Comments on: Take the pain out of invoicing http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/ Editors from FSB magazine answer your pressing small-business questions. Sat, 07 Nov 2009 04:49:19 +0000 http://wordpress.com/ hourly 1 By: Dan Hulton, Ottawa, Ontario http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-2041 Dan Hulton, Ottawa, Ontario Wed, 04 Nov 2009 21:15:02 +0000 http://askfsb.wordpress.com/?p=517#comment-2041 Also consider Bill On Site (http://www.billonsite.com) - a service I just launched this week! Bill On Site is a full-featured web-based invoicing system, with a unique twist: you can use Bill On Site on your mobile phone, enabling small business owners to send invoices to their customers while still on their client's site. All you need is a semi-recent phone – one with a web browser on it – and internet access on your phone. If your business involves you being on the go, it could be the answer to your problem directly. Also consider Bill On Site (http://www.billonsite.com) – a service I just launched this week!

Bill On Site is a full-featured web-based invoicing system, with a unique twist: you can use Bill On Site on your mobile phone, enabling small business owners to send invoices to their customers while still on their client's site. All you need is a semi-recent phone – one with a web browser on it – and internet access on your phone.

If your business involves you being on the go, it could be the answer to your problem directly.

]]> By: Jon Zalinski http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-1723 Jon Zalinski Mon, 27 Apr 2009 15:38:41 +0000 http://askfsb.wordpress.com/?p=517#comment-1723 Maybe consider an ECM solution. This will automate and store all of your accounts. It sill also link information from one departmant to another. It also solves you document retention needs. No more storage of paperwork and all of the information is accessable. I've seen a unlimited seat, hosted ECM solution for an affordable $325 per month. Maybe consider an ECM solution. This will automate and store all of your accounts. It sill also link information from one departmant to another. It also solves you document retention needs. No more storage of paperwork and all of the information is accessable. I've seen a unlimited seat, hosted ECM solution for an affordable $325 per month.

]]> By: RIS PACS http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-1628 RIS PACS Wed, 25 Mar 2009 03:35:21 +0000 http://askfsb.wordpress.com/?p=517#comment-1628 http://blog.ariamedical.com/72/mri-breast-cancer-mammograms/comment-page-1#comment-3090 http://blog.ariamedical.com/72/mri-breast-cancer-mammograms/comment-page-1#comment-3090

]]> By: Aaron, St. Peters MO http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-918 Aaron, St. Peters MO Sat, 20 Sep 2008 16:01:40 +0000 http://askfsb.wordpress.com/?p=517#comment-918 Cass Information Systems is the way to go if you have a ton of customers. Cass Information Systems is the way to go if you have a ton of customers.

]]> By: Alex Peterson, New York, NY, www.ecompetitors.com http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-877 Alex Peterson, New York, NY, www.ecompetitors.com Mon, 25 Aug 2008 15:09:22 +0000 http://askfsb.wordpress.com/?p=517#comment-877 The best way is to use your personal accountant. He can work even P/T for you. But if you can’t afford it, so go for Paychecks. This is the known company and they will do a good job for you. The best way is to use your personal accountant. He can work even P/T for you. But if you can’t afford it, so go for Paychecks. This is the known company and they will do a good job for you.

]]> By: Yuliya K, New York, NY, www.ecompetitors.com http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-876 Yuliya K, New York, NY, www.ecompetitors.com Mon, 25 Aug 2008 15:01:47 +0000 http://askfsb.wordpress.com/?p=517#comment-876 I would recommend ADP or Paychecks. They both are good companies, with a good service. I would recommend ADP or Paychecks. They both are good companies, with a good service.

]]> By: Irene eCompetitors, New York, NY, www.ecompetitors.com http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-875 Irene eCompetitors, New York, NY, www.ecompetitors.com Mon, 25 Aug 2008 15:00:08 +0000 http://askfsb.wordpress.com/?p=517#comment-875 In contrast, we use Paychecks already over 6 years and we like it. It has a good service, affordable fees, and they do welltheir job. In contrast, we use Paychecks already over 6 years and we like it. It has a good service, affordable fees, and they do welltheir job.

]]> By: Irene eCompetitors, New York, NY, www.ecompetitors.com http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-874 Irene eCompetitors, New York, NY, www.ecompetitors.com Mon, 25 Aug 2008 14:56:43 +0000 http://askfsb.wordpress.com/?p=517#comment-874 We use the PayChex and I like it. It is affordable, Quick, and easy. We use the PayChex and I like it. It is affordable, Quick, and easy.

]]> By: Tony Vignieri, San Diego, CA http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-841 Tony Vignieri, San Diego, CA Tue, 12 Aug 2008 00:31:59 +0000 http://askfsb.wordpress.com/?p=517#comment-841 Once you get your invoice forms made and you start sending them off, you are going to have another issue to handle: Past due invoices. Here’s some advice from an article published by the <a href="http://www.vistage.com/enrollment" rel="nofollow">executive coaching</a> company Vistage. The expert advice comes from Abe “Walking Bear” Sanchez, President of A/R Management Group, a credit and collections consultant. According to Sanchez, past due customers fit in three categories. <strong>Slow payers</strong> are good, stable customers who have the ability to pay, but they pay slowly as a means of practicing cash management. In essence, they use you as a means of short-term financing. "The strategy with slow payers is simple -- call early and call often," says Sanchez. "Become the squeaky wheel that firmly and politely ask for payment. Do your best to keep them current.” <strong>Problem payers</strong> have either systems or financial problems. Systems problems involve some glitch in the process that prevents the customer from paying on time. “As soon as you discover a system problem, track it down and fix it immediately,” says Sanchez. “If you let it build for a long time, it can take a lot of reconciliation to collect your money." Become a detective. Dig up all the facts and fix problems immediately. For client’s with minor financial problems, express a willingness to work together while selling them on the benefits of continuing to buy from you. Clients with serious financial issues should be cut off at once. If you continue to do business, put them on C.O.D. only. <strong>Avoidance payers</strong> are customers who deliberately try to avoid payment. They enjoy beating others out of their money. They refuse to cooperate and won't return phone calls. They lie and blame the problem on your systems. They break arrangements and skip out on you. Fortunately, avoidance payers represent the smallest percentage of unpaid collectibles, usually less than one percent of total receivables. Yet, most companies adopt an "enforcement of payment" mindset and spend far too much time and energy chasing this small category. Identify this group as early as possible and cut them off immediately to limit your loss. Then put them in the hands of a third-party collections professional. <strong>What to say when you call </strong> In collections, the decision maker is the person who can tell you when you will get paid and why. Often, the person who cuts the check doesn't make that decision. To find out why payment has been delayed, get to the person who decides when payment goes out. Start the conversation by saying, "Hello. I'm Joe Smith from ABC Company. Our records show that invoice #123 dated January 1 is still open. Can you help me with this matter?" Ask questions and listen closely to what the customer tells you. Use the conversation as an opportunity to make sure your information is up-to-date. Pay attention to how much the customer cooperates or resists. If they withhold information, you may have an avoidance payer on your hands. Get a firm commitment from the customer on when they will pay you and use a contact management system to follow up. <strong>Other Collections Tips</strong> To improve your collections efforts, Sanchez recommends the following: <strong>Start early.</strong> Contact all delinquent accounts within three to five days of becoming overdue. Waiting 60 or 90 days has a strong negative impact on cash flow. Plus, banks will not lend money against those receivables. <strong>Call the largest accounts first.</strong> Don’t call delinquent accounts in alphabetical order. Go after the customers that owe you the most, first. <strong>Keep a log to track your systems problems.</strong> This also allows you to constantly upgrade your business processes and become more efficient. <strong>Call at the right time.</strong> The best time to call commercial accounts is on Monday morning. Start calling personal customers on Thursday and go through Friday, when people usually get paid. <strong>Get the right person for the job.</strong> Use outgoing people who enjoy interacting with others and talking on the phone to make collections calls. When you have effective collections you improve your cash flow and build stronger relationships with your customers. Once you get your invoice forms made and you start sending them off, you are going to have another issue to handle: Past due invoices.
Here’s some advice from an article published by the executive coaching company Vistage. The expert advice comes from Abe “Walking Bear” Sanchez, President of A/R Management Group, a credit and collections consultant. According to Sanchez, past due customers fit in three categories.
Slow payers are good, stable customers who have the ability to pay, but they pay slowly as a means of practicing cash management. In essence, they use you as a means of short-term financing. "The strategy with slow payers is simple — call early and call often," says Sanchez. "Become the squeaky wheel that firmly and politely ask for payment. Do your best to keep them current.”
Problem payers have either systems or financial problems. Systems problems involve some glitch in the process that prevents the customer from paying on time.
“As soon as you discover a system problem, track it down and fix it immediately,” says Sanchez. “If you let it build for a long time, it can take a lot of reconciliation to collect your money." Become a detective. Dig up all the facts and fix problems immediately.
For client’s with minor financial problems, express a willingness to work together while selling them on the benefits of continuing to buy from you. Clients with serious financial issues should be cut off at once. If you continue to do business, put them on C.O.D. only.
Avoidance payers are customers who deliberately try to avoid payment. They enjoy beating others out of their money. They refuse to cooperate and won't return phone calls. They lie and blame the problem on your systems. They break arrangements and skip out on you.
Fortunately, avoidance payers represent the smallest percentage of unpaid collectibles, usually less than one percent of total receivables. Yet, most companies adopt an "enforcement of payment" mindset and spend far too much time and energy chasing this small category. Identify this group as early as possible and cut them off immediately to limit your loss. Then put them in the hands of a third-party collections professional.

What to say when you call
In collections, the decision maker is the person who can tell you when you will get paid and why. Often, the person who cuts the check doesn't make that decision. To find out why payment has been delayed, get to the person who decides when payment goes out. Start the conversation by saying, "Hello. I'm Joe Smith from ABC Company. Our records show that invoice #123 dated January 1 is still open. Can you help me with this matter?"
Ask questions and listen closely to what the customer tells you. Use the conversation as an opportunity to make sure your information is up-to-date. Pay attention to how much the customer cooperates or resists. If they withhold information, you may have an avoidance payer on your hands. Get a firm commitment from the customer on when they will pay you and use a contact management system to follow up.
Other Collections Tips
To improve your collections efforts, Sanchez recommends the following:

Start early. Contact all delinquent accounts within three to five days of becoming overdue. Waiting 60 or 90 days has a strong negative impact on cash flow. Plus, banks will not lend money against those receivables.
Call the largest accounts first. Don’t call delinquent accounts in alphabetical order. Go after the customers that owe you the most, first.
Keep a log to track your systems problems. This also allows you to constantly upgrade your business processes and become more efficient.
Call at the right time. The best time to call commercial accounts is on Monday morning. Start calling personal customers on Thursday and go through Friday, when people usually get paid.
Get the right person for the job. Use outgoing people who enjoy interacting with others and talking on the phone to make collections calls.

When you have effective collections you improve your cash flow and build stronger relationships with your customers.

]]> By: Mitch Taylor, South Holland IL http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-840 Mitch Taylor, South Holland IL Tue, 12 Aug 2008 00:16:11 +0000 http://askfsb.wordpress.com/?p=517#comment-840 I would use ADP over Paychecks. I had a bad experience with Paychecks. I use ADP now and they are good. I would use ADP over Paychecks. I had a bad experience with Paychecks. I use ADP now and they are good.

]]> By: Jason Olson http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-839 Jason Olson Mon, 11 Aug 2008 23:54:38 +0000 http://askfsb.wordpress.com/?p=517#comment-839 My company has 29 employees and we have used the payroll company ADP for 6 years now. I strongly recommed it. My company has 29 employees and we have used the payroll company ADP for 6 years now. I strongly recommed it.

]]> By: Cynthia, Las Vegas, NV http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-838 Cynthia, Las Vegas, NV Mon, 11 Aug 2008 20:50:45 +0000 http://askfsb.wordpress.com/?p=517#comment-838 Our 3-person operation uses a program called MyInvoices & Estimates. We use it only for invoicing and it works perfectly for our needs. You can easily track what's been paid and what hasn't. It gives you the ability to personalize your invoice as well. Our 3-person operation uses a program called MyInvoices & Estimates. We use it only for invoicing and it works perfectly for our needs. You can easily track what's been paid and what hasn't. It gives you the ability to personalize your invoice as well.

]]> By: Jonathan, Boston MA http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-836 Jonathan, Boston MA Mon, 11 Aug 2008 15:45:12 +0000 http://askfsb.wordpress.com/?p=517#comment-836 Intuit also has a great free online invoicing product called <a href="http://www.billingmanager.com" rel="nofollow">Billing Manager</a>. Full Disclosure - I work for Intuit. Intuit also has a great free online invoicing product called Billing Manager. Full Disclosure – I work for Intuit.

]]> By: Jack, Portsmouth, NH http://smallbusiness.blogs.cnnmoney.cnn.com/2008/08/11/take-the-pain-out-of-invoicing/#comment-835 Jack, Portsmouth, NH Mon, 11 Aug 2008 14:46:06 +0000 http://askfsb.wordpress.com/?p=517#comment-835 I don't do anything except sign checks anymore, for a flat monthly fee my accountant does it all. My secretary scans everything and emails to our accountant. They do the rest. www.nebookkeeping.com Best decision I've made. I don't do anything except sign checks anymore, for a flat monthly fee my accountant does it all. My secretary scans everything and emails to our accountant. They do the rest.

http://www.nebookkeeping.com

Best decision I've made.

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