Keeping the payments coming....

From my experience in the business I have found there are several things you can do to increase the flow and consistency of your monthly payments. This applies to mobile home parks, Lonnie deals, and contracts on land home packages. In general you will always have some people who I refer to as having to be baby sat, what I mean is you will have to monitor these people more closely than the people who pay on time every month .

Record and track all payments received, know who has not paid, know who has not followed through on a promise to pay a past due late charge or past due payment. People know you are watching and managing the business when they immediately receive notices within 2 days of the payment deadline, or failure to follow through with a previous agreement between yourself and them. You are more likely to receive payments and or late charges when you follow up.

When people don’t pay, have a system in place with forms designed to cover every situation you can think of so you can respond quickly and efficiently. Standard late notices, 3 or 5 day notice to pay letters, or letters you have created that are specific to your situation or state.

Take action, one of the biggest mistakes people make is not taking action now ! It doesn’t matter what the situation is, a late charge, a late payment, a missed commitment to pay, send the appropriate notice out immediately, let them know, that you know !!

Religiously follow up on everything to make sure they do what they are supposed to do, and pay you what you are owed.

When dealing with people who won’t respond no matter what you do, implement the No Pay, No Stay rule. Take it to the next level, file whatever court documents are necessary in your state to force the payment issue or remove the person from your property.

I refer to the steps I follow as a retraining process, over a period of months I show people through letters, notices, rules and my actions, what I will and will not tolerate. This has an impact on the level of cash flow I receive every month and that’s the name of the game.

Fred

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