top 7 ways to get paid faster
Doing work for your customers is one thing. It's another to ensure that you're paid, and on time.
Unfortunately for many small businesses, the latter takes up as much time as the work did itself, and it's likely the task that gets done in the evening or weekend to keep your working day free to do jobs (or the other way round depending on your trade) - but in almost all cases encroaches on the time that should be spent doing something else.
So, how do you maximise the chances getting paid faster, without needing to spend lots of valuable time and energy on the task?
The key to getting paid faster is to start with using the functionality of Core Xero. You can then add online payment services to collect payment, as well as looking to the Xero App Store to see what additional add ons are suitable for you.
online payment services - the key to getting paid quicker
Just a few small changes to the way you deal with your sales invoices can make a big impact.
For a quick overview, check out the different payment options available on the Xero App Store
My TOP 7 ways to get paid faster, starting from today!
There are so many reasons why getting paid quicker is good for both the economy & your business. Here are my top 7 ways to start getting paid faster from today…
1 - email your invoices
It sounds simple, but just clicking the email button rather than the print button will not only save time and cost and keep you paperless, you'll get your invoice immediately to your customer, speeding up the whole process.
Cost to implement - FREE
2 - set up invoice reminders
Use the functionality of Xero itself to automatically send emails to customers reminding them that they still owe you money.
Cost to implement - FREE
3 - set up chaser
If you find invoice reminders too restrictive in the number and type of templates you can set up, Chaser does a great job of sending invoice reminders.
Integrates with Xero.
Cost to implement - you’re looking at around £1 - £2 per day.
4 - set up stripe
Having Stripe is ideal when you're not physically seeing your customer again soon. Allow your customers to pay you by card as soon as they receive your invoice - you're more likely to receive payment early if you make it easier for your customers to pay you.
Integrates with Xero.
Cost to implement - usually a small transaction fee, but worthwhile to speed up cash inflow.
5 - set up izettle
If you see your customers regularly, then having a card reader with you is an ideal way of getting paid, there & then (and removes the need to carry lots of cash around).
Integrates with Xero.
Cost to implement - usually a small transaction fee, but worthwhile to speed up cash inflow.
6 - accept standing orders
Ideal when you invoice out the same amount on a regular basis. Standing orders are set up by your customers and they do this via their own online banking. If your invoice amount changes, then the slight drawback is that you can't control the amount of payment taken - your customer needs to change the amount their end.
Cost to implement - your bank may charge you a small fee per transaction.
7 - set up gocardless
GoCardless functions like a direct debit, so you're in control of what you take from your customers once they've signed up and authorised you to take payments from them. Less hassle than a standing order.
Integrates with Xero.
Cost to implement - usually a small transaction fee, but worthwhile to speed up cash inflow.
Ready to start getting paid faster?
For a relatively small price per day (compared to the cost of overdrafts, loans & not having cash available), you can start to create a rock solid automated system that maximises the chances of getting paid faster. All of these ideas are vastly cheaper than either yourself or an employee spending time on the phone or with emails.
Happy Xero-ing folks!