Getting paid on time
Timely payment for goods and services supplied is not only good business practice but also helps to improve relationships between you and your customers.
Late payment of invoices can:
- cause cashflow problems
- lead to reduced profits
- take up valuable staff time chasing payment
It's better if you ask for payment in advance - either in full or in part, ie a deposit.
If you do not, there are ways you can encourage prompt payment after you have fulfilled the order, eg offering discounts and/or ensuring your customers understand your terms and conditions.
This guide will show how you can prevent or reduce the likelihood of being paid late and therefore minimise the chances of having to spend time and money chasing overdue debts. It also includes a section on why you too should pay on time when you are acting as a customer rather than a supplier.
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Subjects covered in this guide