“It’s just like 1986 all over again. Silverado Savings and Loan...”
I cut my business teeth on the collapse of the oil industry in 1982 and when 1986 came, I knew how to survive thanks to the diploma I got in 1982 from the School of Hard Knocks back then.
Since then, I have NEVER given an oil company or related companies credit. They need my products and I make them pay with a credit card...no Net 30 crap any more.
The surprising fact is that they have no problem paying with a credit card but wish I would give them commercial net 30 day open credit.
Fool me once, shame on you. Fool me twice, shame on me.
You fools out there that are looking at your A/R and watching the oil companies go from the 30, to the 45 to the 60, to the 90 day columns will understand what it is to loose everything you have when they file bankruptcy.
A word of experience on how to survive while selling your products or services to the oil industry.
“I’ll pay in full when the well comes in.”
I have made a decent career out of financial crises. I should be able to hold on until this one pops. Doesn’t sound like you will be a potential client.
I know a lot of people who didn't get paid, even ones on various payrolls.
I noted who didn't pay their hands and never worked for one of them.
When I had my own outfit, when people subcontracted out to me, I scrimped and saved until I got so I could pay them when they tendered the invoice. (Nothing worse than days off and no money, IMHO.) Those who worked with me were loyal and did their best as a result.