Dealers and growth
How should a master tuner bill its dealers?
Per file, credits, monthly statements or a mix: how a master charges a dealer network without spreadsheets or arguments, and who pays for what.
In short
Bill per file, with a clear statement for any period, and let the system work it out as each file is delivered. Agree in writing what each dealer pays per file, and what the dealer's portal costs, before they sign.
A master's first dealers are usually billed from a spreadsheet at the end of the month. By the fifth dealer, the spreadsheet has become someone's whole Monday, and by the tenth, the arguments start.
What are the usual ways to charge a dealer?
| Method | How it works | Suits |
|---|---|---|
| Per file on statement | Dealer pays at the end of the month | Trusted dealers |
| Credits in advance | Dealer tops up, each file is taken from it | New dealers, and you keep your cash flow |
| Monthly fee | Fixed amount with files included | Steady, high-volume dealers |
| A mix | A fee for the portal, plus per file | Most established networks |
What should the price per file depend on?
Mostly the same things as your retail prices: the work, the vehicle type and the ECU. Beyond that, volume. A dealer sending you hundreds of files a month earns a better rate, and that rule should be written down rather than negotiated in private, because dealers talk.
Who pays for the dealer's portal?
Decide this openly. Some masters pay and see it as the cost of having a network. Others pass it on, sometimes with a margin. Add-ons work the same way. Whichever you choose, say so before the dealer signs, so a line on their statement never comes as a surprise. On TunerEngine, the price of a dealer portal is £29 a month on top of what your package includes.
A statement nobody has to argue about is worth more than a slightly better rate.
What should a statement show?
Enough to settle any question without a phone call: each file, with the date, the customer, the car, the work and the price, along with any credits and any add-ons, and a total for the period. A dealer who can check it themselves will trust it. The statement should be available for any period, not just the month just gone.
- 1Balance and files leftWhat a dealer has on account and how many files that still buys.
- 2Any period, exportedPick the dates, search a job, export the statement.
- 3Every movement, with its jobEach charge and top-up with the job it belongs to and the balance after it.
A sample shop; your portal carries your name.
How do you stop the spreadsheet?
By recording the charge when the file is delivered, not at the end of the month. On a Network portal, what each dealer owes you is worked out per file, with a statement for any period. You set the rate per dealer, and the record builds up as the work is done.
What about dealers who pay late?
The same rule as with any customer, and more important, because the sums are larger. Start new dealers on credits, and move them to a statement once they have proved themselves. Agree what happens if an account goes overdue, including what you stop doing, and then follow it. A dealer who is allowed to run up a large debt usually leaves with it.
How do you check that a dealer is worth it?
Look at each one regularly: files per month, what they earn you, how many corrections they ask for, and how much of your time they take. A small dealer who sends clean files can be worth more than a big one who rings every day.
Questions
Should all my dealers pay the same?
Use a written rule for volume, so that two dealers on the same volume pay the same. They will compare.
Can a dealer see what I charge others?
No. Each dealer sees only their own prices and statements.
Can I change a dealer's rate later?
Yes, with notice. Agree in writing how and when rates can change.
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Read next
-
How does a master tuner's dealer network work?What a dealer network is, how files move from a dealer's customer to the master and back, who owns what, and what to set up before you sign your first dealer.
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How should you price a tuning file?Per file, per stage, by vehicle or by credits: how file services set prices that customers understand and that still pay for the bad days.
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How do you stop chasing payment for tuned files?Late payers cost a file service more than discounts ever do. How to get paid before the work, without offending good customers or losing the regulars.
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