Building Long-term Value: Plan on It
"Everything has a price, as the saying goes, but a lot of p...
Our secure browser is a convenient gateway to applications provided to our commercial clients. It offers the confidence of layered protection through secure site access, malware prevention and one-time passcodes delivered via text.
Company culture, cute offices, and collaborative environments are great things for small businesses to have. But healthy cash flow is absolutely essential. So whenever someone comes up with empirically-based, simple ways to get paid faster, small-business owners sit up and listen.
Which is, handily, just what FreshBooks has done. Due to the nature of its business, the cloud-accounting company is in possession of not only reams of real-world invoices, but also plenty of hard numbers on exactly how quickly they were paid. So earlier this year, FreshBooks sifted through this data, plotting certain key phrases against the quickness of payments, to determine what phrasing works best to get you paid quickly.
It turns out simple changes can make a big difference. If you want to get ahold of the cash you're due more quickly, Freshbooks recommends:
What exactly does all of this mean for your business? According to Freshbooks, the final takeaway is two possible wordings for your invoices. If getting paid quickly is most important to you, the company suggests adding this line, or something very similar, to your invoice: "Thank you; we really appreciate your business. Please send payment within 21 days of receiving this invoice."
If your company has slim margins and getting paid every nickel you're owed trumps getting invoices paid a bit quicker, then think about adding interest to late payments with phrasing like this: "Thank you for your business. We do expect payment within 21 days, so please process this invoice within that time. There will be a 1.5 percent interest charge per month on late invoices."
Source: "3 Ways to Get Paid Faster," Inc.
Salem Five Web Cash Manager provides you with access to your money and account details anytime, anywhere. Keep your business's finances at the tip of your fingers with robust features to help you manage your accounts the way you need to. Web Cash Manager lets you view account balances and transaction details, transfer funds and pay bills, store merchant information to save time paying regular vendors, pre-program bill payments or fund transfers for scheduled dates, and much more.
Learn more about Salem Five Web Cash Manager