Proper Billing Procedures

The portable restroom rental industry has been seeing increased demand for rentals year after year. More event planners, construction companies and small parties and event organizers see the benefit of renting portable restrooms for events and projects alike.

Billing can seem overwhelming for someone who is new to the industry. Questions are asked, such as:

• What is the difference between a special event and long-term rental?
• Is a down payment for units always required?
• What is the difference between billing standard units vs. luxury units?
• How do I bill a new customer vs. a repeat customer?

Proper billing in the portable restroom rental industry requires consideration of factors such as event type, the duration of the rental and contract details. Special events will bring in the bulk of your yearly profits, but construction rentals are the bread and butter of your business.

Special event and long-term rentals contractually differ when it comes to the timeframe needed. Construction rentals will use one or more units to take care of the needs of construction workers, while special events at their largest capacity might need well over 100 units to satisfy occupancy rates. These contracts should be billed differently — a construction unit is typically billed every 28-30 days while a special event usually requires upfront payment prior to the event.

Businesses have various ways of billing that require either a 20% down payment or full payment upfront at the time the event is booked. For some, a partial down payment acts as a placeholder for the event coordinator or construction company to secure their spot. Other businesses will ask for 100% upfront payment that can include an additional cancellation policy the day of the event.

Cancellations the day of an event or scheduled unit drop-off often require full payment if the work has been completed loading units on a truck or delivered. Cancellations a day or more ahead of time often carry a fee or partial payment added to the billing invoice depending on the company standards and clauses for cancellation.

Discounts for repeat customers and long-term rentals are completely up to you, but it is suggested that discounts are applied to accounts that either rent in bulk or are loyal repeat customers who are valuable to your business. Research local companies who provide similar services. If their prices are higher than yours, adjust and apply a discount to the difference. This simple billing tactic will give the customer the idea that they are receiving the best deal, and they will invest in your company because of it.

Proper billing is a very individualistic, preference-based choice, but what all types share is the need to stay consistent and organized. Invoicing should be clear and concise with cancellation clauses, insurance options, damage waivers, etc.

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