Forums: Discussions for entrepreneurs and small business.

Well, I did try to do the whole financing part back in the days. There are companies like wells fargo, AIG, and GMAC that might be able to help you. What you need to do is sit down and ask yourself?
1. What is the purpose of offering financing?
2. How can my company benefit from this?

To be honest with you, for $995.00, I wouldn`t even bother providing clients with financing. If he customer doesn`t have $995.00 for a web site, then is that someone that you want to do business with?
Although, your intensions might be good. What I would suggest is doing what I do.
You charge 1/2 up front and then you charge the rest when you`re done.
you are talking about $445.00 down payment. and you can split those two into two payments.
of 222.50
Wouldn`t that make sense?



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Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

Then continue to do what you are doing. I mean they do pay you but not upfront. It usually takes 30 days before they cut you a check. The only way I think you would benefit is if you had 50 clients and didn`t really care to get paid right away.
By charging your customers $995.00 you are already helping them alot. By you taking in two payments it`s an even bigger help.
Honestly, if the customer can`t afford $995.00 for their web site, then it seems like it`s going to take a long time before you see that money, or who knows you might not see it at all.




-------------------------

Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

where are you located?



-------------------------

Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

Suburbs of Chicago

Have you thought about requesting 50% down as a retainer at the beginning of the project.  I know that lenders like wells fargo have programs that can assist with financing.  However, it simply may not be worth your hassle given the price point of $995.00.  Do you accept credit cards payments?  If not, it may be worthwhile for you to look into credit card processing fees so that you can receive payment more immediately.

Alexis

yes always. I accept Credit Cards, and Pay Pal. Pay Pal being my Processor of choice. What I hate about CC processors is that it takes up to 5 days for the money to be deposited into your account. Usually what I do if it`s a lump sum lets say 5,000. what I do is take 1/2 up front and then the rest I set up on payments through the credit card processor. So I can choose how much and the date that I want for the rest of the funds to be charged to their account. so lets say that I get 2500 up front the rest is then divided into payments so I could finish designing the web site, and as long as the credit card is valid, then I let them pay monthly payments.
the minute it declines then I ask for full payment. Just makes it easier and it gives customers the flexibility they need as long as they cooperate.



-------------------------

Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net