Table of Contents


Purpose

Some Home Owner's Associations (HOAs) hire landscaping companies to maintain not only community property, but also resident properties. In these scenarios, the HOA is the customer (not the individual property owners), and the landscaping company sends a single invoice to the HOA for services rendered.

While neighborhoods are being developed (new homes are actively being built and sold every month), the number of units being serviced can change from one month to the next. This means the amount to be invoiced would also change each month as the number of units being serviced grows.

Below, we provide two options in dealing with this situation!



OPTION 1 – Per Service with Contract Changes

This strategy will utilize some services on the opportunity for production operations and then other services on the opportunity for billing your client

  • Select appropriate contract template

    • Complete mandatory fields

    • Choose fixed payment invoice type

  • Begin adding services to the opportunity. These services will be used for production operations, like scheduling, crew mobile, time entry, and for tracking job costs.

    • Override the sell price to $0.00 at the service level

    • Estimated occurrences, hours and costs will remain on the service

  • Each service can contain a kit, created specific to the property and service, to estimate hours and materials per unit

  • Next, create a service named “Growing Community” in your service catalog which will be used for invoicing your client

    • Set the service schedule for 12 occurrences, 1 per month

    • Add this service to the opportunity

  • Drill into the service and select the per service invoice type

  • Override the per occurrence price with the total monthly invoice amount for the property

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  • Consider sales tax implications

    • If your company taxes all or none of the contract services, no extra step is necessary.

    • If your company taxes different contract services differently, then you will need 2 growing community services to appropriately split the revenue to be taxed and exempt from tax.

Operations Management

  • Schedule and manage work tickets according to your regular production process

    • Tickets for each service will track production hours and materials

    • Tickets will not have a sell price associated with them as the service price is $0.00

      • GM% will be inaccurate

      • Revenue will not be earned when completing standard services

    • The Growing Community service ticket will be completed and invoiced monthly

      • Revenue will be earned when this ticket is completed

Contract Changes

  • Contract changes should be completed as often as new units or scope of work is added to the contract, but not more than one time per month.

    • The contract change must be completed and won prior to completing the associated Growing Community ticket.

    • When completing the change, select the first of the month the change applies to as the new revision start date

      • It should be 1 month after the Active Revision Start Date

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    • Change each of the services by selecting the Pencil icon and then updating quantity of total units.

    • For the Growing Community service, override the per price to reflect the total for the new number of units

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  • Win the contract change

  • Complete the Growing Community work ticket

  • Create the invoice in Invoicing Assistant


OPTION 2 – T&M Service on the Opportunity

This strategy will utilize a monthly T&M service on the opportunity to bill for the number of units maintained each month. Regular Contract changes will not be necessary to account for the growing number of units serviced.

  • Select appropriate contract template

    • Complete mandatory fields

    • Choose the invoice type desired by the client for invoicing any service other than the Weekly Visit.

      • If the price of seasonal services (such as Fertilization rounds and Fall cleanup) are fixed and will be invoiced upon completion, then select “Per Service.”

      • If the price of seasonal services are to be spread across the contract (as they would be in a fixed payment contract), then select “T&M on Completion.” This will be explained in greater detail below.

  • Begin adding services to the opportunity. Remember, if you want to have more specific job costing, then you will need to add a unique catalog service for every service they want job costed separately.

    • If these services should be invoiced upon completion, then estimate the appropriate costs under each service and allow Aspire to calculate the extended price. This is OPTION 2A (more details to follow).

    • If these services are only being used for job costing (i.e. the client wants to spread the total contract cost, as they would with a fixed payment contract), then you will need to override the extended price to $0.00 at the service level. Estimated occurrences, hours and costs will remain on the service. This is OPTION 2B (more details to follow)

  • Each service can contain a kit created specific to the property and service to estimate hours and materials per unit

  • Next, create a service named “Growing Community” in your service catalog which will be used for invoicing your client.

    • Set service schedule for 12 occurrences, 1 per month

  • Next, create an item named “Growing Community” in your item catalog, which will be used to determine the T&M Calculation for each monthly ticket.

    • This should be an “Other” type item

    • The Category could be “Labor” or “Other”

    • The Purchase/Allocation Units could be “EA,” “Homes,” “Doors,” or whatever the client would like to show in the T&M breakdown when they invoice the HOA.

    • This should be an Inventory Item set up with a $1.00 cost in the catalog (the price will be overridden in the contract).

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  • Add the “Growing Community” service to the opportunity

  • Add the “Growing Community” item below the Service

  • Override the extended price of the “Growing Community” item. Aspire will charge this amount per unit allocated to the T&M Ticket each month.

    • OPTION 2A: The override price should reflect the amount the client wishes to invoice monthly per unit for only the Growing Community service (all other services will be invoiced upon completion).

    • OPTION 2B: The override price should reflect the total amount the client wishes to invoice each month per unit for the total contract (spread, like with fixed payment). Take the total cost of all estimated services, divide by 12, then use the simple markup calculator to determine the extended price – enter this amount in the Per/Price field.

  • Drill into the service and select the T&M invoice type

    • The Labor Rate should be set to $0.00.

    • Markups may be left at 0.00%, since the overridden price of the Growing Community item will be used to determine the T&M Calc.

    • If sales tax applies, ensure that the “Other” type item is checked “TAXABLE”

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  • Consider sales tax implications

    • If your company taxes all or none of the contract services, no extra step is necessary.

    • If your company taxes different contract services differently, then you will need 2 growing community services to appropriately split the revenue to be taxed and exempt from tax.

Operations Management

  • Schedule and manage work tickets according to your regular production process:

    • The Growing Community service ticket will be completed and invoiced monthly

      • Revenue will be earned when this ticket is invoiced

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