You need your clients to pay you on time if you want your cash flow to be balanced. It doesn’t matter if you supply them with cleaning products or marketing services. If they don’t pay you when you ask them to, it can leave your finances short. However, getting people to pay what they owe isn’t always simple. Even when they’re generally a good client, it’s easy for things to slip people’s minds. Some people have their own financial issues too and might feel they need to delay payment. Getting paid on time is important to you, though. If you want to increase the speed with which people pay you, and make sure they do, try some of these tips.
Get Contracts
Not everyone takes the time to get a signed contract when they take on a new client or customer. However, asking that your client signs one helps to protect both of you, not just when it comes to money but other things too. One of the things it allows you to do is set out clear expectations for when, how and how much you’ll be paid. You can include clauses that set out how long your client has to pay once you invoice them and other details, such as late fees you might charge if they’re not prompt with payment.
Draw Up Clear Invoices
Invoicing your client as soon as you can will enable them to pay quickly too. A clear invoice makes it easy for whoever needs to read it and make arrangements to pay you. Drawing up your invoices should be easy, and there are a few ways you can do it. You can use a free invoicing template, so you only have to input the relevant numbers and send it off. If you use accounting software, you might have an invoicing function you can use. Other services can offer invoicing resources, including your website building service.
Deal with People in Person
If you’re trying to chase up a payment, you can find yourself frustrated with a lack of contact. Or you might even get an assurance that you’ll receive your money, only to not get it. An email or a phone call can be easy to ignore, and easy to forget about if they catch someone at the wrong time too. Visiting someone in person can be more effective if you want to butter them up and get them to make their payment. See if you can arrange an appointment to work things out.
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Don’t Supply Services While Waiting to Be Paid
When you’re really having trouble getting someone to pay you, you sometimes have to take more drastic action. If they’re taking too long to make their payment, stopping your services or supply of products could be your next step. If they haven’t paid for what you’ve done for them so far, they can’t expect you to continue. It can be very effective, especially if you’re in the middle of a job.
Being kind can help you get people to pay faster, but sometimes you need to be tougher to get what you’re owed.