitting around waiting for there money with no recourse. If this doesn't help, I'll raise it to 10%. And there are other things that have bitten me lately or caused issues too...

I need a serious contract overhaul.

Where can I find a contract that is very specific and covers most bases in detail? A link where I can find one? Tips from a contract you have? Any help would be great.

Thanks
Rich, it sounds like communication might be the issue, if they are heading out on vacation, while you are nearing completion of a project, this should be adressed, you as the contractor, should be letting the client know you intend to finish the project on such and such date, and want to do a walk threw, and any touch up, and except final payment on this date, this should all be set up and communicated in the begging of the job and as the job goes on. I dont understand how you can be painting at someones house, and they dissapear with out any notice to you, that is very rude, and shouldnt happen if you talk to them about whats going on, and when you plan on finishing, i will glady mail you a copy of my est packet, just pm your adress, i will tell you, i dont collect a penny, untill the job is fisnished, and most of the time i have them just mail me a check, since i dont work on the jobs any more, and it saves me a trip.
 

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Ohio Painting Contractor
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Rich, it sounds like communication might be the issue, if they are heading out on vacation, while you are nearing completion of a project, this should be adressed, you as the contractor, should be letting the client know you intend to finish the project on such and such date, and want to do a walk threw, and any touch up, and except final payment on this date, this should all be set up and communicated in the begging of the job and as the job goes on. I dont understand how you can be painting at someones house, and they dissapear with out any notice to you, that is very rude, and shouldnt happen if you talk to them about whats going on, and when you plan on finishing, i will glady mail you a copy of my est packet, just pm your adress, i will tell you, i dont collect a penny, untill the job is fisnished, and most of the time i have them just mail me a check, since i dont work on the jobs any more, and it saves me a trip.

Dave why wouldn’t you leave your lead guy with an invoice and a walk through checklist / client sign off form so you get paid right away and you know for sure they are happy? There are many contractors that are not on the job and get paid immediately for residential projects. I do have to agree with you communication is essential.
 

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Dave why wouldn’t you leave your lead guy with an invoice and a walk through checklist / client sign off form so you get paid right away and you know for sure they are happy? There are many contractors that are not on the job and get paid immediately for residential projects. I do have to agree with you communication is essential.
Welovoe
yea, Its rather new to me, to be running two crews, and I still have some things to work out, i really like your idea, and probaly will using it in the future. Thanks for the input:thumbsup:

dave mac
 

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Epoxy Dude
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Why doesn't you ALL just post up your contracts and then merge the best parts of each one to come up with one that covers all the bases? It just seems to me that with as many smart guys that are on these forums that the best (most complete) contract would be derived... together???

I know... I know... I'll go back to my lab and play now! lol...
 

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Rock On
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Actually...some of us use the same original, or various modified copies of it, and modify it to our needs

I know I have chunks of Humble's and PWG's in mine...probably other bits I picked up too

Rich, if I haven't sent you the files of mine, shoot me your e-mail and I will
You can look it over and if you want, steal anything you'd like
 

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Systems Fanatic
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Dave why wouldn’t you leave your lead guy with an invoice and a walk through checklist / client sign off form so you get paid right away and you know for sure they are happy? There are many contractors that are not on the job and get paid immediately for residential projects. I do have to agree with you communication is essential.
That's how we do it. And if my Project Manager doesn't get a check when he finishes, he usually goes back to get it. Collections is his job, not mine.

I'll make another plug for taking credit cards. Even if the customer is out of town, they can still give you their credit card information, or authorize a charge to the card you've been using for the deposit and progress payment.

Brian Phillips
 

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Why doesn't you ALL just post up your contracts and then merge the best parts of each one to come up with one that covers all the bases? It just seems to me that with as many smart guys that are on these forums that the best (most complete) contract would be derived... together???

I know... I know... I'll go back to my lab and play now! lol...
I have no idea how to do that, heck i cant even post a picture, i would glady, mail it to some one, and they could post all the parts they want.

thanks
dave mac
 

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That's how we do it. And if my Project Manager doesn't get a check when he finishes, he usually goes back to get it. Collections is his job, not mine.

I'll make another plug for taking credit cards. Even if the customer is out of town, they can still give you their credit card information, or authorize a charge to the card you've been using for the deposit and progress payment.

Brian Phillips
Brian thats a good point, what type of percentage does the card company charge??

Your the one that originally gave me the idea of getting the lead guy to get the check, i just havnt followed through on this yet, me always having my noise in the job, its just another comfort sone i have to approach and get used to, that i dont have to be their for every job thats finished, to collect payment on, only experience and time, makes new things such as this become second nature. And if it wasn't for the internet, i would probaly be still be in the bucket, not charging enough.

thanks
dave mac
 

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Hi Folks,
I could use some help with a contract also. As some of you know I've been out of the trade for 17 years. I never used or had a writen contract, just a hand shake and the job was done and payments were made. Never had a problem, Doing it that way, back then. I understand the need for a writen contract in todays business world, because things are alot diffrent today.
Anyone able to help me out?
Thanks,
Bill
 

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Rock On
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Hi Bill
If you could Private Message me your e-mail address, I'll send you copies of some of what I use

It's very Homeowner Friendly, it shows that a contract can be helpful to a Homeowner too, not just to cover a contractor's butt
(...will be sanded, will be primed, will have two coats...etc...)
I actually use it as a sales tool
 
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