Open Forum

  • 1.  Charge back for non paying customers

    Posted 01-22-2018 05:13 PM
    I have a sales rep that will sell to anyone.  What do you charge back for non paying customers.  In house printing and also outsourced printing. He is 100 percent commission sales.

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    Shawn Wylie
    President
    Printing Productions Ink
    Kentwood MI
    (616) 871-9292
    shawn@...
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  • 2.  RE: Charge back for non paying customers

    Posted 01-23-2018 07:44 AM

    I previously worked on straight commission for a commercial printer and they made it very simple.

    If the account went past 90 days you lose all commission.

    Made us very in touch with who we sold to and made us focus on good credit risks – it also kept us involved in the collection process.

    Not too surprisingly we didn't waste too much time on accounts that didn't show good ability to pay in a timely fashion.

     

    Michael Kile | mkile@...

    317.844.6629 P ­ 317.844.6636 

    www.us605.alphagraphics.com              

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    Original Message


  • 3.  RE: Charge back for non paying customers

    Posted 01-23-2018 07:49 AM
    Our sales staff get paid when we get paid.

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    Tim Martin
    Bindery and Mailing Supervisor
    Technaprint, Inc.
    Eugene OR
    541-344-4062
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    Original Message


  • 4.  RE: Charge back for non paying customers

    Posted 01-23-2018 08:39 AM

    Shawn,

    Call me biased but I think there is dual responsibility. Reps should sell to reputable businesses and companies should have a process to vet new customers. After all, you are both in it together. Sales reps, and the businesses they work for, are partners and should act as partners do; share in the profits and share in the loss. If both parties understand the importance of bringing in good business, things tend to work more effectively.

    The company is responsible to collect the money due and the rep is responsible to do anything possible to help. That said, when a customer doesn't pay, everyone loses. The company loses money and the rep loses the commission. The charge back is the loss of commission.

    Unfortunately, sometimes a loss is the cost of doing business. 

    Cheers,

    Marc



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    Marc Zazeela
    APC Postal Logistics, LLC
    East Rutherford NJ
    201-372-9700
    marcz@...
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    Original Message


  • 5.  RE: Charge back for non paying customers

    Posted 01-23-2018 08:44 AM
    Shawn,
    You should have it all detailed in a sales commission contract.
    You will want to spell out commission fates for in-house and outsourced work, when they will be paid out, what your clawback policy is and when and how it is triggered.

    This will help to protect you and give your rep clear guidance on what it will cost them for going after bad clients.

    You should also give them a clear understanding of the clients you ideally want to have. This might help eliminate some of the selling anything to anyone, and curtail your loses with fewer none paying customers.

    Find out from your merchant services provider how you can better protect yourself from charge backs.

    Kyle Batsford


    Palomar Reprographics, Inc.

    | 3282 Grey Hawk Ct. | Carlsbad, Ca 92010 | tel: (760)438-1100 fax: (760)438-5981|


    Original Message


  • 6.  RE: Charge back for non paying customers

    Posted 01-23-2018 11:04 AM
    I would suggest establishing a credit application policy which puts the "keys to the car" in the hands of your financial group rather than in your sales group's hands.

    I am afraid that the horse may have already left the barn on the instance that you mentioned.

    Doug Bacon
    President
    TGI Direct

    Sent from my iPhone


    Original Message