Chapter 25. Money Matters
Asking payment of invoice
Mark McNamara, accounts payable
Rolling Meadow Paint and Supply
Account # 56780
Dear Mr. McNamara,
I am writing to bring to your attention the outstanding balance of $853.03 owed by Rolling Meadow Paint and Supply. This amount has been due and payable for the past two months.
We have always appreciated your business and look forward to serving you in the future. Perhaps this matter has been overlooked.
We will be expecting full payment of the above account as soon as possible. As stated in the bill of sale, invoices unpaid after 90 days will be subject to a 1.5 percent per month interest charge.
Sincerely,
Alice MacNeil, accounts receivable
Second letter asking for payment
Mark McNamara, accounts payable
Rolling Meadow Paint and Supply
Account # 56780
Dear Mr. McNamara,
On May 15 we brought to your attention the fact that Rolling Meadow Paint and Supply has an outstanding balance of $853.04. The invoice was 60 days old at that time.
To this date we have not received payment.
We value your business and want to do whatever we can to make it possible for us to continue our professional relationship. The invoice is now subject to a 1.5 percent per month interest charge, retroactive to the initial billing date.
Please contact me as soon as possible to discuss this matter. If we do not hear from you within ten days we will be forced to turn this invoice over to our collection agency.
Sincerely,
Alice MacNeil, accounts receivable
Third request for payment
Mark McNamara, accounts payable
Rolling Meadow Paint and Supply
Account # 56780
Dear Mr. McNamara,
Three months have passed and we have not received payment or other response from your company in regards the outstanding balance of $853.03 for the above-references account.
At this time we are unable to accept any further orders from your company until your invoice, plus interest charges, is paid in full.
Please immediately forward a check to us in the amount of $891.99 for products delivered plus interest on the outstanding balance. If we do not receive full payment by June 15, we will be forced to place this account in the hands of our attorney and collection agency.
You have been a valued customer in the past and we hope to continue a relationship with you in the future. If you have any questions, please feel free to contact me.
Thank you.
Alice MacNeil, accounts receivable
Placing overdue account with attorney
Mark McNamara, accounts payable
Rolling Meadow Paint and Supply
Account # 56780
Dear Mr. McNamara,
This is to inform you that the above-referenced account has been placed in the hands of our attorney for collection.
We value you as a customer and hope to deal with you in future, but we must insist on full payment of your outstanding balance.
If you wish to make arrangements for payment before legal action is begun, please contact their offices as soon as possible. All inquiries should be directed to:
Harris Sayle
Sayle, Sayle & Santos
98 Main Street
Rolling Meadow
(382) 555-1234
Sincerely,
Alice MacNeil, accounts receivable
Denying discount because terms not met
Accounts Payable
Big Box Homebuilders
In regards to invoice 88774-BBH
We have received your check for the above invoice.
The amount of the invoice was $2,100.50. The check we received was for $1995.48, with a notation that a 5 percent discount was applied.
Under terms of our bill of sale, and as clearly marked on the invoice, we offer a 5 percent discount to any customer who makes payment within 15 days of receipt of an invoice. Your check was dated and received more than 45 days after the invoice was sent. We apologize for any misunderstanding. We would appreciate prompt payment of the outstanding balance of $105.02.
And we would be happy to honor the early payment discount on any future purchases.
Eileen Ross, accounts receivable
State Lumber Yard
Questioning invoice from supplier
Buy the Foot Lumber
Rolling Meadow
Fred Black, Account Manager
Dear Mr. Black,
We have received your invoice number 254-100-231, dated July 1, in the amount of $18,394.34.
We note that the price per linear foot for Argentinean lignum vitae is listed at $8.75; the purchase order we issued, based on your bid of May 10, called for a price of $6.50.
The purchase order specifies that any discrepancies in quantities, quality, or price must be approved in advance and that variances from the bid may result in rejection of invoices.
Please provide an explanation for the discrepancy between the bid and invoice amounts.
Sincerely,
Barbara Grosbeak, accounts payable
Questioning invoice from service supplier
Thomas Mary, Manager
Better Than Nature Landscaping
Dear Tom,
We have received your invoice for landscaping services provided in May of this year; a copy is attached.
The invoice includes several items that appear incorrect. One line item includes a charge in the amount of $1,820 for installation of sod. We are not aware that such work was performed, and if it was it was not included in the bid for services accepted by our company in January.
We also note that the hourly rate for landscaping services is listed at $18.50 while the rate in the bid we accepted was $16.30 per hour.
We are assuming this was an error. Please correct the invoice and resubmit it for payment.
Sincerely,
Barbara Grosbeak, accounts payable
Telling provider to submit bids for service
Lori Reader
Lori’s Hair and Beauty Salon
Rolling Meadow
Dear Lori,
For the past four years your salon has provided hair cutting services for the men and women who reside at our adult home. We think you do a fine job, and the residents look forward to this service on Saturdays.
Because of some funding we receive from the town, we have now been advised that we must put this service out for bids from any other qualified providers.
We hope that you will participate in this bidding process. In the Friday issue of the local newspaper there will be a formal notice and instructions on how to submit a bid.
Sincerely,
Lois Graham, Executive Director
Rolling Meadow Adult Home
Rejection of bid for services
Roland Maddow, Sales Manager
Rolling Meadow Tile and Paving
Rolling Meadow
Dear Mr. Maddow,
Thank you for your bid for the repaving of the employee parking lot at our company. We appreciate your interest and the attention to detail that you displayed in preparing the offer.
At this time, though, we have decided to accept a lower bid from another company already engaged in some construction work here on our grounds.
We will keep you informed if our future plans include a similar project and would look forward to receiving a bid from you at that time.
Sincerely,
Harold James
Notifying company why they did not get business
Judith Cranston
Judy’s Wedding Services
Rolling Meadow
Dear Ms. Cranston,
I don’t often feel it is necessary to let someone know why I did not choose to give them my business, but we were rather upset about the way one of your employees dealt with us.
We considered three wedding planning services in Rolling Meadow when we began to make plans for the wedding of my daughter Sharon next June.
When we spoke with you on the phone, you spent nearly an hour asking us in great detail about our expectations, personal preferences and styles, and the amount of money we had in our budget. We were quite impressed with the thoroughness of the interview, and we were looking forward to the proposal from your company.
On Monday, my daughter and I met with Courtney from your office. From the moment we sat down with her it was obvious that she either had never read the information you had collected or had chosen to completely ignore it.
This is a second marriage for my daughter and her fiancé; they are both well-established professionals. They were looking for a low-key, sophisticated dinner with tasteful music.
What Courtney presented might have been appropriate for a spring break party, but it was not in any way related to our expectations.
We feel that we wasted several hours of our time, and we have chosen to use a different company.
Sincerely,
Fay Mitchell
Asking change to contract before services delivered
Annie MacDonald
Annie’s Catering
Rolling Meadow
Dear Annie,
We are looking forward to our daughter’s wedding this coming September, and we are excited about the food you will be offering our guests.
However, I am writing to ask that we make changes to the agreement to reduce the cost by at least $3,000. I don’t think I have to explain the difficulties all of us are facing since the assembly plant closed.
Under terms of the agreement, with six months to go before the wedding we are permitted to cancel the contract for a $250 fee. I hope you will waive that charge and allow us to negotiate a new deal. Otherwise we will reopen talks with other caterers in town.
We still very much want you to provide the catering. I hope you will agree to work with us on a somewhat more modest arrangement.
Sincerely,
Lorna Mayo
Dismissing service company for budget
David Campbell, President
Klean Windows
Rolling Meadow
Dear Mr. Campbell,
Thank you for your services over the year in providing window cleaning services at our plant on Industrial Road in Rolling Meadow.
Effective June 1, please discontinue your services at our facility. We have decided that we will be performing window cleaning with our own maintenance staff.
We are doing so strictly for budgetary reasons; we have been very satisfied with your company’s work over the years.
Thank you.
Kent Jones, Controller
Rolling Meadow Textile Company
Asking renegotiation of fee for services
Benjamin Klein
Klein Financial Services
Rolling Meadow
Dear Ben,
For the past ten years we have been fortunate to be able to engage you to provide the parents of our high school seniors with a series of lectures on how to pay for college.
The feedback from those who attended has always been positive, and we hope this exposure has benefited your company as well.
Unfortunately, this year’s school budget has been cut drastically, and we have had to cancel or sharply curtail almost every activity not directly related to the classroom. We realize the irony of this coming as parents are scrambling to find money for college as their investments and income decline.
I am writing to ask if you would consider donating your time for a shorter introductory course for parents. Although we cannot be directly involved in solicitations for business by commercial entities, I think you could expect to receive a reasonable number of private, paying clients as a result of involvement with the school.
Please call me to discuss.
Sincerely,
Louise Burden, Principal
Rolling Meadow High School
Ending agreement with provider because of economy
John Horton
Klean Sweep Lawn Care
Rolling Meadow
Dear Jack,
We have very much appreciated the work you have performed for the past five years keeping our lawn and flower garden in top shape.
Unfortunately, we need to cut back on our expenditures and have decided we will not be hiring your company for the coming spring and summer.
Please understand we are in no way dissatisfied with your work, and we certainly will recommend your services to anyone who asks. But for the moment, we’re going to have to do it ourselves.
Sincerely,
Jeff Katz
Sadness at closing of longtime business
Peter Douglas
Douglas Variety Store
Dear Peter,
It was with great sadness that I learned that Rolling Meadow is going to lose one of its most treasured and unique establishments.
Your store has been a source of pleasure for most of us who grew up in Rolling Meadow and our children and grandchildren.
Where else will we be able to buy needles and thread, the daily newspaper, and cotton candy all in one place?
Rolling Meadow is diminished by the absence of your store.
Good luck in whatever else you do.
Sincerely,
Moses Earle