Struggling with getting your clients to pay on time? It’s a struggle that every company faces at one point or another, but it can be especially hard on small businesses with limited staff and uncertain cash flow.
1. Send out invoices ASAP
A good first step in making sure you’re paid in a timely manner is to put invoicing at the top of your to-do list. “As soon as you finish work on a project, make invoicing for the work your highest priority,” recommends Forbes. Don’t let billing slip through the cracks!
2. Provide incentives for paying invoices early
Wouldn’t you pay your bills earlier if it meant getting something in return? Entrepreneur suggests creating offering rewards — like discounts and coupons — to get customers to pay in a timely fashion. “Sometimes a little push is enough to get someone over the hump and pay early, the Holy Grail of cash flow.,” the magazine advises.
3. Be flexible
Your clients will be more likely to pay on time if you make the process easy and convenient. Be accommodating; ask your customers what works best for them when it comes to timing and payment type. This “give a little to get a lot” philosophy often pays off, reports Inc.
RMP Capital specializes in helping businesses overcome slow payments and non-payment. Through accounts receivable factoring, we can expedite your cash flow. Moreover, our credit department can ascertain the payment history of potential clients to minimize the risk of non-payment. Visit our website or dial 631.738.0047 to learn more!