How to Get Clients to Pay Invoices Promptly
Make your payment policies clear at the time your services are retained., Accept all forms of payment and encourage credit card payment., Get a deposit in advance., Offer a discount if they pay within 30 days or whatever arrangements you make in...
Step-by-Step Guide
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Step 1: Make your payment policies clear at the time your services are retained.
However your business is approved, whether it's by a client meeting, or by you submitting a bid, at some point, your client must agree to your estimated price for the work they want done.
If your payment policies are stated clearly on your contract, bid, or whatever document you use to bind the contract, you are ahead of the game. -
Step 2: Accept all forms of payment and encourage credit card payment.
In this way, you have a better chance to be paid in timely fashion even if the client doesn't have the funds at the current moment.
Shop for a merchant account provider with the best terms. , Unless you have a long-standing relationship with the client, get a deposit in advance, and then plan to collect another portion midway through the job.
Usually, this is 30/30/40
- 30% in advance (to bind you, and to enable you to purchase materials), 30% upon completion of some agreed-upon benchmark, such as delivery of comps (rough sketches, if you are an artist, or small printouts if you make signs or do other design type work, etc.), and the balance upon completion.
Be sure to define "completion" to mean on the day you deliver the work. , Alternatively insert a clause with a penalty amount if an invoice is not paid on time. -
Step 3: Get a deposit in advance.
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Step 4: Offer a discount if they pay within 30 days or whatever arrangements you make in your contract and on your invoice.
Detailed Guide
However your business is approved, whether it's by a client meeting, or by you submitting a bid, at some point, your client must agree to your estimated price for the work they want done.
If your payment policies are stated clearly on your contract, bid, or whatever document you use to bind the contract, you are ahead of the game.
In this way, you have a better chance to be paid in timely fashion even if the client doesn't have the funds at the current moment.
Shop for a merchant account provider with the best terms. , Unless you have a long-standing relationship with the client, get a deposit in advance, and then plan to collect another portion midway through the job.
Usually, this is 30/30/40
- 30% in advance (to bind you, and to enable you to purchase materials), 30% upon completion of some agreed-upon benchmark, such as delivery of comps (rough sketches, if you are an artist, or small printouts if you make signs or do other design type work, etc.), and the balance upon completion.
Be sure to define "completion" to mean on the day you deliver the work. , Alternatively insert a clause with a penalty amount if an invoice is not paid on time.
About the Author
Katherine Hernandez
Committed to making organization accessible and understandable for everyone.
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