"We need to access your software urgently! Please send us your up to date program issue straight away."
"You need it urgently do you? That's a coincidence then because both our local Tax Office and Telecoms Provider are saying exactly the same thing about our meeting their payment demands!"
Mistral's annual subscription fees, as applied for the constantly upgraded and updated Mistral 'Corporate' programs and interactive databases suite for example, are guaranteed FIXED IN PERPETUITY. Subject only to fiscal inflation and as measured by RPI (Retail Price Index of the UK).
There have to be rules however. The principal one being that the mutually binding contract that is the 'Corporate Licence' must be maintained without interruption and fees paid ON TIME! None payment within the generous credit term constitutes automatic cessation of the contract. If a contract has been active for a prior period of a number of years then renewal of the contract after a lapse will inevitably mean renewal at new prevailing terms and these will almost certainly be higher than those previously enjoyed.
Mistral Associates runs a successful business and not a registered charity! Its survival, over the past 33 years, in a notoriously difficult, aggressive and marginally profitable niche market has been to the mutual benefit of both itself AND ITS CUSTOMERS!
In your business maybe something like 25% to 30% of your costs are overheads. With our business the 'overheads' figure is closer to 95%! The business of Mistral Associates revolves entirely around ‘Intellectual Property’, better known as ‘software’. We have no appreciable ‘Cost of Sales’ as in most businesses that might be applicable to purchases of materials or components.
A fortunate position to be in then is it? Just developing, managing and continuously updating, upgrading and distributing etc., advanced, expert system computer software?
"No. Not really."
Because we have virtually no suppliers to whom we can occasionally delay making payment in order to alleviate the sort of inevitable cash flow problems that effect virtually all businesses from time to time.
You pay us late or expect us to recommence your 12 month licence period from the time you make payment, instead of from your earlier ‘anniversary date’, then we go bust. Simple as that. A 12 month ‘Corporate Licence’ fee is exactly that. It is not 12 months plus another month or two for late payment, all for 12 month's fee!
So we won’t do it. Restart the period from the date of receipt of your payment that is. Not unless you are happy to re-start a new contract and which, due to constantly rising costs and inflation if nothing else, could quite likely be offered to you at new and almost certainly increased price terms.
It is a sad fact that over 90% of all developers of even very good quality software are bust within 18 months of start-up. Far from the common public perception that software companies are on a 'gravy train'. The reason? Gross underestimation of the eye watering costs involved, coupled with an unusually high business exposure to cash flow crises!
Mistral Associates have been producing and constantly maintaining the software genre it pioneered for more than 33 years. So it looks like we might be getting one or two things right in our business!
The first and the proven, reliable software developer that has served our industry for longer than any other. Which is probably good for your business too then!
So please be so kind as to pay us on time, so we can keep it that way. For our mutual benefit.
Finally, Don't forget what happens when you don't pay your Telecoms Provider on time!
Disagree? Then click the gooseberry! Your chance to respond.
"Bringing the benefits of computerisation to our industry - without the historically associated problems."