Billing your customers brings in much-needed cash flow that your business needs. Charging for your services through your billing process happens each week. You spend time every week preparing your invoices to send to clients. You try your best to be efficient, but you worry you spending too much time and not getting enough done. You can improve your billing process. Start by reading and implementing these 6 tips to improve your billing efficiency.
Be on Time
You should stick to a schedule when it comes to preparing and delivering your bills. Your client doesn't want to receive a bill that's due date is tomorrow. Set a schedule for yourself when it comes to billing. Set predictable due dates; this helps you and your clients.
Setting a schedule not only helps you to get your billing done and out on time, it helps your clients know when their bills should expect to receive it in the mail or via email and when their payments are due.
Read Through It
How embarrassing it would be if a client calls or emails you to discuss a charge on their account that they don’t remember making. How would you feel if a mistake were made and clients were charged more for a service than they should have been? When bills are accurate, it is more likely to be paid on time by clients. When bills are accurate, clients are happier with your company and are more likely to consider the continued use of your services.
It's important to scan for grammar, spelling, billing and mathematical errors. Edit and proofread your bills and double check your prices and totals. Additionally, make sure that clients know who they can talk with if they have questions about their bill.
Invoices Should Be Detailed
When you create invoices, they should be detailed. Detailing invoices before you send them out will help your clients know what they owe and why they owe it. Invoices should include details such as the client's name, account number, address, the total due, the services received. It helps to add how whether they have a grace period and whether they are past due. Also, add your contact information and any information about late fees and interest, if you charge them.
It's very important that your details and prices are correct. Keep your records up-to-date to prevent invoices from being mailed to the wrong house or sent to the wrong email address. Listing the details of the service received means that clients will be less likely to call you with questions about their charges.
Detail the bills you send out to your clients. They will be glad you did.
Quickly Send Out Your Invoices
Invoicing your clients immediately helps you to get paid. Using an electronic invoicing system enables you to email out invoices and gives your clients the option to print a copy and pay online. If you have clients who would rather receive a physical copy, it doesn't take much to throw it in the mail.
E-billing is faster, good for the environment, secure, and cost effective!
If you have a client who doesn't like to pay, it's time to consider charging interest. After a period of time (30, 60, or 90 days), add on the interest each month. Clients do not want to pay an extra amount on top of their billed amount. Remember to check local and state laws before making your decision. Interest amounts are routinely capped by state law.
Give your client time to pay their bill, but don't be a pushover. Charge interest.
You might want to offer incentives for customers who pay early. Incentives could include a percentage off their bill, a discount on future purchases of your services, or a credit toward future payments. Everyone likes to get a discount. These incentives will improve your client’s day and encourage client loyalty.
Need Billing Assistance for Your Small Business? Contact Clients ARM
Have you been struggling to keep up with your billing cycle? Do you have bills stacked up waiting to be paid? If this sounds like you, consider Clients ARM. We have over 30 years of experience of providing top-notch service for our client’s businesses. We offer many services, including billing, customer service, and accounts receivable management. Clients ARM offers a free, no obligation consultation to businesses so we can figure out how we can help them. If you need billing help, contact us today for your free consultation!