As a business, the goal is to generate revenue to keep your business running. To create timely income, you need to settle your payments on time. In the business world, unpaid invoices are standard. There can be several reasons for that. Some of which are in your control, while others not so much. Whatever the reasons for the delay, you must do your best to ensure a timely payment settlement as a business.
Here’s our payment settlement guide of CreditQ to help you settle your payments quickly.
What is the payment settlement?
The payment settlement process involves collecting the funds you are owed for processing an order from the customer. Usually, once you issue the invoice, the customer pays for it. However, sometimes the customer does not make a payment and you must chase after it. You can do the recovery efforts yourself or hire a third-party agency like CreditQ for the same.
Here are some tips for debtor management to ensure your payments get settled quickly.
Have multiple payment options
One way to ensure that your customers pay the invoices on time is to give them multiple options. In this digital era, you need to offer multiple payment options to give flexibility to your customers.
Generate error-free invoices
One of the most common reasons for a payment delay from a customer’s end is a faulty invoice. To prevent this, ensure that you generate accurate and easy-to-understand invoices. Always check with your customer before sending them the final invoice. Tell them beforehand about any additional charges or payments.
Communicate properly
As a business, you must prioritise the collection process and remind customers to pay you on time. Sometimes friendly reminders are not enough, and you may need to take strict measures to ensure that customers take you seriously. Keep them posted about your actions at your end and take an active approach towards chasing your payments.
Offer lenient payment terms
Sometimes, the customer does not pay simply because they can’t pay. In such cases, it is best to negotiate with your customer and get to a settlement amount you both agree on. You can also help them by offering payment plans where they can pay in installments.
Hire a debt collection agency
If you don’t want to chase your payments, you can hire a credit information bureau or a debt collection agency to help you settle. They have the right tools and expertise to get your money quickly. CreditQ is the best option for you.
