Started with one location last year and now I’m juggling three different sites. The work keeps coming, but so do the payment headaches.
Seems like the bigger clients think they can just ignore invoices when you’re spread thin. Currently chasing down about $8k in overdue payments while trying to keep operations running smoothly across all locations.
Multiple locations means you scaled fast - that’s when payment issues usually spiral.
Here’s what I’d do:
For that $8k, rank clients by value. Good relationships get personal calls and payment plans. Problem clients get final notices.
Three locations with cash flow problems sounds brutal. I’d consider shutting down your least profitable spot until you fix the money situation.
Cash beats growth every time.
I just get paid before leaving the job site.
Don’t take jobs from clients who are 30 days overdue. Learned this the hard way running two crews. Clients will play payment games if you let them. For that $8k, skip the collection agency and file liens instead. It’s cheaper and way more effective. Most people pay up quick once they see the paperwork. Your expansion timing’s probably off. Opening three locations while chasing bad debt means you’re funding growth with money that isn’t really yours yet.
Payment net 15 for everyone, no exceptions. Collections agency gets expensive but works better than chasing people yourself.
Growth definitely creates payment headaches. My rule: new locations wait until old invoices are settled.
For that $8k, send one final notice with a hard deadline. Then use a collections agency for anything over $1k. They take a cut, but you will actually get paid.
Maybe pump the brakes on expansion until your cash flow isn’t so tight.
Been there. When I ran two locations, payment delays got worse because clients thought I was too swamped to follow up.
Here’s what worked: automatic reminders every 15 days past due. Nothing fancy - just calendar alerts to send follow-up emails. Consistency was everything.
For slow-paying bigger clients, I started requiring 50% upfront on jobs over $2k. Lost a few clients but cash flow improved dramatically.
That $8k sucks, but don’t let it snowball. Pick your three biggest overdue accounts and call them this week. Phone calls beat emails when money’s involved.