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- [00:01]
A
Have you ever kept a customer because you were afraid of what might happen if you fired them? Maybe you were worried about a bad review. Maybe you were worried they'd tell their friends. Maybe you were worried about losing future business. Maybe you were worried because they seemed important. But what if keeping them was actually the riskier decision? Today we're going to talk about a real situation involving a chargeback, an attorney, a lawn that wasn't cooperating, and a business owner who found himself walking on eggshells around a customer he no longer trusted. And the question is simple. How much risk should you tolerate before saying goodbye?
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Today's episode is brought to you by Yardbook, the all in one CRM for your lawn care business. And as an exclusive partner of this podcast, you can get started today and begin simplifying your business and maximizing your profits. Sign up now@yardbook.com the link is in. The show notes Time now for Profits with Paycheck, an essential podcast for you in the green industry who are looking to unlock the full potential of your business. Hosted by John Pajac, your certified financial coach, the show features in depth discussions with successful entrepreneurs, thought leaders and industry experts. Providing practical advice and proven strategies on financial planning, operations, marketing and sales. Profits with Paycheck has valuable insights and action steps that you can implement today for creating long term success. Now here's John Pajak.
- [01:38]
A
Welcome to Profits with Paycheck, the podcast. We talk about business strategies and financial insights for the green industry. I'm your host, John Pajak and today we're going to discuss one of the hardest lessons many business owners will ever learn. And that is not every customer is worth keeping. Now before anybody gets upset, I'm not talking about firing customers before, you know, because they ask questions. I'm not talking about firing customers because they have concerns. I'm talking about those situations where trust has been broken and the relationship becomes more of a liability than an asset. And this story comes from one of my coaching clients. And to protect everybody's privacy, I've changed the names and a few minor details. But the lessons are 100% real here. So let's, let's jump in. So we're just gonna call my, my coach and client. We're gonna call him Chuck. Okay? But Chuck called me recently looking for an advice. Turns out back In September of 25, Chuck had performed an overseeding job project for a customer. We're just going to call Kevin. Okay. Now this just wasn't any property. You know, Kevin was a home builder. Elon was this is a luxury home or several million dollars that he'd built with the intent of selling. So naturally, you know, Chuck, he, he wants everything to go perfectly. You know, this is a big deal for him. He sees this property, you know, and he looks at this property, he sees this and this could be like a showcase piece. You know, this is a very high end neighborhood he's working in. Multimillion dollar home. It could generate referrals, it could create, it could create a lot of credibility and it could generate future opportunities. And this overseeding project was done and things were moving along very nicely. This is done in September. And Chuck works in the, he lives in the transition zone. Okay, Mostly turf type, tall fescue. That's what he planted and that's how, you know, just to kind of give you some expectations where in the what part of the country we're in. So anyway, the grass is coming in, everything's looking great. And then flash forward we're going to Christmas of 2025. So we're in January, right about the. Right. Actually I think it was the week of Christmas. Chuck is surprised because all of a sudden he, Kevin had initiated a chargeback for the approximately $2,000 that was charged to do the seating job. There was not a phone call, there was not an email, there was not a service request, just flat out chargeback. Now this is months after the work has been completed. Now think about that for a minute. For many of us, Christmas is already a stressful time of year. For Chuck, it was even worse because that money disappeared. And then, you know, the account went negative and then additional fees are assessed and now he's trying to figure out what happened. You know, so, you know, from what my understanding was, there was some back and forth trying to get communication going. Eventually Chuck ends up sending a letter from his attorney saying, hey, we're going to take you to small claims court if you don't pay up. So finally Kevin agreed to meet, the money was paid. So we're in like March of 2026 now. And you know, during this time period now mind you, like between the time of the chargeback and this, there's no services being done. Okay, this is. And Kevin for some reason is still sending pictures of the decline of the lawn saying, hey, look what's going on. My lawn's not looking good. I paid you for. Well, I don't know exactly what was said because it wasn't me there. But from my understanding that's what's happening. It's like even though the guy did a Chargeback on the thing. He's complaining about the way the lawn looks. And that's when, you know, because there was no payments being made, those necessary treatments that needed to be done specifically for new grass seeds and new newly germinated grass, it's like, this is a very high priority that these things get done. Why, why would you, why would you skip these? Right. Anyway, so let's keep the story moving here. Kevin ends up agreeing to repaying the. The amount that was owed, plus the additional fees that Chuck had incurred. Now, on paper, everything appeared resolved, but was it? I don't think so, because trust wasn't restored. The account balance might have been fixed, but the relationship wasn't. So let's, you know, move. Try to move chronologically here. Let's say, you know, it's. It's March, and towards the end of March, this is when he got paid again. Chuck is going to restart services. And, you know, so we're talking April service gets done, and we're coming into May. And during this entire time, again, Kevin is expressing concerns about the lawn. He's sending more documentation, more photos and questions are being asked. And the lawn isn't progressing the way that Kevin wants it to. So Chuck explains something very important. One, the chargeback dispute disrupted the service program. You know, the first few applications following the seeding were critical, and those weren't done. Those treatments helped support the establishment and the recovery of the lawn. And because those applications were delayed, the lawn fell behind. Now we're moving into warmer weather and drought. Stress starts to up here and, you know, Kevin is watering, but it's not. It seems like he's doing it at the wrong time of the day because all of a sudden, you know, there's some potential fungus pressure showing up. And Chuck is recommending a fungicide application. Now, usually with fungicide applications, it's not a one and done thing. You know, we could kind of stop, you know, some stuff from getting worse, but there's no, you know, one. It's not a silver bullet where you put one down and it's going to cure everything. Okay? It's a management program. And each application for this size Property is about five, about 540 bucks. Kevin declines. He feels. Kevin feels a bit jilted. He's like, man, you charging me $2,000 for the lawn and you're charging me, you want $500 more for the fungicide on top of the other stuff, you know, Kevin declines it. Now, let's pause right there. This is where the story changes, because this is no longer a lawn problem. This is a trust problem. Back when I was getting my lawn care business off the ground, I was juggling routes, invoices and customer notes with paper and prayers. It was chaos. Until I found Yardbook. Yardbook gave me the structure. It helped me track chemicals, route efficiently, invoice faster, and most importantly, it helped me grow a profitable business. If you're tired of duct taping your systems Together, go to yardbook.com and sign up for free. And if you're ready to go premium use promo code PAYJACK to get your first 30 days on me
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Are you mowing lawns, running crews and still wondering where all the money went? You're not alone. Naylor Taliaferro of LCR Media has been there. And that's exactly why he created Profit Accelerator Live. Join Naylor and expert speakers John Pajak and Eric Triplett for two powerful days of hands on workshops designed specifically for lawn care and landscaping business owners in Richmond, Virginia June 26th and 27th. This isn't a conference where you'll sit in the back and take notes. You'll leave with an actual business plan in hand, knowing exactly what to charge, how to manage your time and and how to attract better customers. Tickets are just $299, but right now you can bring a partner or a fellow business owner free with our two for one special. Tickets are just $299, but right now you can bring a partner or fellow business owner free with our 2 for 1 special. Only 75 spots are available and they will fill up fast. Use the link in the show description or go to profitacceleratorlive.com to secure your spot today. Put more money in the bank and more time in your schedule with Profit Accelerator Live.
- [10:30]
A
If you've been thinking about attending Equip Expo this October, don't wait. Right now registration is only $30 and when you use promo code PAYJACK you're going to get your ticket for just $15. But here's what most people don't realize. Registration jumps to $60 after September 10th and if you wait until the show starts in October you going to pay 120 bucks at the gate. Why spend $120 for something you can lock in today for 15 bucks? Equip Expo is the biggest event in the green industry. You're going to get access to three days of exhibits, education, networking, outdoor demos and free parking at the Kentucky Expo center. Head over to equipexpo.com use promo code PAYJACK and I'll see you in Louisville this October. All right, quick reminder before we continue, continue, just to remind you, the. In June, here we have the profit accelerator live. And if you haven't checked that out, you might have heard about it in like the mid roll ad here. But get your tickets, you get two for one pricing right now. Bring your spouse, bring your partner, whoever it might be. Bring them with you, and you know it. Get all the. In the room with all the right, with the right people that can answer the right questions, help you move your business forward this season. So again, links in the show notes. So let's get back into this. You know, when, when, when Chuck called me, he explained the entire situation. You know, he started out as texting and he, you know, just started to. I was like, you know what? Let me just give you a call. It was, you know, so we ended up having a lengthy call. But he told me about the chargeback. He told me about the attorney attorney. He told me about the complaints, and he told me about how, you know, Kevin had declined the fungicide treatment. And then he told me what he was really worried about. I mean, he's. He's worried about the lawn. He wasn't worried about the treatment recommendations because he knows he's doing it. You know, he's recommending the right things. You know, he was worried about what Kevin might do next. You see, you know, Chuck's company is currently going through a rebrand. He's been this one well known name for a long time, but decided to rebrand it to move on to, you know, he's just doing something different here. They're moving their business name that they've operated on for years to a completely new brand. And that means they're kind of like starting over with reviews and they're starting over with reputation. Of course, their existing clients can help by, you know, leaving reviews and everything, but, you know, they're starting over with their online credibility. And I'll tell you what, one negative review feels much bigger when you're trying to establish a new brand. If you're a brand new business, you know, you may not have a lot of reviews, and just one bad review could really tank your numbers. So, you know, I totally understand why Chuck would be concerned about this. And then there's a chargeback history. You know, Kevin's already demonstrating he is willing to dispute thousands of dollars in legitimate work without saying a word to anybody. And just say calling the credit card company up and being like, hey, yeah, I know this, this charge happened months ago. But go ahead and I didn't authorize this or what. However people do that stuff, you know, so basically every new invoice creates anxiety with dealing with a personality like Kevin. Anytime you make a recommendation, it creates anxiety. Every service visit, it creates anxiety. Because the question is always lingering in the background, what if he does it again? And that's what I told, you know, when I told Chuck something important. The moment you start losing sleep over a customer, it's time to seriously evaluate whether they belong on your roster. Think about it. This customer has already filed a chargeback, forced Chuck to actually make steps, legal involvement, like, you know, sending a letter that he, to his having his account or attorney to draft a letter saying that they're going to take him to small claims court, right? You've already interrupted the program. You refuse to, you know, people are, this guy is refusing the recommended corrective action and he continues, you know, he's continually complaining about the service that he's receiving. And at what point do we have enough information? You know, just ask yourself that. A lot of times, us business owners, we often believe that we have to save every customer. I'm going to tell you something, and I want you to know this. I say this with, from the bottom of my heart, you don't, you don't have to save every customer. Sometimes the best thing you can do is politely and professionally end the relationship. Not because you're angry, not because you're spiteful, and not because you're giving up. Because the trust required for a successful business relationship, it doesn't exist anymore. And I think this is where most of you guys could relate. Fear causes us to tolerate things we normally wouldn't. You know, fear of a bad review, fear of losing referrals, fear of losing revenue, fear of conflict. And before long, we start making decisions. You know, we're making these decisions of like, should I do this now? Should it? You know, you start to waver, you start to make exceptions. You know, you start, you know, the, the things that you normally do, the things that you normally though how you would function. You're starting to question it and you're starting to make exceptions. And that's going to lead you down a bad path. Okay, I'm going to tell you that. You basically, you start walking on eggshells, you start to change your policy a little bit, you start bending the standards, and eventually you're going to realize something. We're no longer managing the customer. The customer is managing us. And that's not a healthy business relationship. Now, you might Be saying, hey, paycheck. You know, that sounds great and all, but, you know, you make it sound easier than it is. It's like, yeah, I. Trust me, I've been in this position before. It's not fun. It sucks to be completely honest with you. But, you know, you're like, well, yeah, you. You went through it, and it's over now. So that's why you could brush it off your shoulder. Like, it's no big. But it's a big deal for me right now, and I. And believe me, I understand that it is. So, you know, if you find yourself that's in a position similar to this, I'm gonna give you the. Some of the advice that I gave to Chuck. And number one, document everything. Document everything. This is why I love using Yardbook. Yardbook allows me to manage my clients. I can add notes. I could do all. I could put a ton of information on their property, on any interactions that we have. That's, you know, that's the nice thing about being able to message and text through Yardbook is that everything stays in there. You know, it's all in one place, one hub in their file. Right. And the thing is, I would recommend documenting everything, you know, in this case, you know, if a customer's already disputed the charges once, you know, I want you to make sure you create a total file on this. I want you to save the contract. You know, whether it was a contract or an estimate. The invoices, all those things. Photos that you've taken, any email interactions that you had, any text messages going back and forth, your service records, any of the recommendations that you made. Maybe they were done verbally. I would. This is why I like again, you know, with Yard Book, people will tell me all the time that, hey, just add this to my. Add this service to my next visit. And it's like, oh, yeah, you know, I'm going to send you an estimate. That way we know exactly what you, you know, you're agreeing to. I don't say it like that. I'm like, oh, yeah, I'll send you an estimate. Just make sure you get the prices good and everything. All you got to do is click the button to approve it, and we'll get you signed. Signed up. And they're, oh, yeah, yeah. See, that's just the way of documenting. It's. It's not weird. It's not like, here, sign this. And, you know, I needed proof of work on it. No, it's just normal business for us before. We don't really take verbal Communication that much because it could be easily overthrown. So that's why we have written documents like the estimates, you know, where you can get online approval with it. Anyway, any recommendations? Turn that into an estimate. Send it off to your client, have them approve it. Because all of this documentation, it protects your business. Okay? The second thing I recommend is don't let fear make decisions. Fear is a terrible business advisor. Make decisions based on facts, not. Don't let your anxiety get you either. Okay? Don't think of, like, the worst case scenarios. Don't make assumptions. Don't. Don't even listen to anxiety, okay? Just. It's hard as human beings to. To. To live like that or to operate like that because some of us are wired a little bit different. But I'm telling you, just do not fear it. You know, Bible says it 365 times throughout the whole Bible. That's one for each day. Do not be afraid, okay? Just. Just go off the facts. Just the facts, ma'. Am. Anyway. And also, you need to understand the difference between revenue and risk. Because a customer can pay every invoice and still be unprofitable. You know, if they're consuming your mental energy, they're creating legal exposure, they're damaging morale or keeping you awake at night, they're costing you something money cannot measure. I mean, you can't pay me enough. I had some savagely weird customers throughout the years. Okay, I'm talking. I'm not just talking with my business. I'm talking like, you know, I've dealt with like 25 years ago. I'm talking. I remember there's a couple of the customers. They weren't even my customers. I was just working for the company. But they left an impact on me. It's 2026 right now, and I'm still remembering a customer from 2000. Well, you know, it's 26 years ago. Geez, John. Anyway, just. I. It's like I could. That whole thing could flare up again. That whole instance from 26 years ago could flare up. And it's like I'm there again because those were one of the valuable lessons that I learned. But at the same time, it still kept me up at night. You want to dismiss yourself. You're like, well, yeah, I remember that. I don't ever want to go through that again. I remember it. It's painful. Like touching the stove when mom told me not to. You know, stove's hot. Why? I don't understand that. Ah, okay, Now I understand that. I burned myself. Sizzle it up a little bit and got a burnt finger and a memory that lasts forever. Don't touch a hot soap. So, you know, at the beginning of this episode, you know, I asked a simple question. How much risk should you tolerate before saying goodbye? And only you can answer that question for your business. But I can tell you this. The moment a customer forces you to hire an attorney, an attorney to collect payment, they stop being just a customer. They become a risk factor that needs to be evaluated. Now, that doesn't mean we become rude. It doesn't mean we are. We become vindictive. It doesn't mean we stop being professional. It simply means we recognize when a business relationship has run its course. And one of the biggest mistakes business owners make is confusing a customer's perceived value with their actual value. You know, we, we might show up and we see the expensive house. We see the nice neighborhood. We see the influence and the opportunity that we have there. And because of that, we tolerate behavior we would never tolerate from anyone else. But a customer is not valuable because of the size of their home. A customer is valuable because they respect the relationship. And that's something that's worth remembering. So this week, I want you to review your customer list. Ask yourself one question. Am I managing this customer or is this customer managing me? If the answer makes you feel uncomfortable, it might be time to have a difficult conversation. So until next time, God bless. Keep pushing through and we'll catch you on the next one. Thank you once again for listening. If you've enjoyed the show, please leave a review and share it with fellow business owners. Your support means the world to me and helps keep the show going strong. I want to give a special shout out to our friends at your Yardbook. Their continued support has been instrumental in bringing this podcast to you week after week. If you haven't checked them out yet, visit yardbook.com and see how they can give you the tools to streamline and manage your lawn care business. Also, don't forget to explore the resources and upcoming events that I've collected just for you in the show Notes. These are curated to help you stay ahead in your business with the latest tips, tools and networking opportunities. Whether it's a new tool, an insightful article, or an event you don't want to miss, I've got you covered. Until next time, keep pushing through and God bless. Sam.