Pic’n’Mix in Getting Paid on Time
Earlier this week, the short video below went out questioning what you can do as a business owner in getting those unscrupulous debts in especially as December was tight and January is looking likely to be even tighter.
Here are five steps that you can take in getting down those unpaid invoices:
What is the reasoning behind those not paying you. Majority would come back with cash flow being tight, but may be other reasons too that you haven’t considered – are they having personal struggles meaning that they cannot concentrate on the business, and/or are they waiting to be paid directly from their end.
Sometimes forcing one’s hand may not be the solution if you are forecasting for payment to come in sooner. There might be other creditors hitting them down. Please see Point 1 as there may be some other things going on.
3) Break it down
It might help both you and them if you break down the debt so that you both get something out of it to create a win-win situation. Set up a payment plan – a) you get paid and b) you ease their worries.
No point ruining the relationship by making demands unless you want to kiss goodbye to future business. Yes, they may be annoying you – but look back at Point 1 and think there might be a bigger picture here that may not seem as to what your client current or past would be telling you. Is this contradictory of the remaining points – well it may be, but it is up to you to gage (engage, or disengage) as to how you would like to steer the cash in getting paid from your business.
To avoid seasonal changes from occurring in the future, there will always be months in the future to avoid these kind of circumstances from occurring – what are you going to overcome that, such as when those go away during the Summer Holidays and/or as we are coming out of Christmas now. These seasonal changes are here to stay.
Help is always at hand and combined you can set up a system so as to safeguard yourself from any of the above issues now and into the future to avoid cash flow demons stalling you and your business further.
Any of the above strategies can be used to as a standalone and/or together but it is always best to get an Expert on board if you are struggling to get your debts in.
If you are in this frame of mind, then rest assured you will need someone who is very Risk Averse of not only good clients, but what to do to avoid falling into debt in the first instance.
If you need to have a further conversation then give me a call on my number for a FREE NO OBLIGATION CHAT
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