Rule One of Business: Get Paid
Posted in Uncategorized on 05/25/2010 08:18 am by Arrrr !!!Getting paid, just as you would understand is vitally fundamental at your business because if you aren’t being paid, why are you in business?
You might be surprised at the heaps of business people who allow their clientele to pay them when and if they get around to it. I am acquainted with such a tradesman who continuously collects bad debts like awards. How is that? Very possibly because he won’t bring himself to demand the payment and people can just overpower him.
If you let a client credit, do so only after they proved themselves to you by paying cash on delivery (COD) for some period. Secondly, you can gauge whether they have the cash to pay you - otherwise do not do business with them. Don’t push yourself into the line of “I need the work” or “I need the sales”. It’s pointless to do the job or providing the goods for nothing if you don’t get paid.
If you are the kind of person who can’t demand the money even after the work has been finished, try these tips:
Tell your customer that when the service is done, you will require cash or cheque. They should probably have it on them at the transacation and you don’t need to demand your pay.
When you send out an initial quote, be sure your payment terms are simple.
Create an invoice that has the terms of payment clearly listed and hand the customer the invoice when the service is finished up. They should take the invoice and immediately realise they should pay you the money now without you being required to say a word. Invent a “cruel boss” who might burn you alive if you don’t leave with the fee for the work.
Ask your bank to provide you with Merchant facilities so you can use credit cards like Mastercard and Visa. Most people own credit cards and it would solve the issue of the customer not holding a cheque account or not having the cash in their pocket.
Otherwise, don’t be frightened to hold the goods till you’ve been paid. Know, until they’re paid for, they are still yours.
If you decide you’re going to allow someone credit, make sure you have got the following contact information about them some time BEFORE you allow them credit.
- Name
- Address
- Phone number
- Bank name and address
- Account no.
- 3 trade references with their names, addresses and phone numbers
When you possess all this detail, contact the bank branch and make for sure that they operate an account with them. Then, phone each trade reference and request if they pay their invoices on time or if they have had any difficulties with them.
Most people will be willing to tell you if the person is troublesome. If everything is OK, allow them a moderate level of debt, say no more than $500 (depending on your business). Monitor the operation of the account for a few months before allowing this amount to be exceeded.
If you’re looking for a Brisbane web design company or Brisbane SEO company, talk to Search Tempo. Check out their SEO prices today.
Sphere: Related Content
Step 1: Do your research