Deposit is Required to Memo in Merchandise

There are two reasons why you must get a non-refundable deposit from a customer, before you spend any time getting anything in on memo to show them.

1. First, it shows that the customer is serious about buying something, and will come back to see the items that you get in. Then you don’t waste your time on a deal that isn’t going anywhere.
2. Second, it helps to cover the shipping costs. Nearly every dealer will charge us shipping to send us merchandise on memo to show a customer. Every time a watch or diamond is shipped in on memo, it costs us from $10 to $50 or more. So, if a salesperson memos in four diamonds from four different suppliers, then doesn’t make a sale, we have to pay $40 to $200 for the shipping, with no income to show for it.

On rare occasions, with Sales Manager approval, you might make the deposit refundable if the customer will not leave a non-refundable deposit.

The deposit should be at least $100, for bigger deals you should try to get more!

BE SURE YOU WRITE ON THE INVOICE, “NON-REFUNDABLE DEPOSIT” AND HAVE THE CUSTOMER SIGN IT!