Need Business Advice

My firm is huge and global, so we have a lot of internally documented structure and policy around how we communicate with clients. A small business doesn't need to have all that "overhead" around its communication process, but it does need to accomplish the same outcomes.

• Every exchange with the client is documented -- what was discussed, what was a agreed upon, what wasn't agreed upon, what was tabled, what action items resulted from the conversation, who is to perform the actions and by when, et

[/QUOTE]

Update on where we are on this. The client lives in an HOA, plan was approved by HOA. The changes such as concrete instead of breeze were negotiated with the far more reasonable husband and husband paid the difference, including labor. However, now they want us to fill swales with concrete...those who live in West US know you cannot obstruct swales...you can change them or move them with engineering and inspector approval, but filling them is a no no a big one...so I sent an email today saying what changes have occurred and were completed and stated that further changes have to be submitted to the office via email for review and quote. I also said that any change that actually alters the plan approved by HOA has to be submitted and approved by HOA....attorney said altered plans mean new estimates...so to let them do this, but it is highly unlikely they will want to submit a new plan and go to war with the HOA and city over swales...we also learned something we didn't know...our client's wife...got in huge trouble about 8 years ago...she filed bankruptcy, was arrested for shady deals, etc...she was acquitted of one of the shady deals, but her history is scary to us....that said, husband is a reputable businessman...I have a meeting with him this afternoon to discuss changes...I have decided to record meeting as well as again let him know again changes have to be submitted via email, especially if they alter plan....I am not getting in trouble with this HOA and I don't want him in trouble either....even if I don't want to enter into further jobs with them after this one.

ClaraD said:

I need some advice from business minded folks here. My brother in law, myself and my husband started a landscaping and design company in December, so far as most businesses it is a struggle still, however we are still in baby stage since we are just 7 months old.
I have a client in a $60,000 landscape design project. That client has already changed her mind 4 times on the design while it is mid install, things like concrete instead of breeze(which is no easy feat), changing from one stamp to another for the concrete and changing her mind on which boulder to use for the bubbling rock(which is ok, that is normal)...we did the changes, she balked about the extra cost for concrete instead of breeze, but I am charging her just our extra cost and labor...no profit on the extra. She also thinks we should install 10 zones of irrigation on a 5 zone yard....arghhh
My real question is when do you say, no more changes? How do you stop it without screwing up the client relationship? Yes, I will show you guys some of our work...ironically, I hate rocks in a yard...but in Colorado that is the thing...dry landscape requires rocks, mulch and desert stuff. Any sound advice on dealing with her what is the middle? For instance she up on her own bought 7 trees that are 8 ft tall conifers...and wants us to install and put a drip for free....here this costs $500, she balked at us quoting her $280 and said it should be added for free, it is just digging dirt she thinks.

Click to expand...

Get quotes ready on price and labor, and with a customers like that take pictures get everything in writing and stand your ground. I am not in that industry but in automotive, and deal with people like that daily for car repairs. They get mad when something costs them extra, even when you tell them before hand it is a quote not an exact cost, they start demanding free stuff, then if you did not take pictures they claim everything wrong with their car was not like that until you worked on it, that mirror was never broke until you worked on it, my engine never misfired until you recharged the ac system etc.

Watch out for those people, they want everything for free and will try and blame you for everything wrong in their property hoping you did not take the time to document stuff before you started, they are hoping to get their bill slashed for problems they already had.

beerftw said:

Get quotes ready on price and labor, and with a customers like that take pictures get everything in writing and stand your ground. I am not in that industry but in automotive, and deal with people like that daily for car repairs. They get mad when something costs them extra, even when you tell them before hand it is a quote not an exact cost, they start demanding free stuff, then if you did not take pictures they claim everything wrong with their car was not like that until you worked on it, that mirror was never broke until you worked on it, my engine never misfired until you recharged the ac system etc.

Watch out for those people, they want everything for free and will try and blame you for everything wrong in their property hoping you did not take the time to document stuff before you started, they are hoping to get their bill slashed for problems they already had.

Click to expand...

We have her under control for the moment. The HOA gave us a hand and put a stop to the changes....they sent her an approval for plan #2, I sent an invoice to her husband(an agreement between us on prices, kept between us), and HOA told her plan that they approved is final and no changes can be made until job is complete, then she is welcome to submit additions to her landscaping for approval...YAY HOA. Oh and they denied some of her stuff too...she isn't happy about that, but it violated rules and city regulations as well...so she is stuck there.

ClaraD said:

We have her under control for the moment. The HOA gave us a hand and put a stop to the changes....they sent her an approval for plan #2, I sent an invoice to her husband(an agreement between us on prices, kept between us), and HOA told her plan that they approved is final and no changes can be made until job is complete, then she is welcome to submit additions to her landscaping for approval...YAY HOA. Oh and they denied some of her stuff too...she isn't happy about that, but it violated rules and city regulations as well...so she is stuck there.

Click to expand...

It is nice the hoa jumped in, but in the future document everything, what work you are quoting, the condition of everything in your area etc. Even go as far as taking picture of the area you work in prior to starting work especially if you notice something broken or damaged, so you do not get pinned with causing damage while doing your job.

beerftw said:

It is nice the hoa jumped in, but in the future document everything, what work you are quoting, the condition of everything in your area etc. Even go as far as taking picture of the area you work in prior to starting work especially if you notice something broken or damaged, so you do not get pinned with causing damage while doing your job.

Click to expand...

I hate updates like this...we had to get an attorney involved. Shes taking it from here...she again wanted changes and demanded we not tell HOA...I have the text...or my attorney does. Im not getting on the bad side of the HOA

ClaraD said:

I need some advice from business minded folks here. My brother in law, myself and my husband started a landscaping and design company in December, so far as most businesses it is a struggle still, however we are still in baby stage since we are just 7 months old.
I have a client in a $60,000 landscape design project. That client has already changed her mind 4 times on the design while it is mid install, things like concrete instead of breeze(which is no easy feat), changing from one stamp to another for the concrete and changing her mind on which boulder to use for the bubbling rock(which is ok, that is normal)...we did the changes, she balked about the extra cost for concrete instead of breeze, but I am charging her just our extra cost and labor...no profit on the extra. She also thinks we should install 10 zones of irrigation on a 5 zone yard....arghhh
My real question is when do you say, no more changes? How do you stop it without screwing up the client relationship? Yes, I will show you guys some of our work...ironically, I hate rocks in a yard...but in Colorado that is the thing...dry landscape requires rocks, mulch and desert stuff. Any sound advice on dealing with her what is the middle? For instance she up on her own bought 7 trees that are 8 ft tall conifers...and wants us to install and put a drip for free....here this costs $500, she balked at us quoting her $280 and said it should be added for free, it is just digging dirt she thinks.

Click to expand...

Stop all work until the new specs are aproved by the cliant and the change-order fee paid. The change-order fees will either make it worth your while, or get the cliant to stop making changes.

ClaraD said:

I need some advice from business minded folks here. My brother in law, myself and my husband started a landscaping and design company in December, so far as most businesses it is a struggle still, however we are still in baby stage since we are just 7 months old.
I have a client in a $60,000 landscape design project. That client has already changed her mind 4 times on the design while it is mid install, things like concrete instead of breeze(which is no easy feat), changing from one stamp to another for the concrete and changing her mind on which boulder to use for the bubbling rock(which is ok, that is normal)...we did the changes, she balked about the extra cost for concrete instead of breeze, but I am charging her just our extra cost and labor...no profit on the extra. She also thinks we should install 10 zones of irrigation on a 5 zone yard....arghhh
My real question is when do you say, no more changes? How do you stop it without screwing up the client relationship? Yes, I will show you guys some of our work...ironically, I hate rocks in a yard...but in Colorado that is the thing...dry landscape requires rocks, mulch and desert stuff. Any sound advice on dealing with her what is the middle? For instance she up on her own bought 7 trees that are 8 ft tall conifers...and wants us to install and put a drip for free....here this costs $500, she balked at us quoting her $280 and said it should be added for free, it is just digging dirt she thinks.

Click to expand...

Never ever get into a job without a well written scope of work that you and the home owner agree to and sign.

I always state in writing/print in the original "scope" that any work and material changes will be agreed to in writing and attached to the original scope of work as a signed addendum by me and the home owner.

You kinda brought this on yourself.