Well? How important is it? Pretty vital right. So why do so many businesses not follow up on invoices?
We all hate asking for money and let's face it sometimes we have to ask repeatedly but in business we've earned it. If you went out for a few drinks on Friday night you wouldn't get any without having to pay first, dropping the money in next week when you get paid isn't an option. So here's my tips for getting paid:
- Get the invoices out within the first 2-3 days of the month, that way even if you are dealing with businesses who do pay-runs on the 26th of the month you're in early and are more likely to get paid that if you send out the invoices on the 20th.
- Send statements, they work as a reminder of what's outstanding to you without you having to phone anyone.
- Use a red pen if necessary but ALWAYS be polite, there is no reason for bad blood in business and if there is some don't let it be coming from you.
- Adhere to your own payment terms, if your policy is to add interest once bills get well overdue then issue a warning with your red pen (politely) prior to adding the interest.
- Don't be afraid to pick up the phone, after all you've already supplied the goods or services, you deserve to be paid.
- Stop supplying someone if you know they are unlikely to pay, making the bill bigger isn't going to entice them to pay you more.
Do you have any tips on what works for you?
If you need to get caught up or want someone to help regularly with the invoicing. If you want someone to make those awkward phonecalls. Then get in touch today, it costs nothing to have a conversation that could get in money for your business.