Local school calls for setting up “purchase order” ?Call me old school ,but I like my catering money up front at least some percentage. However am I turning down money thats on the table. does anyone deal with this setup and if so how do I incorporate this into the pos?
Feel free to scold me for not googling this.
The schools I deal with need a PO for their accounting department even when I get paid on delivery. I tell them because I am a small business cashflow is very important and I can not carry accounts. Often one of the administation staff will have a school credit card to pay for the purchase.
I dont see a problem with billing large accounts. I do that with schools and party places to the tune of probably $10K/month.
Yeah, it’s a pain to do the bills, etc., but so what - it’s definitely worth it.
I do it all the time with schools, the YMCA, and even large corporations. Many schools have a policy where they need a purchase order number. I usually don’t send them bills until the end of the month, so I only have to do it once. But you could even send them out the next day. Usually the teacher doesn’t have access to the money and if you just billed them the following day, you’d probably have your money within a week. Easy accounts to keep if they know they can be billed.
Like Daddio indicated, a purchase order does not necessarily mean the company is looking for credit terms. You need to clarify that, because they are two completely different things.
For you, the customer using a purchase order just means they need to provide you with a PO # before you’ll process the order.l
Yea it is like Pizzagal said…I deliver pizzas to the schools at every home game they have & I always just send a copy of the bill along with the pizzas & I am paid by the end of the next week if not sooner[/list][/code]
all the schools here do that as well. one of my competitors refuses to work with them through there administartive paper work(god bless him). I have it now where I just need a signutre from the teacher or admin on the invoice then I mail it to the accounts payable usually get something in 2 days…easy to work with my friends…in todays world you need to go the extra mile. Its not good enough to just unlock the door and turn on the lights
of course payment on account does have its problems - remember Kris’s recently problems. Make sure if you do this you have robust procedures to support this area.