When you’re running a small business, cash flow is vital. Having payments tied up in unpaid invoices can prevent your business from running smoothly. What’s more, if you have a point-of-sale you’ll want the payment process to go as fast as possible, so you don’t lose customers.
All in all, you should do whatever you can to speed up payments for your business. Whether you’re selling products to customers or services to clients, make sure you get paid fast. Sometimes you’ll need to be proactive to keep your cash flow healthy. Here are some quick tips to help you with payment.
A lot of small businesses like to wait to bill their customers or clients. Companies who take a long time to complete their services might think it’s more beneficial to invoice clients after the work’s done. However, billing upfront can be much more efficient and help you get paid quicker.
It can rely on your reputation. Customers might not pay upfront for a service they don’t trust. Make sure you build up your customer base fast and collect positive reviews to show you can be trusted.
One approach that might help is to take payment in installments. You can ask for half of the payment in advance and the other half after work is completed. Make sure your clients know that they’ll get their money back if you don’t do your job.
Use Fast Payment Processors
When you’re taking card payments, you don’t want to make your customers wait. Stores should make sure they have a swift and reliable card reader at their point-of-sale. Nowadays, card readers can take contactless payments from some cards and even mobile phones. It can make serving customers much faster.
You can also take payments from anywhere using mobile credit card processing. You can use devices for taking quick card payments on your phone no matter where you are.
These kinds of devices are useful for those who travel to people’s homes or businesses to provide services. But they can also come in handy in a store or other business premises.
Take Online Payments
Of course, one of the best ways to take payments fast is by letting customers pay online. Many companies now make online stores to allow their buyers to make quick purchases and get items delivered.
Even if you’re not selling products, online payments can be useful for you. For instance, a salon can allow clients to book appointments and pay in advance. It can make your entire business run more efficiently.
Make sure you use a reliable online payment system. The more kinds of payment you accept, the better.
Chase Up Unpaid Bills
When a customer or client hasn’t made their due payment, you should chase it up. Often it’s due to them not seeing a bill or simply forgetting. A polite reminder can ensure you get your payment on time.
In some cases, it may be that they’re unable to make the full payment. You might want to work out a payment plan to ensure you receive what you’re owed. In any case, don’t ignore unpaid bills. If you forget about them yourself, you’ll be missing out on money your business is owed. If you have a problem with keeping up with payments, using a bookkeeper can help your business a great deal.