![]() ![]() For instance, if you've planned to send invoices during the 1st and 15th of each month, then make sure you stick to a schedule of sending invoices on those dates. Like tightening up your payment terms, you also need to tighten up your payment schedule. ![]() Follow a regular payment schedule - that works for your customers So it’s advisable that you implement a stricter, shorter payment term - like 15 days - to guarantee that money will keep coming into your business. But this can mean they won't pay you on time, even if you have a good relationship with them. Offering flexible payment terms is a smart move if you want to keep your customers happy and guarantee that paying is always convenient for them. You can also emphasise the terms you have agreed on each invoice that you deliver, just make sure to choose your wording carefully.Īccording to a study from Freshbooks, clearer phrasing like “payment due within 20 days” makes it easier for customers to identify the payment terms compared to the phrasing “net 20”. Discuss this contract to ensure there are no misunderstandings. Whether you just signed a new customer or are renewing a contract, it’s essential that there’s a written agreement between the two of you that summarises the exact payment terms, deadlines, and other important payment details. Thankfully, there are lots of ways you can get customers to pay their invoices on time, without compromising your relationship with them. So, no matter how well you manage your cashflow, if you’re not getting paid promptly, you're at risk of running out of money. Several studies show that accommodating late payments results in serious cash flow problems. ![]() Read on to find out to combat late payments and get your customers to pay earlier. Managing your cashflow effectively is one of the most important aspects of running a business, but so many businesses struggle to ensure regular, reliable cashflow, especially if you have customers who never pay on time. ![]()
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