You know that awkward feeling when you’re staring at overdue invoices, wondering if you should send that follow-up email? Trust me, I’ve been there, and I’m betting you have too! Even as financial professionals, we sometimes struggle with this, when it’s our own clients, but it’s different when we’re doing credit control for you. That’s because we don’t have the close relationship with them like you do, but we do have the skills and experience to ensure your relationships aren’t damaged through chasing payment. So, let’s chat about how we can help you to tackle this challenge.
First Things First – Let’s Talk Terms
Start off as you mean to go on. Make sure those payment terms are agreed from the beginning and your payment process is clear for your client to understand. You may feel excited to be onboarding your new client (we all do) but making sure your payment terms are agreed before you get started is crucial.
Tech Is Your New Best Friend
I used to spend hours manually chasing payments until I discovered automation. Your accounting software, when set up correctly, has the features to assist you with automated payment chasing. The thing is, you’ve got to ensure your bookkeeping is up to date on a regular basis to ensure these emails don’t get sent out when they shouldn’t.
The Follow Up
It’s not about being pushy, it’s about being persistent with personality. Start with a friendly “Hey, just checking in!” before moving to the more formal “According to our records…” Nobody likes playing bad cop, so let’s keep it light but professional. Being forceful isn’t always necessary, just a slight polite nudge is sometimes all that’s needed.
Building Relationships That Last
Here’s something I’ve learned along the way: strong client relationships are like good friendships – they need care, communication, and sometimes honest conversations about money. Don’t shy away from payment discussions; tackle them with a smile and clear expectations.
Spotting the Warning Signs
You know that gut feeling when something’s not quite right? Maybe a client who’s usually prompt starts taking longer to pay, or suddenly goes quiet on you? Trust those instincts – they’re usually spot on.
Prevention is Better Than Cure
Think of this as your business’s health insurance. Regular check-ups with your bookkeeper means you can address issues before they become out of hand. At Numberwork services we can help you to budget and plan for the future so you have some savings for a rainy day.
When Things Get Sticky…
Sometimes, despite our best efforts, things don’t go as planned. That’s okay,having a plan B (and C, and D…) isn’t pessimistic – it’s smart business. Know your boundaries and stick to them, but always keep it professional. Remember, today’s payment challenge could be tomorrow’s success story.
At the end of the day, we’re all running businesses, not charities (though sometimes it might feel that way). Getting paid on time isn’t just about money – it’s about respect for your work and your business’s sustainability.
Remember: You’re amazing at what you do, and you deserve to be paid promptly for your expertise. Don’t let anyone tell you differently.
If you’re having issues with chasing payments and can’t keep on top of late payers, then we’d love to help. Book a call today.