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Im a new shop .A co. called PTI approach up they have a service tat runs railroad personal back and fouth.They want us to maintain ther fleet .I filled out a bid sheet with prices it explained how they pay and who to contact.the manager came in and said thhey want to use me.I did talk to the district manger and he told me that all is well just call him to get authorazation first unless it for tires you can do it and get a purchase order after.My question is should I get somthing from them that says they promise to pay as of now I only have a phone call and a hand shake.I guess I mean to say what is standard operating proceedure

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normally they would be treated the same as any other customer - if they pay for services at pickup -

if they pay on a net 10-15-20-30 day cycle that is up to you how you want to work it - normally i use a 3 month pay at pickup untill i get to know the customer and feel comfortable that i will get my money - then i let them go to a net pay schedule if they bring in alot of work- its not really worth it unless they are spending good money repeatedly. it takes time to add the bills,gather work orders, po#'s and send them 5-7 days ahead of the due date, WAIT for the person writing the checks to get it done and send your check/cc# - deal with billing discrepancies etc. also - if they will pay on a net schedule - you will want to have them fill out a credit reference sheet - usually 3-5 references is good. and check the company out on the internet -

the address for the company you mentioned is




also - i give a max limit to outstanding $$ owed- and i do NOT exceed that limit- if they need more work done it is no big deal for them to make a payment on their acct. even though its not time yet. any good company will do this no problem - its the ones that give you a hard time about it you have to watch. if they cant cut you a 1200$ payment today they certainly wont be able to make 2300$ in a few days.


as for promise to pay - keep a log of the drivers name- unit number, date, mileage, vin# all on the RO and make sure the driver signs it when dropping off.. make a normal estimate/repair bill and have the driver sign those when picking up also - on the bill at the bottom put the name of the person who authorized the work - and at what time - which brings up another point - MAKE SURE THE PERSON AUTHORIZING THE WORK IS AUTHORIZED TO AUTHORIZE IT. get a list of people in the company who can authorize the repair - and only repair the vehicle with permission from those people.


any other questions let me know

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Very good advice so far. I've heard of shops demanding a credit card on file in case the business does not pay. As mentioned, get a list of those who can make appointments, authorize work done and GWT IT IN WRITING.


One thing I learned VERY quickly, thank God, is IF IT ISN'T IN WRITING, IT WAS NEVER SAID.


And don't count on this fleet for your business' survival. Most fleets' loyalty extends only as long as you are there at their beck-and-call and as long as you are the lowest bidder. The minute your oil change, brake job, water pump or wiper blades are $1.00 more than the shop down the street, you're gone.

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