6 Ways To Get Faster Payments From Your Clients
We all know how frustrating it can be to have a business stuck in a rut, swamped by debt because clients do not pay their bills on time or conveniently forget about it all together. To motivate faster payment from clients, we need to explore the following ideas.
* Let the invoice be readily available.
Always have your client invoiced as soon as possible. State out in clear terms the goods or services offered and the agreed upon amount to be paid. Due date should be boldly emphasized, likewise the payment schedule. It’s better to have it all in writing to avoid ‘he said, she said’ arguments.
* Make sure to ask for upfront payment or deposit.
Do not make the mistake of delving into a job without agreeing on payment terms. Let the client pay all or at least deposit before service. It seals the deal, in the sense that, your client would come back to you rather than go to a different provider who may seem less ‘expensive,’ after giving you the job. Also, quite frankly, this is to avoid being duped and not receiving payment at all at the end of the day.
* schedule a flexible payment plan.
Be open to other methods of receiving payment. Avail credit or debit payment or e-transactions. It is really faster and safer than having to hurl wads of money around. Thieves could be lurking in the corners. Moreover, this makes a payment less stressful for your client. You could also consider having your client pay in installments, so the bill doesn’t pile up and become almost impossible to pay off.
Another great payment plan is to offer a retainer to your client. With a retainer, he or she has a fixed amount to pay in monthly. Knowing this could save you from having to constantly remind them of how much they owe and when it’s due.
* Set a timely reminder.
Very simple. Very straight to the point. Arrange to have reminders sent to customers after a particular period of time. It could be SMS (text messages), via E-mail Or even through phone calls. Remember to be friendly and polite.
* get paid before delivery.
Don’t make it a habit of delivering your goods or products without first receiving some payment. This makes it easy for some customers to relax and not bother to pay. Why would they? After all, they have what they want. Seriously, always remember not to deliver without getting paid.
* Establish a good customer relationship.
People love to feel special. If you make your clients happy, be certain they will return for more. Smile genuinely, make an effort to remember their names, offer discounts for early payment. Be firm and polite about your policies. Never threaten your clients or lose your temper with them. Be calm and efficient but also friendly. They will definitely be coming back for more if you make them feel welcome and well taken care of.
It is important for clients to pay their bills so that your business may remain afloat. You aren’t Santa Claus so don’t go about refusing to request for payment. Even family members and friends have to pay so don’t feel bad about asking for it; it’s your right.