Why You Should ALWAYS Bill Your Client FIRST

Andrew McCabe
Jun 16, 2016 · 7 min read
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Bill Your Client

It sounds simple, elementary even. What business expects to get paid without billing their client?

There is no such thing as a mitigation ESTIMATE

When you perform emergency services, you’re providing a needed service. There is no bidding process. There is a need and you’re fulfilling it — usually on a Friday afternoon, right before a big holiday weekend.

Costs have been incurred

The problem is that we allow adjusters to widdle our BILLs down because we don’t lock them in with our actual clients. If we don’t invoice our clients, they don’t “incur” the costs of mitigating their loss. And since their insurance policy states that they will be reimbursed for reasonable “costs incurred”, their insurance adjuster is under no obligation repay them (or to pay US).

The longer you go, the harder it gets

What most restoration folks don’t understand is the incredibly complicated machinations that adjusters go through on every claim. It’s actually fairly cumbersome. And adjusters are relentlessly bombarded with new restrictions and guidelines to follow.

They’re free to ignore you

“But I sent my “estimate” to the adjuster two months ago,” you might be saying. OK. You sent it to him. But you didn’t send it to your client?

Don’t fear the sticker shock

I asked my client why they hadn’t sent the mitigation invoice to the client yet.

Properly set expectations

What I learned, after making a little over $100,000 a day for my company, is that the most important step in the mitigation (and claims) process is setting the groundwork. When we educate our clients on the process, and clearly communicate our intentions and provide transparency, they become our allies.

Start from a position of strength

For all the reasons above and more, you need to promptly bill your client for the services you’ve rendered. This puts you in a position of strength and moral authority.

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