Can You Charge Fees for Bounced Checks?

[childs21503]

1. If you get a personal check from a guest and it either bounces after you deposit it (which means you get hit with bank fees) or you go to cash it and the bank won't honor it, can you:
a. Charge the guest an additional fee (say $25) and make them pay that to you separately (and deposit it in your bank account)? Will you get in trouble with PC corporate if you do that?
b. Tell the guest that since their check bounced they must now pay you with cash or credit card only?
c. Hold their merchandise and/or prevent it from being shipped until payment is made? (The one Tupperware order I got, the check was bad but I had already paid TW up front, and the order shipped to the customer before I was able to finally cash the check.)

2. Can you tell hosts that they must have a minimum number of guests (say 10) at their show otherwise you will have to postpone it until they can get that many people there? Or will you get in trouble for that? The reason I ask is because if I do this biz and I have a host book a show and then I find out that only 5 people are going to show up, I will be furious because I have to drive an hour to get there and I will feel like it's a waste of my time.

Thanks,

AC

 

[chefmary]

Anne: The beauty of PC is that you CAN run your business the way that it works best for you. That being said, here are some specific answers to your questions:

1. If you get a personal check from a guest and it either bounces after you deposit it (which means you get hit with bank fees) or you go to cash it and the bank won't honor it, can you:
a. Charge the guest an additional fee (say $25) and make them pay that to you separately (and deposit it in your bank account)? Will you get in trouble with PC corporate if you do that? I definitely ask the guest to pay the additional fees for returned checks.
b. Tell the guest that since their check bounced they must now pay you with cash or credit card only? I prefer to ask for cash only, because sometimes the CC does not go through and you're back to square 1.
c. Hold their merchandise and/or prevent it from being shipped until payment is made? (The one Tupperware order I got, the check was bad but I had already paid TW up front, and the order shipped to the customer before I was able to finally cash the check.)The best way ensure that this doesn't happen is to make sure you have all of the payments deposited and cleared before you transmit the show. If you tell your hosts this is how you handle up front, she should become your partner in making sure you have everything to close out the show.

2. Can you tell hosts that they must have a minimum number of guests (say 10) at their show otherwise you will have to postpone it until they can get that many people there? Or will you get in trouble for that? The reason I ask is because if I do this biz and I have a host book a show and then I find out that only 5 people are going to show up, I will be furious because I have to drive an hour to get there and I will feel like it's a waste of my time. Sorry but I am running a business not a charity and if I do this it is to make money and be able to replace my full-time income. That is just the way I am, I am in it to make money, I guess I'm just a child of the 80's or something!The key to higher attendance is good host coaching, but sometimes things happen and you don't always get what you plan on. I don't usually give a minimum requirement, because very often the smaller shows do very well and you have a better opportunity to build rapport with your guests. Again, it's your call!!

Hope this helps,

 

[PCALISON437613]

Just a couple of answeres

1. If you get a personal check from a guest and it either bounces after you deposit it (which means you get hit with bank fees) or you go to cash it and the bank won't honor it, can you:
a. Charge the guest an additional fee (say $25) and make them pay that to you separately (and deposit it in your bank account)? Will you get in trouble with PC corporate if you do that?
b. Tell the guest that since their check bounced they must now pay you with cash or credit card only?
c. Hold their merchandise and/or prevent it from being shipped until payment is made? (The one Tupperware order I got, the check was bad but I had already paid TW up front, and the order shipped to the customer before I was able to finally cash the check.)

2. Can you tell hosts that they must have a minimum number of guests (say 10) at their show otherwise you will have to postpone it until they can get that many people there? Or will you get in trouble for that? The reason I ask is because if I do this biz and I have a host book a show and then I find out that only 5 people are going to show up, I will be furious because I have to drive an hour to get there and I will feel like it's a waste of my time.

Thanks,

AC

Hi AC
I did have a check that bounced and my bank charged me $15 which I then passed on to that guest.. She was understanding and paid me in cash then as the order had allready went thru HO and shipped to the host, I did catch the products before the host delivered them so If worst came to worst I could at least send them back for credit.. I would have still been out the $15.00 If the guest would not have paid but I believe that is a chance we take in our business with accepting personal checks..
I have had shows with 4 people and have had shows with 18 people and you would be surprised how the sales can turn out.. This is your business so you can make your own rules, but I believe that I will always go to the show no matter how many guests are coming, you never know what can happen, people can change there mind at the last minute and decide to come and bring a friend, so I personally believe it would be worth the drive to attend those small attendance shows.. I think changing the date at the last minute due to attendance may upset those that would have come, I always try to host couch my host to have high attendance but also outside orders so that in the event of low attendance at the show, those outside orders plus those at the show will make it worth going, I encourage all my hosts to aim for $200+ in outside orders, It gives them a good start towards there host benefits and me cushion in those low shows.. Just my thoughts, Hope they help. I think those are great questions and this board is a place to get answers and opinions from other consultants. Good luck w/your business..
Alison Cimini
Independent Kitchen Consultant
Michigan
[email protected]
www.pamperedchef.biz/alisonc

 

[gmosullivan]

Anne,

Mary had the points addressed well. When it comes to number of people you will find a host may want to reschedule for low attendence.

I usually will do any size show and the small ones are great to be more personable and try something new out. I find most of these shows turn out to be great shows and that Host coaching is the key. If the Host does get the outside orders before and after a show, it helps and that's what Coaching is all about. Good Luck.

I've driven over an hour and had shows with 2-3 people and have them close from 800-1000 and be repeat host.

 

[Kathylynn]

My first show, last weekend, had only two people and one order. That one order was $160. And the other guest booked. Don't knock small shows!

 

[PamperedGinger]

You can do all of the things you said in your first post. That is what is great about PC.

Also, don't knock small shows. I've had small show attendance that ended up being a large show with the people there and outside orders. I have also had recruit leads from small shows.

Don't get me wrong, I don't like doing small shows and I host coach to get people there, but sometimes the hosts don't do there part. It happens. Rather than get made about it, I try to have fun with the people there. It is more intimate and the guests really get more hands on. Doesn't always happen that small shows are GREAT, but it does happen.

 

[Dawn]

those small shows are what can put you over your goal...I had a small show where 2 people attended but the one person bought the Generations cookware..that show closed at over $300...so now I wish I could have more small shows like that one.