FMB ROUND-UP
Do not write this yourself as it needs to contain all of the relevant legal terminology. You cannot take a client to court if the LBC has not been properly issued. The FMB has partnerships with solicitors’ firms that can write the LBC on your behalf. The helpline advisors will refer you to them or you can find the details in the members’ area at www.fmb.org.uk. The solicitor will charge a fee for the LBC, but consider it money well spent if the debt gets paid. A solicitor’s letter can have a significant impact on a client, as it shows that you mean business and are dealing with the matter professionally and formally. If the LBC doesn’t produce results, you can pursue the matter through the Small Claims Court for matters up to £10,000. Fees are dependent on the amount; for example, a debt of £5,000 would carry a fee of £205. You can submit the claim online. The FMB legal advisors can give advice on the process if you need help. Alternatively, if you believe the client is using a minor snagging issue as a reason not to pay, you can invite them to use the FMB’s Dispute Resolution Service. Contact the FMB Dispute Resolution team on 0113 201 4263 , and they will provide you with a Deadlock Letter to send to your client, inviting them to set out in writing whatever it is they are not happy with. There is no easy solution, unfortunately, so do your homework: Keep your paperwork in order so it’s clear what is owed to you; Always b uild solid relationships with customers; Have good local knowledge before taking on new, unknown clients; and Develop trust between you and the client, as taking on a new relationship is as much of a risk to you as it is to them. Get the support you need with the FMB’s free business advisory helplines and access expert advice to help you manage, protect
Are your clients realistic about building costs? Members tell us that customers often haven’t kept up with the costs of building work and what their budgets will cover. That’s not surprising with the increasing costs of materials, skilled labour, fuel and energy. To support you, we have drafted a letter template for you to send to clients, which: Provides your quote and explanation of the current inflationary pressures; Warns against accepting a low quote to cut costs, as this could result in a high risk of low-quality or incomplete work being carried out; and Stresses to the client that they may not be comparing like-for-like when looking at your quote and a cheaper builder. Members say the letter template makes customers think twice about their decisions as it carries the authority of the FMB, which is the UK’s largest construction trade association for professional master builders. You can download the letter template at tinyurl.com/MB-letter-template
To share feedback, email membership@FMB.org.uk or call 0330 333 7777.
and grow your business. tinyurl.com/MB-helplines
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Master Builder
www.fmb.org.uk
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