Well friends… remember the thread about working at home? I
recieved so many kind and informative responses on the topic so I
thought I would tell you how things have worked out. One of my
wholesale accounts filed chapter 11 and stopped payment about 10
days after depositing a LARGE check for payment of services. The
other account hasen’t paid for over 1 month. I had enough of
trying to float a business with my own money and all of my shop
equipment is now sitting in my garage until I decide what to do
with it. I hope to make jewelry I can be proud of. I AM NOT
AFRAID!!! may the force be with me!!! thanks all… Patty in
MO.
Patty, Don’t loose hope. When I had a rather large wholesale
base, one of our largest customers was Zale Corp. with several
different stores in our local mall. They too, were in Ch. 11.
We coordinated payment through a central office, working to pay
creditors (which you now are). It was frustrating, at times, but
they did pay. Unfortunately, slow pay seems to be the norm, the
larger the company. They usually are the first to scream about
getting repairs back the quickest, too! Depending on your
relationship with the account, you can also sometimes hold onto
repairs (kinda like a hostage) to make a point with the local
mgr. They usually have channels that are not open to you. It
was not unusual for them to stretch payment from 30 to 60+ days.
Curtis
Patty:
Hang in there girl! Consider all the things that went wrong as a
learning experience. Here is one important lesson I learned-
screen your clients. I use to be sooooo damn happy someone would
want to purchase my pieces I would let all my business sense fly
out the window. You have to create payment terms with your
clients that protect you. Especially new clients- make them earn
the privledge of getting a 30 day payment term. Always make them
pay up front at least 50%. Hey do your suppliers give you stuff
and don’t expect you to pay?
Take a deep breath - it will work out. So pick yourself up,
brush yourself off get back out there!
PS: The Rosen Group has a pretty good book out they may help you
set some guidelines for your business. I forgot the title, you
should give their offices a call.
DeDe
Patty:
First, seek customers who are #1 rated in the JBT and have a
long track record. I always prefer small, family-run stores
which are in small towns and are family-operated. I suspect your
deadbeat customers are chain stores who aren’t interested in
long-term business, only the fast in & out buck! I’m glad you
haven’t become discouraged. Chalk it up to experience & move on.
Best wishes;
Steve