Inflate the rate to cover the risk. If offering a 10% discount, increase the rate by 15%, then it doesn't matter if they still take the discount. I worked with some companies that would not take invoices/contracts that had penalties for late payments. So, I inflated the rates and offered the discount for payment within 10 days of invoice date.

Booth, nice to see you are still active. Go get them......

rpgman
-------------- Original message from Booth Martin <booth@xxxxxxxxxxxx>: --------------


I experimented with cash discounts for a decade or so in a business to
business environment. It didn't seem to appreciably effect the the time
to settlement. It just wasn't worth the clerical hassles.

rob@xxxxxxxxx wrote:
We had an AP clerk at one company warn us not to offer them discounts for
paying early. Her company always took the discounts regardless of when
they paid.

Rob Berendt




--
---------------------------------
Booth Martin
http://www.Martinvt.com
---------------------------------

--
This is the Consulting on the iSeries / AS400 (Consult400) mailing list
To post a message email: Consult400@xxxxxxxxxxxx
To subscribe, unsubscribe, or change list options,
visit: http://lists.midrange.com/mailman/listinfo/consult400
or email: Consult400-request@xxxxxxxxxxxx
Before posting, please take a moment to review the archives
at http://archive.midrange.com/consult400.


As an Amazon Associate we earn from qualifying purchases.

This thread ...

Replies:

Follow On AppleNews
Return to Archive home page | Return to MIDRANGE.COM home page

This mailing list archive is Copyright 1997-2022 by midrange.com and David Gibbs as a compilation work. Use of the archive is restricted to research of a business or technical nature. Any other uses are prohibited. Full details are available on our policy page. If you have questions about this, please contact [javascript protected email address].

Operating expenses for this site are earned using the Amazon Associate program and Google Adsense.