ASPA BUSINESS MANAGEMENT COMMITTEE'S 

Management Letter

Vol. 9-Oct. 15, 1982

How to tell your customers are in financial trouble... can be more 

easily determined if you look at a few warning systems. Are past due 
receivables beyond those you have routinely been having? What are the 
average number of days receivables are outstanding? Are there delaying 
tactics such as disagreements on quality and quantity of product with the 
customer refusing to pay unless adjustments are made? Are there irregular 
or partial payments on the account when the customer use to pay regularly 
in full? Better check also if you get a new customer, is it because he 
has exceeded his credit with his previous supplier? 

Compensation to airline passengers... who are bumped off a flight 

for which they had reservations, will again be eligible to receive face 
value of the one-way ticket (up to $200) plus free flight to original 
destination. Payment is doubled up to $400 if delayed more than two hours 
for domestic flight or four hours for international. Civil Aeronautics 
Board has reinstated this rule as of October 1st, citing the country’s 
air-traffic system has returned to almost normal following last year’s 
air controllers’ strike. 

Tips for business survival in tight times... be more concerned 
with collecting receivables and controlling inventory turnover... resist 
the tendency to focus all effort on increasing sales. 

Reasonable cost and variety of computer design make computer 
power within the reach of smaller companies... they serve a vital role 
in effectively reducing inventories, maintaining accurage inventory records, 
and preventing hidden costs from adversely affecting the business. 

Involuntary bankruptcy proceeding may not be commenced against 

a farmer... as stated in the federal bankruptcy law, 11 U.S.C. S303 (a).
A farmer is defined, in 11 U.S.C. S101(17), as a person receiving more 
than 80 percent of gross income during the taxable year immediately 
preceding the filing of a bankruptcy proceeding from a farming operation 
owned or operated by such person. 
following: 

A farming operation is defined (11 U.S.C. S101(18) to include the 

Farming, tillage of the soil, dairy farming, ranching,  
production or raising of crops, poultry, or livestock  
and production of poultry or livestock products in an  
unmanufactured state. 

ASPA Legal Council Bill Harding concludes that "since sod farms are listed 
under the category of agricultural crops in standard industrial classification 
industry number 0181, it would appear that sod producers would meet the 
definition of a farming operation referred to above”. He further states that 
he has not researched reported bankruptcy act proceedings to determine 
whether this conclusion has been reached in litigation. 

(OVER)

American Sod Producers Association  

Assn. Bldg., 9th & Minnesota  

Hastings, Nebraska 68901  

Phone (402) 463-4683

Speaking of inflation... since the three-cent stamp in 1952, 
the price of a letter postage has risen 567 percent! That's more than 
twice the rise of the Consumer Price Index. 

Political campaigns are supported more actively by small business 

people than ever before. A national magazine reports they are making 
contributions, working as fund raisers, contacting their fellow business 
men, signing endorsement letters and the like. Good advice... get 
involved and make your voice heard! 

Do use consideration, tact, constructive comments,

Do's and don'ts for employers who are discharging employees:
explanations... accept responsibility, be helpful. Make this into an 
opportunity to help the employee benefit from the experience as he moves 
on. 
documentation... don't consider discharging based on employee's sex, age, 
race, etc. A termination handled poorly can result in the employee 
feeling revengful and possibly leading to a legal action. 

Don't discharge without thorough investigation and 

U.S. taxpayers favor reductions in government spending as 

the preferred method of bringing down the size of federal budget 
deficits, according to a recent Gallup survey for the U.S. Chamber of 
Commerce. Based on a nationawide sample of 510 adults, the results 
showed as follows:  

Raising taxes 
4% 
Reducing spending 
50% 
Both 
22% 
Neither.. leave deficit  as is  15% 
Don't know 
9% 

TO MAKE FOR A SHORT WINTER, JUST BORROW MONEY THAT IS  DUE FOR REPAYMENT
COME NEXT SPRING!

Note:  This monthly newsletter is compiled and published under the 
auspices of the ASPA Business Management Committee to serve as a helpful  
business update for all ASPA members. We invite your comments and  
recommendations. 

AL GARDNER, Chairman  
Business Management Committee