Our late fee is $10....I thought that was low.  I really would prefer the
people who pay late and constantly need special attention for billing
issues go elsewhere.

On Tue, Jun 28, 2016 at 9:25 AM, Lewis Bergman <[email protected]>
wrote:

> Very good point Ken.
>
> On Tue, Jun 28, 2016 at 8:40 AM Ken Hohhof <[email protected]> wrote:
>
>> If you bill for the previous month, count on not getting the last month
>> for at least half the customers who leave.  I’m talking about renters who
>> move every 12 months, people who sell their house, etc.
>>
>> That does affect your bottom line.
>>
>> Also, if you turn someone off for nonpayment, and now they already owe
>> you for last month plus part of this month, it can become tempting to just
>> stiff you and find a new provider.  I know one ex customer that has gone
>> through us plus 2 other local WISPs plus Rise Broadband twice.  I compare
>> it to people who are under water on their mortgage, they are actually money
>> ahead to walk away or get foreclosed.  You don’t want your customer to owe
>> you so much money that it is in their economic best interest to switch
>> providers and not pay you what they owe.
>>
>>
>> *From:* Jim Bouse [Brazos WiFi] <[email protected]>
>> *Sent:* Tuesday, June 28, 2016 7:23 AM
>> *To:* [email protected]
>> *Subject:* Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
>>
>>
>> In the end, it doesn’t matter if it is pre or post billing.  It may give
>> you heartburn to see non-pays getting something for nothing for a month but
>> in the grand scheme of things, it makes no difference because we have fixed
>> monthly costs.  If they pay or not doesn’t affect our OPEX.
>>
>>
>>
>> Jim Bouse
>>
>> Owner
>>
>> Mobile IT Pro - Brazos WiFi
>>
>> 979-985-5912
>>
>> [email protected]
>>
>>
>>
>> *From:* Af [mailto:[email protected]] *On Behalf Of *Lewis Bergman
>>
>>
>> *Sent:* Tuesday, June 28, 2016 6:15 AM
>>
>> *To:* [email protected]
>> *Subject:* Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
>>
>>
>>
>> Prebilling would be the preferred method I would think. We billed on the
>> first and wanted to prebill. In the end, it probably didn't make a hug
>> difference to the bottom line. I just liked the thought of limiting weekday
>> someone got for nothing.
>>
>>
>>
>> On Mon, Jun 27, 2016, 4:50 PM Ken Hohhof <[email protected]> wrote:
>>
>> Exactly.
>>
>> And most communications services (phone, cable TV, etc.) are prepaid for
>> monthly charges and postpaid for usage based charges.
>>
>>
>> -----Original Message-----
>> From: Larry Smith
>> Sent: Monday, June 27, 2016 2:41 PM
>> To: [email protected]
>> Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
>>
>> If you do not "pre" bill for service, such as internet access,
>> there is little to no chance of collection after the fact if
>> they decide not to pay...   We pre-bill for the "next" month
>> on the 20th, due by the 1st, suspend services on the 6th
>> for CC, ACH, etc (auto payments) that fail, then suspend
>> cash, check customers on the 10th.
>>
>> Our billing system handles this without issue (Freeside).
>>
>> --
>> Larry Smith
>> [email protected]
>>
>> On Mon June 27 2016 14:35, Christopher Gray wrote:
>> > I've setup my billing so everything is expected to be paid before
>> service
>> > is provided (prepaid). I send invoices in advance of a service cycle and
>> > they are due by the beginning of the service cycle. Early on, I
>> convinced
>> > myself this was a good idea so I would never have to deal with
>> collections
>> > and it seemed fair.
>> >
>> > I'm working on switching billing systems, and the new system does not
>> > really operate that way. This has me wondering if my method is really a
>> > good one, or if there are good reasons to bill at the start of a service
>> > cycle. I've gone through my bills and others I have available to me, and
>> > very few actually bill in advance of a service cycle.
>> >
>> > Is there a good reason to avoid prepaid service or that companies tend
>> not
>> > to do it?
>> >
>> > -Chris
>>
>>

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