I want to share a few tips with you that will help eliminate disagreements with your customers/clients and get you paid faster.
You will have much fewer write-offs and greatly reduce the need to use services like mine to help in the collection of bad debts you may have.
The truth is we all know how to do this but we are busy with a million different details that take up our energy and time every day,
The net result is that we are constantly looking for short cuts and taking the path of least resistance. After all, who doesn’t want to save time?
And yet these short cuts which seem so right and convenient at the time can come back to hurts us when a hiccup occurs
4 things worth taking the time to do.
1. Give your prospect a written quote so there are no misunderstandings.
2. Draft an agreement even if it is a short one to cover important things like:
The scope of work to be done or services to be rendered.
Is there a timeline for the work or a deadline for delivery?
What if there are extras requested beyond the scope of the original request?
When and how are you supposed to be paid?
What happens if there is a cancellation?
3. Stay on top of your accounts receivable and send them statements/reminders at the 60 and 75-day mark that the account is past due and that after 90 days delinquent accounts are assigned to a third party if no payment has been made.
4. Take action if you have not received at least a partial payment 90 days after your invoice was due. Waiting too long is almost always a bad idea that results in a loss.
Remember- if they are not paying you they are probably not paying other creditors as well. You do not want to be the last in line.