That’s a strange title, I agree. How to use Late Payment of invoices for good, and even to grow your business. Well, having been in the industry more than 20 years now, with just about every scenario there is when it comes to late payment of invoices, we have learnt one thing more than anything. Clients start to pay quicker when they learn that you have a procedure in place for chasing debts.
Its just simple psychology at the end of the day – whoever shouts loudest gets the attention; the squeaky wheel gets the grease, however you phrase it: effective, procedurised collecting of late payment of invoices is a modern-day MUST-HAVE for SMEs all over the UK.
Late Payment of Invoices
So how do we win more customers from it?
Well-oiled procedures are key to a successful business. Reputation is everything. If you build a collection process into your business that is fast, effective and professional, customers will respond positively.
Many customers we have collected from often say how professional we were in handling the matter and they commend the proficiency in which we have carried out the work.
Once you start to gain a reputation as a professional, no-nonsense business when it comes to late payment of invoices, the no-nonesnse tag will spread throughout your organisation and will only result in one thing, winning more, better, customers.
Try these 3 tips:
- PREVENT: Call your customers before the invoice is due to check there are no problems with it – preventing delay 2-3 weeks down the line when it is already overdue
- CHASE: Use letters, calls, and emails to chase the debt for up to 4 weeks once it is due
- ESCALATE: pass to a 3rd party collector or solicitor for collection once your invoice is past 60 days due
So for Late Payment of invoices, don’t always think you are stuck with this culture, you can do something about it and you can grow your business from it.
If you would like to chat through any problems your business faces with late payments, or would like to improve your cashflow, please don’t hesitate to contact us on 0800 160 1681 or email firstname.lastname@example.org, or visit our website www.tauruscollections.com