Delayed payments are commonplace for every small business. There can be multiple reasons for the delay, however letting this happen is due to a mistake perpetuated from your side is a matter of concern. This therefore needs to be highlighted and there is a need to search for a solution such as an accounting software that will help you to streamline your invoicing and billing processes.
If you are looking for a positive cash-flow into your business, then you must take all the necessary steps to ensure payments are done on time.
Here are some of the common invoicing mistakes which can be avoided by making use of an accounting software
- Forgetting to send the invoice
Small business owners tend to forget to send invoice to the client as owners are playing multiple roles and are multitasking. The transaction may slip out of your mind, causing you major losses. This can be easily managed with a good accounting software.
- Delay in Invoicing
You may have learned your lesson, so now you will be careful to send the invoice immediately. However sometimes due to a string of other tasks that need your immediate attention, invoicing gets delayed. In such a case, sometimes even an honest customer may not be able to pay you on time. Why postpone something so important? If you are using an invoicing and billing software, it will be done immediately.
- Mishandling of a Multi-Currency Transaction
Thanks to internet technologies it has become possible to conduct international business. However, in such a case, the client may expect you to charge them in local currency. Converting and charging in local currency can prove to be difficult especially if you have multiple such clients. This can be easily rectified by using an accounting software which offers multi-currency support. These tools enable you to set customer currency and account for the currency exchange rates.
- Not Mentioning Due Date
When you prepare invoice manually, it is often possible to miss out on including payment due date. If it happens, it leaves you at the mercy of your client, and the payment gets delayed. Therefore, it becomes important that you utilize an accounting software that will help to avoid these small details.
- Not Writing Item Description
When you send an invoice, some of the clients check them against the information they have. That is, whether the item description matches the product/service rendered. If you miss on including item descriptions, they find may find your invoice incomplete leading to delays in payment. You could avoid such a scenario from happening by using a good accounting software.
- Using Generic Invoices
A customized invoice is a branding tool that marks you as a business owner who is conscious of their business image. It clearly showcases how much you value every transaction and that you will do all that has to be done to honor it. Manually prepared invoices do not make the same impact. With accounting software, you can create such professionally made customized invoices. Company name and logo can be added for the right impact.
Thus, from the above, it is apparent that many invoicing mistakes can be greatly avoided if you make use of a good accounting software. Rockford Computers being a market leader is well aware of all the best accounting software and will help your business to setup the one that best suits your requirements. For more information on our services, call us today and we can help your business to digitally transform, achieving best results.