cowboy customers

App to help builders resolve disputes with ‘cowboy customers’

You worked overtime for the new customer who was keen to have it finished on time, and sent your invoice promptly. Now you’re working on your next job, and need payment for the last one. The weeks tick by and no payment arrives. You call, text and email – nothing. Then you send a strongly worded letter, and the response is that the job is unfinished – so no payment.

This is becoming a common scenario for small businesses across the UK. Builders, plumbers, electricians, mechanics and many others across the trades are finding late and non-payment crippling to their business according to ReportCam. Commercial disputes cost small businesses in England £11.6bn a year, according to a report in December 2016 by the Federation of Small Business (FSB)

In a survey of its members, the FSB found that 70% had encountered at least one dispute between 2010 and 2015. Almost three quarters of these were a result of late or non-payment

In a survey of its members, the FSB found that 70% had encountered at least one dispute between 2010 and 2015. Almost three quarters of these were a result of late or non-payment.

We are all very familiar with the term “cowboy” when referring to the trade sector, but what about cowboy customers? The people who refuse to pay for the work they have received, for example building improvements to their home or repairs to their car. In many cases, the customer will claim they are not satisfied with the quality of the work carried out or repairs, when in fact they had no intention of paying from the outset. For traders who have completed the works as requested this can be frustrating, costly and difficult to prove.

Often, small businesses write this off as bad debt and an uncomfortable experience, but for some the financial strain of a non-payment could put them out of business.

And they can’t expect customers pay in full upfront, so it’s a tough problem to tackle.

A new app has just been launched in the iTunes and Google Play stores. Report Cam creates video-based report pages at a single touch, showing sender details, a location map and a time and date stamp along with the video – and sends it by email and text to customers and colleagues, delivering evidence of circumstances. So it can be used to let people know of a problem, or to take a record of a job being fully completed, on time.

https://goo.gl/n35XvD

Reports are stored securely on a remote server, making them tamper-proof and admissible as evidence – so the customer has no excuse, and disputes are prevented before they happen.

The FSB has reported small businesses are owed £18,000 on average and can spend a further £17,000 chasing debts and dealing with the problem. Around a fifth (19%) of small businesses have taken a recent dispute to court, however nearly half a million small businesses (17%) were left with their dispute unresolved due to lack of evidence.

With this in mind, its creators say ReportCam can significantly reduce the problem of unfair disputes and non-payments. It can also prove what was done during the course of a job, before it is covered-up.

“It can be used in many ways” says Report Cam founder Tod Yeadon, “but the one we had in mind when developing the functionality was dispute prevention for business users.  If a problem arises on a job, or when the job is done they can simply take out their phone and touch the app… and get all the evidence thy need to protect their businesses.”

“ReportCam has quickly become one of the key tools needed for me to run my business. It allows me to send real-time progress reports to the customer, and helps me to nip any queries in the bud before they escalate. I’d highly recommend it to businesses in every sector and for a small monthly cost it gives me security and takes away the hassle and headache of chasing for payments”

About Dylan Garton

Dylan Garton is a co-founder, video producer and editor for the Skill Builder social media platforms.

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