Two friends who were also running a business in different parts of the country met after long time, after the initial conversation about family and politics, they came to business discussions, here is a snippet of it –
Mr Ashok – I am fed up of the data entry and mismatch of records due to human error.
Mr Iyer – Oh Man! I am mostly occupied in figuring out “Where the invoices went?” They just disappear!
Mr Ashok – Ohh is it, And how do you deal with clunky records and slow processing of your invoice My Iyer? As it drives me crazy on how I have to keep chasing for payments.
My Iyer – Yeah even I am facing that issue and it results me losing money.
Most of the Business Owners, Enterprises and SME’s could relate to the above tale. In spite of technology expansion and business specific solution, yet businesses find it hard to get paid on time for the invoices.
How To Get Invoices Paid Faster with Automated Invoice Distribution Platform?
Create Accurate and Understandable Invoice
Your Invoice is not just a document, but a key to boost your business with timely payments. So invest some time and research “How effectively you can design an invoice template” that is understandable and easy. Some pointers to mention –
- Invoice Date
- Reference to Purchase Order [in case applicable]
- Taxes and Discounts
- Conditions like late payment charges, interest
- Invoice Payment Date
- Items Description
- Quantity of Items
- Base Price of each item
- Total Amount to be paid in Numbers and Rupees
- Stating Currency for Cross Border Trades
- Bill To Name and Address
- Bill From Name and Address
- Payment Bank Details included
While MS Word or Excel could be an easy tool to create template, Invoice Automation Solution could help your business in using these templates and sending invoice digitally. Many Platform also offer integration with different ERP’s there by making it much more seamless and convenient.
Offer Multiple Forms of Payment Option
With multiple Payment options like Credit Card, UPI, Debit Card, wallets floating around, many individuals are not keen to use all of them. For such buyers you need to offer all payment options and let them choose on which payment mode they prefer.
By offering multiple payment options you are offering them the power to choose that they use and pay on time.
By opting for a digital platform offering multiple payment options to your buyer seems easy, many digital solutions open payment options like
- Pay via Credit Card or Debit Card
- NEFT, RTGS or IMPS mode using Bank Transfer
- UPI Based Payments
We live in a world where we are constantly fed by information. Irony is that even when you goto a bathroom your phone follows. In such information overload how do you “keep nudging” your buyer to pay on time?
Reminders are an easy and fun way of doing it.
However, you need to set/send a reminder that shouldn’t look like you are after your buyer but still able to remind him about his pending dues. In fact in one of the study it is proven that reminders have helped buyers in making the payment on time and increased their credit rating.
Many Invoice Automation Platform offers its users to send customized reminders. In fact, the solutions also as they are integrated with Banks offer Loans or Credit Card or Health insurance for timely payments of invoices.
Reward Early/On-time Payments
How a relationship works? With mutual benefits. Isn’t?
So while your buyer is making a payment on time, you can offer him/her a reward may be in the terms of some discount or as mentioned earlier offering loan, Business Credit Card or Insurance for Health or logistics for his business via Hylobiz
Levy Penalties/Late Payment Charges/Interest
This might seem bit hard, but lets face it, we are into business that runs by money and money value is in NOW. Any delay would affect your working capital, hence it’s good to put in the conditions of penalties, late payment charges or interest applicable in terms and conditions.
In fact, you can also ask your customers to pay in instalments instead of paying late, this way you would have a clear picture of how much money would flow in and you can also help your buyer in releasing the payment in bit-size.
Hylobiz is a Digital-first platform for all your Offline and Online Invoice Payments Collection on Time
Hylobiz is a platform that offers business owners, accountant ,sales and marketing teams a way to get invoices paid faster.Loaded with features of seamless integration to ERP’s and Banks, it could boost your business in streamlining payments and recognizing revenues.
Hylobiz automates manual processes, lowers transaction costs, and speeds up invoice collection.
Here are some of the features Hylobiz offers –
Invoice Collection – Hylobiz Receivables help you digitizing your collection process. You get the power to send your invoices or pro forma to your customers with a secured payment links giving multiple payment methods to your customers to make digital payments
ERP Integration – Access your ERP with our pre-integrated ERP list with Hylobiz or just upload your invoice file to kick start your digital collections with a simple two-step process
Automated Reconciliation – Hylobiz helps you with automated reconciliations of your banking transactions. All your receivables and payables are consolidated and updated in a single report with a Unique Payment Identity Number.
Credit Card, loans and Insurance – Get Business Credit Card, loans and health or inventory insurance. You can also extend these benefits to your customer who pay on time.
If you want to know if Hylobiz and your company can be a perfect match, schedule a free demo today.
Image Courtesy – freepik