Plumbers are an incredibly important part of our society and most homeowners would be stuck without them. However if seems many are not getting the thanks and appreciation they deserve, with research revealing that UK plumbers are not only getting paid late but are often finding themselves chasing up said payments.
The survey from Worldpay looked at over 1000 tradespeople from across the country, and found plumbers have to chase their earnings up for around 27 weeks - almost twice as long as the average wait time of 15 weeks. More specific data found included that tradespeople are typically paid late once a month, with the annual total late payments owed coming to around £799. Worse still, most of this debt (£770) gets wiped off completely. Meanwhile the average figure for plumbers is significantly larger rising to upwards of £,948 a year. This resulted in over half of respondents admitting to have problems with their cash flow, in additional to worrying about damaging customer relationships and time wasted on chasing payments.
In an attempt to combat this, Worldpay have offered plumbers a few suggestions to help ensure they always get paid on time;
- Offer customers a wider variety of payment methods. Out of the plumbers spoken to that were paid late in the last 12 months, 73% said that automated (ie card) payments are important for maintaining a regular cash flow.
- When in doubt, check your customers' credit history. It costs a small fee, but could provide further information.
- Ensure you have the name and details of the person(s) responsible for paying.
- Make sure you have properly agreed contract terms. Getting proper legal advice from the get-go may seem like a hassle but could save a lot of time and money in the long run.
- Consider charging interest on late payments. Making your customers immediately aware of this should hopefully put them off paying late.
With this advice in mind, attaining that dream of becoming a professional plumber should be one step easier. However before you can even think about businesses and payment options, you're going to need the necessery plumbing skills and the qualifications to prove it. Give Access Training a call on 0800 345 7492 to find out more about our range of intensive plumbing courses.