If you are in charge of invoicing for your company, you are probably overwhelmed. There is a lot going on behind the scenes and even out in the open when it comes to payments and how to deal with them. It might feel overwhelming at first, but it doesn’t have to be. Here are ways to avoid the common mistakes that businesses make with invoices:
Never reveal what you are charging a current client. It is one thing if they authorize you to do so, but many companies want to keep their expenses private for competitive reasons. So if you feel you are in a position where employees are sharing this vital information, step in to correct the problem before it becomes a bigger one.
Nothing looks more unprofessional than having typos in your invoices. If you don’t take the time to make your billing systems look nice, you could create a negative effect for your brand. Lifelong customers might not say anything, but new ones may get a bad feeling about doing business with you in the future.
Sending It Late
If you want to be paid on time, it goes without saying that you need to ask for payment on time. Sending late invoices communicates that you don’t really care when you are paid. In turn, your customers might let overdue bills sit for days or months before getting around to them. This could really harm your cashflow in the short term.
Not Being Clear on Deadlines
Always get it in writing up front when you have specific milestones and payment release cycles. This helps prevent confusion. It also avoids uncomfortable phone conversations with clients who are late to pay. So have a contract that is signed by both parties, even if it is in a digital form or via email.
When it comes to invoicing for businesses, it is tempting to take shortcuts. It can be a tedious process. However, a small investment in time up front can clarify key outcomes and allow you to really get the most out of your invoicing process. Make sure to avoid the mishaps above and you will be in a better position to grow your brand bigger and better than ever before.