Strategies to Simplify Your Invoicing
You love what you do and that’s awesome!
Whether you’ve just launched a business or have one that is established, you want to spend your time doing what you love and getting paid for it, right? But in order to accomplish both of those goals, you have this pesky little thing called invoicing to be done. Sometimes you are on the ball and send your invoices out immediately and then there are those times that you may have let 1….or 5….slip by and you almost feel bad sending it out because it’s 3 months after you have completed the service. I come across this a lot and enjoy helping my clients with this “daunting” process so that it’s easy and streamlined.
First things first.
If you are a brand new business and don’t already have your invoicing / accounts receivable “terms” set up in your client contract or engagement letter, you will want to do that. Be clear about what you require. Whether that is a 30 day term, or due upon receipt, stick to that plan and outline that in the contract so that there are no questions from your client’s end. If you want to add in a late payment charge, be sure to do that as well.
Automation is your friend.
The easiest way to receive payment these days is through an automated process. Stripe, PayPal & Square, are the big boys. If you are not yet using accounting software to keep track of your business finances (which I STRONGLY suggest), you can easily create an invoice through any one of those payment processing methods and all of them can be set up for recurring payment, if the service you offer your client is more than a one-time thing. Just be sure that you are keeping track of the payments made or not made to you for that matter in a spreadsheet.
If you are using QuickBooks online (QBO) or Xero as your bookkeeping software, you can also take payment directly from your dashboard. The invoicing process is very simple and both software systems have “how to” instructional videos for those of you, tackling this on your own without the help from a bookkeeper.
Here is the link for Xero - https://www.xero.com/ie/features-and-tools/accounting-software/payments/
And here is QBO - https://quickbooks.intuit.com/payments/
Once an invoice is paid, your books will automatically update, so that you don’t have to worry about it. If an invoice was NOT paid, it will reflect in your accounts receivable so that you can take the appropriate action.
It’s really THAT simple!
If you are in need of help, I’m here to help! Email me at DulyNotedVBS@gmail.com