Get paid quickly on the invoices you send

If you’re a small business owner, you’ll understand that cashflow is king. Throughout the United Kingdom, small and medium size enterprises are stuck with billions of pounds of unpaid invoices, putting serious pressure on cashflow and causing severe worry to business owners. Far from being a minor inconvenience, late payments can have a major impact on a small business: payroll, profit and the ability to pay one’s own suppliers can all be affected.   

According to the Federation of Small Businesses approximately 85% of SMEs have been directly affected by the late payment or non-payment of invoices with around £35 billion pounds owed.  Small businesses tend to get paid later more often than large businesses because:

Lack of Time

There are few people who work as hard as small business owners. Managing your business, your staff, your product and your accounts all takes time. Chasing debtors is an unwelcome burden on top of this. Firstly you need to check through lists and find out what’s unpaid. Secondly you need to decide what you want to do about each individual invoice. Thirdly you need to craft a carefully worded e-mail or carefully scripted phone call that is firm enough to ensure you’ll get paid, but polite enough to ensure you won’t lose a client. All of this adds up to one thing:  TIME and your constant lack of it.

Size Matters

Larger corporates often get paid faster than SMES as they have a reputation for enforcing stringent payment terms and having harsh terms for late payment.  When a customer is faced with a lot of bills to pay at the same time, they are therefore much more likely to focus on the bigger fish.

You’re friendly and nice to work with  (Don’t change this!)

It can be tough to really press late paying clients for payment. If you have a great working relationship, financial stresses can make things uncomfortable or even awkward. You don’t want to lose your client and you don’t want to lose your reputation as being good to do business with, even though you have every right to be paid on time.

So what can you do?  Switch to an online accounting solution!

It doesn’t have to be this way. You don’t have to accept late payment as normal for a small business.  By taking some easy practical steps and by switching to an online accounting solution such as Xero, Quickbooks or Sage One, you can make late payment a thing of the past.

Invoice quickly

You can send invoices directly from your smart phone or tablet when you use online accounting software such as Xero or Quickbooks. As soon as you’ve finished a job or completed a milestone, you can send the invoice, wherever you are.

Debtors at a glance

Use the smart software to find out who is overdue or who owes you the most money and at glance. Take advice from your accountant or business advisor on who your most reliable or unreliable clients are.

One click payments

Using online invoicing your customers can pay you in one click as soon as they receive the invoice. Apps like Xero and Quickbooks integrate with credit card payment systems and Paypal, meaning your customers are more likely to pay on the spot, and meaning your cashflow is improved.

Fully trackable

By invoicing through your online accounting software, you’ll be able to see exactly when each invoice you send has been opened.

A whole host of other benefits including

  • Create professional recurring invoices
  • Design professional invoice templates
  • Charge business expenses directly to customers
  • Set automatic payment reminders
  • Offer multiple payment options to your clients