Worth Mentioning; One Fella To Avoid

There are several ways to conduct a job and business to collect what is owed for T&M. It greatly depends on the job and the business your in. In my case of building cars, these projects take a lot of time to do, especially if there is quite a bit of custom work involved. Also, 10 outta' 10 times, the customer comes in with more idea's, and revisions as the project continues. If the work  was already done in a particular area (say the engine or engine  compartment) and a revision comes up due to the customer reading an article in a  Hot Rod magazine the night before, the labor (and parts sometimes) turns into more cost to the customer. Sometimes not a problem if its minor, but I need to go back and do the revision. This takes more time, but I'm still working with the customer's up front money so its not a problem. It does put the next customer on the build sheet back a little more, but thats life. I also work similar to Don & Pat. When I sit down with a customer to go over his or her project and get an idea of what they are looking for, I can pretty much give them an "educated guess" or an approx. total cost value of the project as it was discussed at that time. As with all projects, being the one doing the work, you never know what you may run into during the rebuild, so the "quote" is just what it is. A quote. If the project cost was around 25K, I normally would take 10K up front to start the project. This gets parts ordered and underway, and starts to pay me for my labor as I record the hours I have in the build from start to finish. When I get down to say 1K, I notifiy the customer and let him or her know I need more money to keep the project going. If a problem arises during the project, and the project has to be put on hold or pulled out of the shop, at least my services and money spent on parts are covered. Its a win-win for both the customer and myself. If the project never comes back to the shop due to circumstances that arrived in the customer's life, I don't have to chase that customer for the balance owed. Its a CYA for both of us and the friendship and comrodery remain as they did right from jump street I had that happen a couple times where the customer got into finantial problems during a build and had to sell the project. I even sold one project for a customer that hit financial troubles.  About 5 years later, he bounced back financially, and hired me to build another project for him. That project went along fine, came out beautiful, and I believe he still has it yet. So things can work out well sometimes......

Steve@B&B

If you look at this from the prospective of the customer, you would have to be a very trusting soul. I am glad you guys are honest and it all works out for you, and everyone does business different, but from my view as the customer of a project with the senerio you point out I would walk. Here is why, your going to build a car for me for $25,000 and you want half up front so I give you my car (with a value) and $12,500 now 3 months later you say you have all money  used up and need more, are the hours I am being billed for really the hours worked ,or did the vendor get hard up for money paid his mortgage etc with my cash and now just needs more from the cash cow? Or your into my car my $12,500 is gone I give you another $12,500 and the car is still not finished now I am painted into a corner do I walk with my half finished car and the 25 grand loss and go to another shop to finish it or do I say well I got to give you more to get the car done so I get it back completed??? I am not saying thats what you guys are doing, but that is what Okie was doing by the sound of it and its ripe for abuse, and that was the exact senerio that was played on me with the roof, you get into the project and you keep feeding it money to get completed because the vendor has already started it and he already has your money. If your getting paid in 3rds like the plumber does everyone is safe. I got burned with this up front money so my advise will stay the same NEVER give money up front, which by the way is the same advise the sheriff dept gave me and my lawyer with the same exact reasoning I gave earlier , if the company doesnt have the funds to do your job they are not solvent and shouldnt be trusted. Which I do not believe is accurate in your case, I have no reason to think your both not trust worthy, but I still wouldnt pay you  up front, a deposit I would understand, but thats as far as I would go, personally.

Sorry to hear this and the levels some of these people stoop....I had a similar experience with a scumbag from Hanover, KS about 10 years ago.  I do have to put in a good word for the law though.  The guy filed bankruptcy, but the Kansas Attorney General went after him for fraud since it was across state lines.  Took several years but I did get my $$ back and my equipment I had bought from him (he had also sold same equipment to 2 other people).