franchise restaurant billing/payments

[Riograndeelectric]

got a call from a local franchise returnat wanting me to come out to fix out side lighting. thay want me to submitt my bill to corparate and wait 30 days to be paid. I have no probelm with net 30 billing but as this is first time working for this franchise I am a little leary of of this.
what is the bets way to handle this ? call the corpate and have them fax a credit application and then do a credit check and wait before doing the work ?

[bradleyelectric]

nothing personal, you might want to run your post through spell check. How big is the job? If it's small I just do it. If it's a few grand I do a job sheet and let Rexel do the credit check.

[Rewire]

I would call the corporate office to confirm they will accept the bill,we did a store and was told the corporate office paid for the sign install but when we called the corporate office they paid but only at a set amount we then went back to the franchise owner because the price eceeded what corporate paid and they agreed to the difference.

[Sparky555]

I did a small job in a similar situation & got a credit card number. They faxed a maximum charge form for something like $300. It worked for me.

Dave

[Riograndeelectric]

got a call from a local franchise returnat wanting me to come out to fix out side lighting. thay want me to submitt my bill to corparate and wait 30 days to be paid. I have no probelm with net 30 billing but as this is first time working for this franchise I am a little leary of of this.
what is the bets way to handle this ? call the corpate and have them fax a credit application and then do a credit check and wait before doing the work ?


Sorry about the spelling I was in a hurry :)

[480sparky]

Either you misspelled it twice, or it's a real word.

If it's the second, what's a returnat?

[roger]

I don't see any misspelling in the title of the thread ;)

Roger

[boboelectric]

got a call from a local franchise returnat wanting me to come out to fix out side lighting. thay want me to submitt my bill to corparate and wait 30 days to be paid. I have no probelm with net 30 billing but as this is first time working for this franchise I am a little leary of of this.
what is the bets way to handle this ? call the corpate and have them fax a credit application and then do a credit check and wait before doing the work ?
The bigger Corps (which I want) want You to do a 1099 IRS form and pay you Direct Deposit in your Bank account,

[tmbrk]

Definitely talk to corporate before the job as they are the ones paying and may have protocol to follow.(contractor registeration, copy of insurance, P.O. number, authorization, etc....) Do The work and wait for the check.:smile:

[tmbrk]

Like boboelectric said, expect a 1099 next year.

[GUNNING]

I have a list on my white board. Go where the money is, complete projects, be reliable, and NO RESTRAUNTS. If your gut says its OK do it. You will just have to decide if its going to be on your own list. Remember to get something signed by the responsible party. If its not in writing, it didn't happen.

[satcom]

The bigger Corps (which I want) want You to do a 1099 IRS form and pay you Direct Deposit in your Bank account,

Anyone in a ligit business, who bills with an invoice, is not required to give anyone 1099 information, the 1099 is for independent contractors, someone not in business.

If you do not provide the company with an invoice, they will require a 1099 file, and withould taxes.

[mdshunk]

I don't have any problem telling you how Denny's stiffed me. 500 watt quartz floods on the building and several 400 watt metal halide shoeboxes needed repair, along with a bunch of 100 watt metal halide recessed in the overhang all around. Manager said to send the bill to corporate. Corporate said that the manager wasn't allowed to authorize those repairs. Manager claimed he never ordered those repairs and that half of them that I actually did he claimed weren't done. (does he think I just ambush restaurants, fixing lights willy-nilly?) Moral of the story, check with corporate.

[growler]

Anyone in a ligit business, who bills with an invoice, is not required to give anyone 1099 information, the 1099 is for independent contractors, someone not in business.

The IRS doesn't require a 1099 but the do require that the company get a signed Form W-9. This gives them your tax information so they can set you up as a vendor and pay you. To get a speedy payment I alway include and Form W-9 with the first invoice.

Some companies want a newly signed form W-9 each year as they are constantly changing it. I down load it from the IRS Web Site for free.

It's true that some companies will accept an invoice with company letter head but they are not supposed to. They are required to have a W-9 on file.

[satcom]

The IRS doesn't require a 1099 but the do require that the company get a signed Form W-9. This gives them your tax information so they can set you up as a vendor and pay you. To get a speedy payment I alway include and Form W-9 with the first invoice.

Some companies want a newly signed form W-9 each year as they are constantly changing it. I down load it from the IRS Web Site for free.

It's true that some companies will accept an invoice with company letter head but they are not supposed to. They are required to have a W-9 on file.


And be carefull when sending out W9's "Those who freelance may fill out a W-9 for companies who pay for their services but do not consider freelancers employees."

Where back again to where the company requesting the W9 is assuming your not in business but a independent contractor.

[macmikeman]

I work with purchase orders from commercial customers for service calls. If it is going to be above two grand or so then a proposal is sent and an authorized company officers sig is required along with a deposit before I purchany material or start any work. Commercial smaller jobs- send me a signed P.O or pay with a credit card in advance. Bottom line.

Airlines are risky, even more than resturant chains by far. There is one big airline that flies in the north and west. For the last 10 years I have made sure to get a large deposit before doing anything for them.

[hardworkingstiff]

Anyone in a ligit business, who bills with an invoice, is not required to give anyone 1099 information, the 1099 is for independent contractors, someone not in business.

If you do not provide the company with an invoice, they will require a 1099 file, and withould taxes.

My understanding is if the check is made out to a Corporation you did not need a 1099. If the check is made out to a business that is not a Corporation, then a 1099 is in order whether it is a 'ligit' business or not.

[iwire]

We do a lot of work with chain restaurants and stores.

I was on the site of a Bob's Store (http://www.bobstores.com/index.asp) having a disagreement with the manager about a repair I was to do. I called corporate and here is what they told me.

"The manager is not authorized to tie his own shoe without approval. Do what you think needs to be done"

Also as has been pointed out deal with corporate to find out all their rules, many have "PNE's" (Price Not to Exceed) for every work order and if your work is going to exceed that you had better get prior approval or you will be donating your time and material to the customer.

One of our chain accounts requires the service guys to punch in and out using the stores time clock, then you need a managers signature on that time card along with the T&M slip. The time must match the time on the card, no card, or a card missing anything and its again a donation.

[emahler]

just want to point out...franchises will rarely have corporate pay for anything...they are independently owned...what you will get is a company who owns multiple franchise locations (especially in fast food)...a good example is McDonald's...very few McDonald's franchisees own only 1 location...typically they own 4+ locations and the managers will refer to them as "corporate". But I assure you, send an invoice to Oak Park, IL and they will ignore it...not their problem.

chains are a different situation...restaurants like Chili's or Red Lobster, most retail locations, etc are all owned by corporate. They aren't franchised. These will almost always have all invoices paid by corporate.

make sure of the circumstances...in most cases Franchisee's are the same small business owner that have always looked to beat service companies...

[emahler]

One of our chain accounts requires the service guys to punch in and out using the stores time clock, then you need a managers signature on that time card along with the T&M slip. The time must match the time on the card, no card, or a card missing anything and its again a donation.

unless they agree to a higher rate, this isn't happening with us.

[iwire]

unless they agree to a higher rate, this isn't happening with us.

Your point being?

My point was simply to know the policies of any chain type place before you do the work.

[emahler]

Your point being?

My point was simply to know the policies of any chain type place before you do the work.

it was a general point..it wasn't aimed at....have a cup of coffee....

[iwire]

....have a cup of coffee....

find your caps button

[emahler]

find your caps button

GO HAVE A FRICKEN' CUP OF COFFEE AND WHATEVER ELSE YOU USE TO CALM DOWN.....

is that better?

[iwire]

GO HAVE A FRICKEN' CUP OF COFFEE AND WHATEVER ELSE YOU USE TO CALM DOWN.....

is that better?

I am perfectly calm and relaxed. :smile:

I just figured if you where going to tell me when to have coffee we where pals.

[emahler]

I am perfectly calm and relaxed. :smile:

I just figured if you where going to tell me when to have coffee we where pals.

whatever makes you happy....

[growler]

My understanding is if the check is made out to a Corporation you did not need a 1099. If the check is made out to a business that is not a Corporation, then a 1099 is in order whether it is a 'ligit' business or not.

From what I was reading last night ( I just double checked ) everyone other than a corporation gets a 1099. This includes sole proprietor, partnerships, and even LLC's.

They state that a form W-9 is required even from a corporation but that they do not need to issue a 1099. The IRS doesn't consider an invoice to be proof that a corporation exist and they want a signed legal document ( Form W-9).

The best place to go for tax information is straight to the horse's mouth, the IRS.

So if you pay any vendors that don't furnish you with a Form W-9 even if they say the are a corporation to be to be on the safe side it's best to issue a 1099.

[growler]

One of our chain accounts requires the service guys to punch in and out using the stores time clock, then you need a managers signature on that time card along with the T&M slip.

Folks, large chain accounts can dictate terms such as this because there is so much business at stake ( money).

They know that there are many companies that want the large volume of business. It's like Wal Mart dictating terms to their suppliers ( it happens ).

I'm not sure how much Butt I would kiss for a large account like this but I'm sure there is a certain temptation. After all money is money.

[emahler]

Folks, large chain accounts can dictate terms such as this because there is so much business at stake ( money).

They know that there are many companies that want the large volume of business. It's like Wal Mart dictating terms to their suppliers ( it happens ).

I'm not sure how much Butt I would kiss for a large account like this but I'm sure there is a certain temptation. After all money is money.

so long as you are making your margins...you may take this through a contract at essentially a break even, with the hopes of getting the larger, money making projects. However, many chains have national contracts already with facility maintenance companies. They in turn, sub the work out to local companies. This does not guarantee you anything. So taking this job, under their terms, may be a losing proposition. You need to clearly think this through, and not just get all bug eyed because you have the "opportunity" to work for this giant company...now bob, HAVE A CUP OF COFFEE, BUDDY

[mdshunk]

However, many chains have national contracts already with facility maintenance companies. They in turn, sub the work out to local companies. ...
Uh-huh. NationsService is one such company that screwed me too. I'm not even sure they're in business anymore. They always paid late anyhow (90 days), but you can rack up a lot of other work in that 90 days when they decide to quit paying.

[electricguy61]

I got called out to repair a food warmer on a Friday nite @ 8pm to a major upscale chain restaurant (everybody hates cold food). Charged overtime rate, with 3 hour minimum. The manager paid cash, I gave him a paid receipt. I also got a free prime rib dinner for me and my apprentice, and a signed business card for 20% off all future purchases (VIP). I took my family of six back and used the card. The chef, the manager, and the assist manager came out to say "hi". They gave us free appetizers, and extra large desserts, and 20% off the check. (I tipped the waitress big time). I've used the card twice.

They called me back again for another repair, so they must have been happy.

Great deal for me and them!

[roger]

GO HAVE A FRICKEN' CUP OF COFFEE AND WHATEVER ELSE YOU USE TO CALM DOWN.....

is that better?

Hmmmm, it appears as though we had a bad morning, hopefully things are better now. :D

Roger

[emahler]

Hmmmm, it appears as though we had a bad morning, hopefully things are better now. :D

Roger

ask bob:D...