Reasonable amount of time?

[sherrardk]

We run a small business which averages about £1000 a job - we offer a discount of 5% for people who pay by BACS as an inducement to pay quickly (and not to pay by cheque/credit card). On our bill it states that payment is due upon completion of a job. If people do not pay within a couple of days, what would be a reasonable course of action to secure payment? (It is starting to really grate now that they are quite happy to have the work done and very slow to put their hands in their pockets - well, it's irritating me anyway). Thanks for any answers.

[buildersmate]

Follow up letter after 7 days threatening legal action if not settled within another 7 days. Some suppliers in the building trade do this all the time to keep customers from taking liberties.

[vindi48]

I think "Upon completion of the Job" means little as some would say there is no fixed deadline - a job would still have been completed 3 months afterwards. Take a change of tack.

Payment is due "Upon the date of completion of the Job".

Also, "Where payment in full is not received within 7 days of the date of completion of the job a penalty rate of 2% per calendar month or part thereof will apply calculated from the date of completion of the job until full payment, including the penalty sum, is made. Legal action will be taken for recovery of the full amount, or such sum as may remain owing, 90 days after the date of completion of the job".

[jaydah]

Collect payment as the job progresses and on completion. Builders often ask for % in advance for stock etc before them begin; could you do same ?