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Old 02-17-2009, 06:32 PM
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Some big box stores give ultimatums to their landlords

Over rent. So in turn expect some of your landlords to give you an ultimatum over your pricing. Don't think that the quality of work will save you from this or that you are some how insulated. Talk to your suppliers, insurance companies and your workers and have a plan to lower costs if nesessary to keep work. An extreme example is a friend of mine already received a call to lower his price buy 50% for no other reason than the customer has no money in the budget to pay to maintain the site at current levels. Although extreme these stories are going to effect us all. We are in a deflation spiral.
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Old 02-17-2009, 07:34 PM
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Funny - I was thinking about giving an ultimatum at our shop about rent, too. Timely topic.
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Old 02-17-2009, 08:34 PM
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I've seen it with a developer in regards to snow removal already provided.
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Old 02-18-2009, 11:12 AM
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That's the nature of commercial, isn't it? I was doing uniform sales after 9/11, and we got letters from a couple car dealerships stating "we appreciate that in these difficult times, vendors who wish to continue doing business with us will lower their prices by 5% effective immediately or terminate their contracts." Of course my employer laid down and took it.
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Old 02-18-2009, 09:04 PM
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I did not give. We had already provided the service. I did though extend their terms to allow them up to 45 days to pay. I guess we'll see if we end up with the renewal in the spring; even though we've been working for them for 9 years.
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Old 02-22-2009, 12:35 PM
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The thing I worry about lowering prices will they rebound when things get better or will the industry be beaten down to lowball pricing and would we have to eat it?
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