Overwhelmed with the numbers side of your business? 3 things to focus on to boost the cash in your bank account
1 Know who owes you
2 Make it easy for them to pay you
3 Know who you owe
Often times we are so busy filling orders, servicing our clients’ needs and creating content that we don’t take the time to pay attention to who owes us money.
We have done the work and customers/clients are happy and they want to pay you, So you need to strike while that ‘smile’ is fresh on their faces.
They can’t pay an invoice that hasn’t been created. You need to make this part super easy. Invoice immediately and make it easy for them to pay!
2. If it is easy to pay immediately most clients will do it immediately. If they can pay in just a few clicks, in just few seconds, most people will prefer to do it immediately rather than have to remember to do it later. How do you make it easy?
Accept more than one payment option-Paypal, stripe, VIISA or ACH. Yes, there are some fees involved but depending on the $ amount, I believe that it is worth the fee to get the money into your bank account ASAP. Most of those fees are about 3% which is $6 on a $200 purchase. Take the fee into consideration when you are setting your prices. I think that it’s well worth it!
Another tip is to make the invoices clear and concise with as much information as possible. Less questions, fewer steps involved, quicker to pay.
3. Know who you Owe:
Keep track of who you owe and how much aka accounts payable!
Enter bills that you receive onto a spreadsheet with correct due dates
Enter recurring payments so you know what is coming up.
No late fees- don’t pay anything late, unnecessary costs.
Set payment reminders if necessary either on your calendar or ask Siri to “remind me on 6/7/17 to pay the Electric bill”. Siri is really good at this.
Have any questions? Send me an email. I always love to chat with business owners.