Billing

[GABudo]

(This is my first post, so go easy on me)

I am starting a training group and am working with an owner of another school/martial art to use their space during some "dead time" in their schedule.

My question to y'all is: Should I have the students pay me directly, or should they use the school's current billing system (automatic withdrawl), and then have the guy cut me a check once/twice a month? He is getting a small percentage of my tuition per student for letting me use his space.

I am just looking for some general feedback/stories (good or bad) that people have had in the past. I haven't made up my mind one way or the other.

Thanks for your help.

Robert Pickler

 

[thesensei]

Automatic withdrawal is a much more sure way of getting paid! Otherwise, you'll have people paying late, "I forgot," "the check's in the mail," etc. Not that I don't trust people...but if there's already an effective system in place, take advantage of it!

 

[GABudo]

You make a very good point about the "already a system in place". I mean it does keep me from having to chase people down. He's also sure to get his money (not that I would cheat him of his piece of the pie).

Thanks. Anyone else? Good ideas or bad, I'll take them all into consideration.

 

[Sarah]

Whats the owners think? does he mind looking after the payments?

I would think that since you are paying him to use his building but are not actually a part of his school, it seems more appropriate to take payment from your students and then pay the building owner his fees. That would prolly also make it easier when he does his taxes, because he is then just receiving payment for the leasing of the building.

 

[GABudo]

Sarah-
I haven't talked to him about it. I kind of came up with the idea not too long ago based on our conversations. I guess I'm saying IF he doesn't mind doing the billing.

See, I was thinking of taking the money from the students also, because he has his own students set up on contracts (1 year and 3 year). Now, from what I read of his contract, I could cancel it at any point. I could do that if need be as a result of whatever reason (I get my own place).

I suppose I have to look at this from HIS tax purposes as well as my own.

thanks. Anymore? Keep them coming!

Robert Pickler

 

[Peter Steeves]

My advice is to make sure you're not waiting for payments. You really don't want to be in that position - ideally you can just focus on what matters to students most: training and their relationship with you as a teacher.

At my school, I don't mind billing for other teachers (we only have a couple outsiders), but mostly it's all rent, and they take care of their own situations with their students.

 

[arnisador]

Automatic withdrawal is a much more sure way of getting paid! Otherwise, you'll have people paying late, "I forgot," "the check's in the mail," etc.

Plus, you then have to be both instructor and collection officer...if someone else handles the bills, you only have the one role to fill. It's hard to say "Keep up with your training no matter what!" and "Pay up or stop coming!" to someone in the same conversation. Let someone else be the bad guy!