F
7

The deposit policy I called "scammy" just saved my bacon

I used to think demanding 50% up front was for shady contractors in Tampa, but after a $3,400 job ghosted me last month, I flipped and now require it from every new lead. Has anyone else had their whole repayment timeline transform after one bad loss?
2 comments

Log in to join the discussion

Log In
2 Comments
lucashenderson
$3,400 is a lot to lose, no doubt. But requiring half up front from everyone just punishes the good clients who keep their word and pay on time. Idk, maybe it's just me, but I'd rather eat a loss once in a while than scare off the people who make the job worth doing.
9
joseph_green13
Well, that's one way to look at it, but I think you're mixing up two different things here. Charging half up front isn't about trusting the good clients, it's about covering your own costs if someone does stiff you, and $3,400 is a big enough hit that one bad job wipes out the profit from several good ones. @lucashenderson, I get the worry about scaring people off, but a simple deposit usually filters out the serious folks without punishing the ones who pay on time.
6