Recently, I have been asked the following question by many Child Care Business Owners: How do I get parents to pay on-time?
This is a tricky question, because it takes many different strategies to get parents to pay on-time and today I want to share one strategy with you that I use every week to let parents know that I am serious about collecting payments on-time and that is by posting a Tuition Due sign!
Every Monday I display my Tuition Due sign on the sign-in table where parents can see it. Also in small print you will see the words: If you have already paid your tuition for this week, please disregard this notice.
Having a Tuition Due Notice displayed on your sign-in table is a great way to enforce your tuition policy and also a great way to remind parents that payment is due.
To create your sign, simply type your notice using a Microsoft word program (use a very large bold font) and be sure to print the notice on a piece of yellow or orange paper. Then insert the notice in a plastic sign holder stand and display on your sign-in table. (you will find sign holders at your local Office Supply store)
Handling Delinquent Families
In the event that a parent fails to pay you after leaving the program, you have a right to send that family to collection or even collect your fees in small claims court. However, be sure that your failure to pay terms are clearly defined in your childcare payment agree and that you verbally tell parents about your collections procedures upon enrolling their children.
I hope this tip has inspired you to get diligent about collecting payments on time and you can start by creating a Tuition Due sign. On-time Payments= Consistent Cash Flow in Your Business.
For more Tuition Policy tips, subscribe to my Tuition Policy Makeover eCourse. Also, be sure to subscribe to my Business Owner Makeover Tips eNewsletter, click here
Happy Tuition Collecting…..
Do you frequently have problems getting parents to pay you on-time? Is this issue causing a cash flow problem in your Child Care Business? Are you frustrated with late payments?
You can avoid or minimize many of the problems that most Child Care Business Owners face by simply getting the strategies and tools that you need to makeover your tuition policy.
Furthermore, I believe that if parents are constantly late paying tuition, this could lead to a cash flow problem in your Business!
Many Childcare Business Owners ask me how do I get parents to pay them on-time and my answer is always as follows:
- You have to be very diligent about collecting payments on-time
- Parents must know that they must pay you on-time or choose another provider
- Be assertive about collecting payment, because being passive about your money, will only lead to delinquent accounts
- Finally, if you know that you provide a great service and then you know that you Deserve to get paid for it!
Check Out What Providers Think about the Tuition Makeover Policy eCourse
“The Tuition Policy Makeover was great! After 23 years as a home provider, I’ve found that since the recession, I’ve had more difficulty with this issue and needed to change the way I collect from clients. It was easy to follow each step that was outlined each day. It was worth every penny! I plan to use it as I transition from Family Childcare to a Center.”
Miss Terri’s Little School
“I Love it!
I could not wait for each email to come in. Each day I implemented the recommended strategies that you had for me.
Thank you for making my Job a lot easier. Thank you so much for being a part of Growing my business!”
Are you ready to Makeover your Tuition Policy and discover how to get your money on-time? If so
, click here.