Picture this: it’s your end of year. You’re poring over your spreadsheets, and things just aren’t adding up. You’re pulling your hair out, wondering where you went wrong in your small business’ accounting this year.
Finally, you realize: it’s not your accounting that’s off, it’s your payments. Specifically, you still have a handful of active invoices.
64% of small businesses have invoices that will go unpaid for at least 60 days. Late invoices lead to awkward conversations with customers and frustration over your business’ finances. You can do better.
By now, you might be asking yourself: how can I avoid this in the future? It’s easy. Payment terms and conditions.
These are essential for mapping out your business’ income and customer relationships simply and professionally. If you don’t have payment terms and conditions in place, it’s time to set yourself up for success.
Keep reading for eight tips on how.
Entrepreneurship has many romantic aspects, including setting your own hours and rates. Invoice management is not one of them.
Although not a fun part of being in business, invoice management is necessary. Keeping track of your invoices shows you the work you’ve performed and how much you’re owed. It also helps you keep tabs on who’s paid and who hasn’t.
Managing invoices is no easy task. It takes planning and coordination. But when done effectively, you’ll never be unsure of what you’ve done or how much you should have.
We’ve listed 10 steps to effectively managing your invoices below.
No matter what industry you’re in, one of the most important documents you’ll send (and receive) is an invoice. And whether your business is well underway or just getting started, chances are that some people in your organization are still not entirely sure about what is an invoice?
This crucial document outlines the buyer, the seller, the product or services exchanged, and how to pay the bill. Below we identify the various elements of an effective invoice, and the importance of each.