Let’s face it; no one likes to send payment reminders. But, unfortunately, business models don’t work like that in the real world. Sometimes, you need to send constant emails and messages to get your payments. To automate the whole process, many organizations use online invoice payment processing software for small businesses.
Not only do they 1`g5b, but they also help you clear any invoice errors and payment issues. Besides, you can also use it to inform your clients about additional charges or late fees.
Why Automate Your Payment Reminder Process?
Well, sending payment reminders is not a complex process and should not take much of your time. You can easily use a free expense tracker app for business to send quotations and invoices. So, gone is the era when you needed to worry about sending chains of mails, making calls, and sending SMSs to clients for your payments.
But, let us not forget late payments are detrimental to your business’s health. Some organizations avoid the whole process as they fear that it may sabotage their relations with their clients. But, it helps to stay polite and send reminders.
Ideally, you should send payment reminders before the due date and one after it is over. Post that, you can follow up with the basis of your payment terms.
Why Do Old Methods Don’t Work?
Well, sending emails is a good idea, but there is no guarantee that your clients will read them. Moreover, constant calling or sending messages can be time-consuming and, in the worst case, can make your clients ghost you.
You must remember that your client may be busy with some work or might be on time off. Following up can make them irritated and make the situation go bad. A potent solution to eliminate this tedious process is creating customized emails and providing better services to your clients.
Now that you are clear on the importance of automation of the reminder process let us see how online invoice payment processing software for small businesses can help you.
Create Your Invoice
Once you log in to your free expense tracker app for business, you will need to locate the option for creating invoices and then click on it.
Now, if you have created invoices before, it is great. Else, you can create one. Make one by mentioning the invoice number, your due amount, and the due date before sending it to your client. Also, make sure you clearly define the products and services for which you are sending your invoice. This will help your client understand your terms and pay you faster.
Once you have added all the information, you can now set the payment terms. Online invoice payment processing software for small businesses provide several options to individuals and companies.
You will need to select the ‘payable upon receipt of invoice‘ option if you expect immediate payment. Another option is to choose the number of days after which you want your dues to be cleared.
Another scenario is if you want your client to make an advance payment. In this case, choose the ‘payable in advance’ option.
All said and done; if your payment gets delayed by 14 days or so, you can calculate the additional interest and add it. The final step is to update payment terms and mention the legal measures you will take if the payment is not cleared on the due date.
Automating Payment Reminders
Now that you have some invoices stored, the next thing you would need to do is set recurring payments. Then mention the date when you send your first invoice and then set a reminder. It can be weekly, bi-monthly, monthly, quarterly, or your chosen time.
Then, you need to enter the email of your client, and you will be directed further. This option will let you customize your subject lines and message. Before creating a recurring invoice, you will again need to enter all client and service details.
Post that, you will see a subscription account, and you will see two options. The first will be to edit your recurring invoice, and the second to start your subscription.
If you need to make changes, click on the edit option or click the subscription button. This will let you set reminders, and you will no longer be able to edit your invoice. If you want to cancel or end your subscription, you can do that too. These settings will automate your invoice mails on pre-decided dates.
Wrapping Up
This is how online invoice payment processing software for small businesses can help you automate your payment reminders and make business functions smooth. If you are not thinking to buy a full accounting solution, you can also use a free expense tracker app for business and realize its numerous benefits.