I've worked both now - the Anniversary billing for the longest - there were very few times when we had to adjust their payment date due to their pay days. We did not pro-rate in or out there. They paid the full month and their payments were requested on the anniversary.

Now that I work the 1st of the month, we at least have most of the income at the first of the month and don't have to go to the post office with the certified letters at different times throughout the month to make sure they make it out in the specified time......but you also don't have many payments come through throughout the month..........

FOM does spike the cash flow. At the end of the month you have the lowest balance. Right when the banks credit any earned interest!

As a service industry should we not bill tenants to suit their circumstances? When you make the decison to FOM bill you are doing if for your convenience rather than the customers. Having to explain prorate charges and then not giving prorated refunds can confuse customers.

IMV catering to the clients ability to pay and getting the billing cycle to coincide with their pay checks is one sure way to get paid.

In my experience at FOM sites you cant talk to the staff for two days while they sort out billing.

With good software the daily billing grind is automated and with ACH and credit card payments there is not a lot to do.

Consideration for the customers should be first.

So there are pros and cons for both.

Ok, nothin more to see here... move on.

I don't wait to the end of the month to give my customers a bill!

We are pro rating in but also we pro rate out sometimes.
We have a policy that if someone gives a 10 day's notice to move out we will give them a refund.
Our experience is that this is a lot more friendly and appreciated by clients.
Over the years we have build up a steady stream of local clients and this has made our clients coming back.

I have worked in storage a long time. I have used 1st of the month (at PS) and did not like that system. Everywhere else, I have been able to use anniversary date for the due date. You can always adjust a date for a customers convenience.

But, other than at PS, I have not prorated in or out. When you rent a storage space, whether from a small company like where I am now, or the 4th largest (USI), we have rented for a month at a time. I have been known to tell my customers that we are like McDonald's. When you buy that Big Mac, even though you may only want to eat 1/2 of it, you bought the whole burger. It never seems to be a problem. (Also, I have a problem picturing turning in a 1/2 eaten Big Mac for a refund or prorate.)

Bob

Astro

We only prorate wen clients rent for more than one month.

I think for everyone the minium rent will be always one month to start with.

We do NOT rent for one week or any less than one month.

( Think our business is better than McDonalds to )

Interesting comments and views. (McDonalds...that's hilarious, somehow I don't see myself saying this to a customer here.)

At my site: I use FOM, if someone moves in before the 10th I will prorate them in and then they're expected to pay on the 1st. If it's after the 10th I prorate them in and charge the next full month. Most of the time there's no problems especially if I also give them the following free month or some type of discount.

I explain very clearly : if they move out by the end of the month they are free to go. If they need to be prorated OUT, they must give me 10 days written notice prior to that day up to the 10th. Beyond that they will be charged the full month & a possible late fee. If someone comes in on the 5th and says "Im moving out today" I ask them "did you give us notice?" usual reply is NO, (Regardless of how many times we tell them.) and I will add 10 days from that date and they can pay half the month. I am nice and I believe in customer service and word of mouth. UNLESS, they are a**holes, and I'll say "sorry you gotta pay the full month"

The software we use works for anniversary billing. it' gives us automatic heads up on due and overdue, prints bills, figures late fees etc.