Your company’s billing process is one of the busiest + most critical business functions.
From preparing an invoice for your customers’ purchases to equipping you with data for predicting sales trends, billing includes it all.
But is your company currently doing its best at billing?
With all the numbers, the scope for error goes high. And can we afford that? NO!
We understand this. And so, we wish to share four of the most useful tips to help ease down your company’s billing process.
1. Start Using Digital Payment Systems
Credit cards, debit cards, Paypal, Payzine and a whole world of other payment delivery platforms.
They work wonders to help both merchants and customers in a number of ways by automatically generating payment statements that are either mailed or printed out or kept safe in the payment records of the respective platform.
Although these statements can not be used as bills which you can give to your customers (you will still have to prepare a separate invoice), they sure help keep a precise record of all the transactions that happened between you and your customer.
2. Papers Worked For Primitive Men, It’s Time To Go Online
How many paper bills do you have saved? Or how many paper bills do people, in general, have by themselves?
Well, even if you are big on keeping paper bills safe, there’s a high chance that you’ll not be able to save all of them. This is why online bills/statements win.
They are 100% safe. Don’t get lost (until you delete them manually). Can be reacquired in most cases. Don’t take up any physical space. Are eco-friendly. And above all, they save money on paper.
3. Define a Payment Schedule
If you feel like your clients generally stall your payments, this tip can help you with that too.
By defining what you will be paid, and when you will be paid, you will set specific standards for your firm. These standards will make billing easy.
For reference regarding payment schedules, have a look at three of the most common payment schedules that companies employ.
- Interim Invoice: Many businesses in their initial days are neither ready nor willing to shell out a fortune for buying services or products.
Even if they have the money in hand, they tend to look for ways to save money and prefer companies that let them clear payments in the form of instalments.
And there’s nothing wrong with that. In fact, if you want to do business with such clients, you should consider introducing an interim invoice option.
- Final Invoice: At the end of a project, you can send out a final invoice to make your customers aware of all the expenses that are due on their end.
You may as well consider using several interim invoices for preparing the final invoice for a client.
- Recurring Invoice: The most common approach that companies follow is this. Reason?
This way clients accept that they have to pay you monthly or weekly (depending on what you have discussed).
4. Use Software
It’s the 21st century when nearly everything can be automated. What’s stopping you from automating your company’s statement reconciliation processes?
Think about it. An automated reconciliation software can automate the entire supplier statement reconciliation process — which means your employees won’t have to indulge in unnecessary labour.
This will save them time so they can focus on other productive tasks.
As your company’s billing chores start getting you and your employees in sweat, the need for improvisation arises. And to help you satisfy that need, here we wrote about four life-saving tips to help you ease down your company’s billing process.
Hopefully, this was helpful.