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24 



The Florists' Review 



July 6, 1922 



pletely itemized statement is mailed 

 him. The next month the sum of the 

 previous bill is rendered and the items 

 of the current month. Customers of 

 standing are required to pay within 

 ninety days. If this is not done, we 

 either telephone or send u letter, call- 

 ing attention to the account's being 

 overdue and requesting payment. 



If a response is not forthcoming 

 within thirty days, we send the first 

 of a series of three letters, such as are 

 furnished by many collection agency 

 companies. The Creditors' Association 

 is our particular method. The first let- 

 ter is a mild request for payment, the 

 second is somewhat stronger and the 

 third threatens the posting of the ac- 

 count. These letters appear on the 

 following page. This series has been 

 successful in about eighty per cent of 

 our cases and the cost for such service 

 is small, being $75 for a series of 100 

 letters. Great discretion is necessary 

 at all times to see that this service is 

 not abused, but directed to the right 

 people, particularly to those of question- 

 able standing. 



Train Customers. 



It is acknowledged that a customer 

 who appreciates the fact that wo are 

 regular in billing him and that wc ex- 

 pect payment regularly will soon get 

 into the habit of keeping his account 

 in order. However, after sending these 

 letters at intervals of thirty days and 

 meeting with no response, we imme- 

 diately turn this account over to a law- 



yer, the fee being on a sliding scale, 

 averaging about fifteen per cent. Under 

 these methods it is rarely necessary to 

 go to court, and as court procedure is 

 costly, we do not attempt this unless 

 the account is at least $100. When a 

 man forces court collection, the chances 

 are all in his favor, and the judgment 

 is hardly worth while collecting. 



It is often found that several firms 

 are interested in the same customer, 

 each of whom holds him in arrears. In 

 such cases our interests are pooled, and 

 the cost of collection is reduced and 

 our chances for a fair return are better. 

 A customer taking offense at collection 

 of an account in due process is not 

 worth carrying. He will usually turn to 

 some other concern in the same line 

 and begin the same methods. A few 

 such customers will make little differ- 

 ence in a firm's income and are bettor 

 (iff the books than on. 



References. 



Wo require references by throe busi- 

 ness houses from a customer who asks 

 for credit before accepting the account. 



It is often the case that one account 

 is kept with a reliable house in good 

 standing for reference purposes only. 

 On this one good account other houses 

 ••iro induced to extend credit for which 

 tlioro is no possibility of collection. 

 For this reason the number demanded 

 is three and if in any case a quostion- 

 al)lo roforonee is offered, we refuse the 

 customer. 



We maintain a card system, which 



No. 1 



We enclose statement of your account to date, which you will notice 

 is considerably overdue. Present-day conditions need no explanation of 

 the necessity in limiting credits. We are always glad to make extensions 

 when requested, but to our knowledge no such request has been received 

 from you. 



Will you kindly give the matter your prompt attention, so that your 

 account may be placed in proper balance? 



Your attention will be appreciated. 



Very truly yours. 



No. 2 



Your account is not in good standing, and we wrote you on 



asking your reasons for its being neglected. No reply has been received 

 at this office. 



As you well know, the cost of doing business has grown tremendously, 

 and we cannot extend unlimited credit without reason, but are glad to do 

 so if conditions warrant it. 



We ask your assistance in restoring your account to its proper stand- 

 ing, and that your prompt attention will see to its payment. 



Assuring you of our increased interest and efforts in serving you, we are 



Very truly yours. 



No. 3 



We have repeatedly requested settlement of the enclosed statement, 

 and so far without any satisfactory result. 



Unless payment is made without delay, we shall be obliged to place 

 the account for collection. 



This we dislike very much to do, but feel compelled to under the 

 circumstances. 



Very truly yours. 



tells a customer's standing instantly. 

 In this way we have handy information 

 that cannot be disputed. We believe in 

 keeping all accounts as close to the 

 mark as possible. In this way we are 

 able to meet our own obligations at the 

 proper time, and furthermore, to dis- 

 count all bills possible, in this way de- 

 riving considerable income to meet office 

 expenses. 



The position of the retailer and that 

 of the grower are not at all comparable 

 and the amount of money carried by the 

 retailer on his books is out of all pro- 

 portion to the return on his investment. 

 The desire for better methods is grow- 

 ing and within a few years we hope to 

 find an organization among the retail 

 florists working in conjunction with the 

 growers and all to the better interests 

 of both. 



STRIKE NOT TO HALT TRAFFIC. 



Although 400,000 shop workers went 

 on strike July 1, railroad officials assert 

 that train schedules will not be inter- 

 fered with, a matter of much moment 

 to many in the trade. The decision of 

 the maintenance of way workers to re- 

 main on the job lends support to the 

 railroad executives' statements. So long 

 as repairs are not needed beyond the 

 capacity of the temporary crews, sched- 

 ules can be maintained. 



Neither the maintenance of way em- 

 [iloyoes, who also have taken a strike 

 vote, but who have decided not to walk 

 out, nor the shop crafts mechanics, who 

 threw down their tools July 1, have any- 

 thing to do with the actual operation of 

 the trains. That work is carried out by 

 the "Big Four" brotherhoods, whose 

 international presidents issued orders 

 June 29 that their members should con- 

 tinue to carry out their usual duties, 

 irrespective of any strike action on the 

 part of the other unions. 



The shop crafts workers make repairs 

 on rolling stock. Railway managers say 

 that their present equipment will be ad- 

 equate for several months and that 

 emergency repairs might be made in 

 outside shops. They estimate that it 

 will be at least three months before a 

 walkout of shop crafts employees will 

 seriously impair the efficiency of either 

 ])assenger or freight transportation. 



The traveling public and the shippers 

 will not know there is a strike except 

 by reading about it in the newspapers, 

 declared one executive. 



Series of Three Ojllection Letters to Be Sent Customers by a Retailer. 



Ionia, Mich. — The greenhouses of D. 

 L. Vincent, B. L. Smith and Henry For- 

 back were badly damaged recently by a 

 wind and hail storm. A great deal of 

 glass was broken and the telephone 

 service was crippled. 



Hanover, Pa. — Cremer the Florist 

 handled the decorations for tables, etc., 

 during the recent encampment of the 

 United States Marines at Gettysburg, 

 where Pickett's famous charge was 

 reenacted. At the encampment were 

 President Harding, General Pershing, 

 the Secretary of War, the Assistant Sec- 

 retary of the Navy, the governors of 

 Maryland, Pennsylvania and Virginia, 

 and many others. The arrangements by 

 Cremer the Florist received commenda- 

 tion from the presidential party and 

 from Mrs. Lindley Darlington Butler, 

 wife of General Smedley D. Butler 

 commander of the United States Marine 

 corps. General and Mrs. Butler acted 

 as host and hostess at the camp. 



