Here is blog post number twelve post covering the subject of getting paid by your customers. I draw my writing from the article, “How to Collect from Anyone (Even Enron)” found in Inc. Magazine.
Way to get paid #12: Just Drop By. If you don’t receive a scheduled payment, you might call your customer and ask, “Where’s the check?” Whereupon your customer might say: “It’s right here. It’s going out in today’s mail.” To which, all our experts agree, you should always, always reply: “Don’t bother sending it. I’m going to be in the neighborhood today. I’ll pick it up.” That simple tactic might be the most effective collections procedure out there. Mr. Larking says that he once visited his biggest customer, an international energy goliate, and came away with a $3.8-million check. Rolf Albers recalls walking out of a customer’s office with a check “in the $10,000 range.” Richard Kadet, a veteran CFO who works for the Brenner Group, also recommends making collection visits, especially for large invoices. And it doesn’t always have to be the CEO or CFO who makes the visit. “For out-of-the-way customers, your salesperson in that territory can personally go for it,” he says.
“In war, direct confrontation will lead to engagement and surprise will lead to victory.”– from The Art of War by Sun Tzu.