pay your invoice or watch your windows

[buzzlightyear]

I'm sick and tried of sending invoices to customer saying pay within the seven days and some customers try and pay late .I run a business not a charity, I now you have to give them 30days to pay in the invoice ,but stuff that ,we have all been their waiting for payment .I now send them pay now or face the wrath of buzz.

 

[rapparee]

Does that mean that when you do work and the company doesn't pay you at 30 days you take the same attitude?

I am an employee I get paid weekly. I lost £500 in total deductions this week.

Guys who are self employed need to get it into their heads that they are not working for wages. They are charging big money, and paying lesser tax, so they have to play by big boys rules.

I've no sympathy. If you aren't able to manage your finances to take the rough with the smooth, maybe you should go and work for someone else and be a direct employee

 

[baldelectrician]

Almost all my work is domestic
I offer pay by link via email as well as a card machine in the van.

I do not usually get lat paying customers- I have had one in the past 2 years.
I sent him the invoice, week later the reminder (7 day notice) and he paid 4 days later- all in 2-3 weeks from invoice to payment

I have my laptop on site with me (as I use it to do my certs while there), this means I can use a spread sheet to total the job up and the client pays there and then.
My card machine has a roaming sim which jumps between T-Mobile, O2 and Vodafone so I usually have no problems taking payments.

 

[rapparee]

Almost all my work is domestic
I offer pay by link via email as well as a card machine in the van.

I do not usually get lat paying customers- I have had one in the past 2 years.
I sent him the invoice, week later the reminder (7 day notice) and he paid 4 days later- all in 2-3 weeks from invoice to payment

I have my laptop on site with me (as I use it to do my certs while there), this means I can use a spread sheet to total the job up and the client pays there and then.
My card machine has a roaming sim which jumps between T-Mobile, O2 and Vodafone so I usually have no problems taking payments.

Would you really classify 3 weeks as a late payment.

How often do members on here pay their wholesalers.

 

[GMES]

Would you really classify 3 weeks as a late payment.

How often do members on here pay their wholesalers.

Good point, all my wholesalers are 60 days from end of month, so potentially 90 days in some cases.

 

[baldelectrician]

Would you really classify 3 weeks as a late payment.

Yep
My terms state payment on completion of electrical works (that way they cant wait until other trades have finished before paying me)

They accept the terms prior to the work starting- I am really ---- about this on works over £100- especially with landlords.

 

[GMES]

It's obviously the difference between Domestic and industrial / commercial , I've got several customers that won't even look at my invoices for 60 days.

 

[Darkwood]

I am an employee I get paid weekly. I lost £500 in total deductions this week.

Guys who are self employed need to get it into their heads that they are not working for wages. They are charging big money, and paying lesser tax, so they have to play by big boys rules.

I've no sympathy. If you aren't able to manage your finances to take the rough with the smooth, maybe you should go and work for someone else and be a direct employee

Sorry but ignorance is your enemy here we pay more tax, pay more NI and we have no luxuries like sick pay and holiday pay, when you go self employed it's a big drop in your extras and when you add your business insurance etc and bank charges it all scrapes away that higher hourly rate, only those good at their job and in demand succeed.

 

[rapparee]

Sorry but ignorance is your enemy here we pay more tax, pay more NI and we have no luxuries like sick pay and holiday pay, when you go self employed it's a big drop in your extras and when you add your business insurance etc and bank charges it all scrapes away that higher hourly rate, only those good at their job and in demand succeed.

But you should be incorporated as a limited company

No income tax bill.

Pay yourself a salary of £8000 and then take the rest as a dividend. You would only have to pay corporation tax and you would have lots of tax write offs.

 

[Toneyz]

But you should be incorporated as a limited company

No income tax bill.

Pay yourself a salary of £8000 and then take the rest as a dividend. You would only have to pay corporation tax and you would have lots of tax write offs.

You have to pay tax on dividend payments now.

 

[Darkwood]

But you should be incorporated as a limited company

No income tax bill.

Pay yourself a salary of £8000 and then take the rest as a dividend. You would only have to pay corporation tax and you would have lots of tax write offs.

As expressed in the last post, that loophole was closed years ago, going limited has certain benefits but also it has a few drawbacks and my accountant says it isn't in my interest to go limited at the moment where as it may have been in times gone by. The point I was getting at even if you are limited or not is when you factor in sick pay losses, holiday pay losses the higher taxation like NI you pay and all your business insurance costs etc it quickly make it less profitable than been employed and getting the bog standard, I get these comments all the time in the pub, 'oh you must be loaded' .. but they don't realise either that work isn't a constant running tap and you have to cover all the issues like failed or faulty products... there has been many a time over the last decade that I wished I never went on my own but plenty of times where I see the advantages of been my own boss.

 

[GMES]

Totally agree with @darkwood , a lot of people are under the false impression that being self employed makes you better off financially all the time, this simply isn't true, yes there are perks or we wouldn't do it.
I have 3 lads on th books fulltime and believe me when you consider what they take home with no stress, holidays when they want and knowing if they are off sick they are getting paid, not to mention that I am also paying into a pension pot for their retirement trust me they haven't got it bad.