The Final Payment
Getting the last payment can be a major problem for many contractors. The secret to getting it is simple enough.
Most customers will part with the deposit and the interim scheduled payments without too much problem; but, oh, that final payment, it can be difficult.
Here are some ways to ensure that you get your final payment each and every time without a great deal of trouble:
- First and foremost, do an outstanding job…make it as close to perfect as possible so that they will be “almost sorry” to see you leave;
- Be better than your word and your agreement; be attentive and responsive;
- Communicate with your customer as often as needed and address his/her complaints on a priority basis; that means immediately if not sooner; do not let them slide until the end, this is crucial; and,
- When you ask for the final payment be sure that you deserve it. We do not ask for the final payment until we feel that the customer is absolutely satisfied that we have fulfilled our contract.
Now that wasn’t so hard, was it?
In our agreements we state that we will complete one “punch
list” of items within one week of receiving final payment. In truth, we rarely have a “punch list” because we police ourselves so closely and take care of things as we see them. We do not wait to have them pointed out to us in hope that we will get away with them.
Follow this policy and stay away from “Toxic Customers” and you will always get paid without a problem. Get our free sample newsletter for more on “Toxic Customers”.
{ 1 comment… read it below or add one }
As a Realtor I am asked frequently to recommend contractors for various home projects. I feel a responsibility to make sure my clients are taken care of properly so I only recommend people who I know live up to the standards you suggest in this article. The key to our industries is recognizing that the wealth is in the relationships. Taking care of a client properly means that they will become sales people for you and your services to all of their friends, family members, and co-workers. Unfortunately, not every contractor shares this philosophy (or Realtor for that matter) and it is usually the final payment that is the only “guarantee” in the end. I love your suggestion of a punch list follow up. And agree that if the contractor is doing their job well to begin with, the punch list should be small or non-existent. Great Article.