few financial rules that small businesses, serious about growth, need to follow.

There are a few financial rules that small businesses, serious about growth, need to follow.

1-Payment expectations should be consistent and clear to customers

2=When possible have a no payment-no product policy

3-Have a systemized collections process

Automate the Collections Process

When you use technology to track payments, or missed payments, the effort to collect on past due payments is removed from your shoulders. Let your system work for you,
sending out late notices, second notices, and final notices automatically. A good system can even send automated notices to a collections agency should you choose to use one.

 
*Note: When you also incorporate a method for credit card processing, the collections issue will be minimized. Credit cards guarantee an instant payment. You don’t have to worry that you’ve received a worthless check, or that you’ll never be paid.

A frustrated woman called our office a couple of weeks ago. She taught music lessons for a living. After receiving piles of bounced checks, she decided to implement Infusionsoft. Now, all of her clients have their credit card information on file with her. The credit cards are automatically scheduled to be charged once a month, and the small business owner always gets her money. 

One more word of advice, if you are using credit cards for recurring payment needs, be sure your system can notify you of failed card charges.

keywords:-businesses,serious about growth,small businesses,financial rules, systemized collections process,-Payment expectations,systemized collections process

 © 2008 By Clate Mask

Posted in: Chapter 9- Collect the Cash