How to Easily Avoid Billing Problems with Clients

Every business will want to enjoy a long-lasting relationship with their clients; after all, it’s proven that retaining clients is more cost-effective than finding new ones. Keeping your clients happy is, therefore, a crucial element of curating a successful business, and all matters need to be taken seriously, especially when it comes to billing them. Fortunately, there are tactics and technologies you can use to handle the request with grace. Find out how to avoid billing problems with clients.

Late bill payments

Introduce a Late Payment Policy

Avoid late payments by introducing a late payment policy, which will encourage clients to pay a bill once the work is complete immediately. Any company considering constructing a late payment policy should seek legal advice, as fees should not exceed 10% in most US states.

Agree on Payment Terms Upfront

Ensure there is no confusion from the start by being crystal clear with your clients regarding the payment terms. Not only should you provide them with information regarding their fee, but you should also detail down payment terms and late payment penalties. Confirm they know exactly how long they will have to pay an invoice before they incur additional charges. It might also be a wise decision to encourage clients to sign a page within a contract stating they understand the payment terms.

A Merchant Billing Direct Payment Platform

Merchant billing will provide a hassle-free way for clients to pay an invoice. It is also a secure payment method, as the payment will be placed via an encrypted channel using the customer’s credit or debit card. You can learn more about easy to use peer-to-peer platforms with Cambr, which can be integrated with any payment platform.


Avoid Using Industry Jargon in Invoices

Keep invoices plain and simple to avoid overcomplicating the payment process, which means not using industry or in-house jargon. This will ensure your clients know exactly what they are paying for and how much they need to pay. For example, avoid “15wh” and write 15 hours of labor. If you don’t, you may have many clients telephoning your company to know what services they have been billed for and why.

Notify Your Clients Once You Have Received a Payment

Avoid payment confusion by notifying your clients once you have received their payment. For example, you could send an alert to their account or email address stating you have processed the transaction. If possible, provide a feature that allows clients to track any payments they have made for their own knowledge, which will improve client satisfaction and encourage trust in your business.

Offer a Discount for Early Payments

People love to save money, which is why you can incentivize clients to pay on schedule by introducing a discount for early repayments. As a result, they may get into the habit of paying before the due date or on-time, so you will never need to chase up a late payment and can maintain a positive relationship.

Do you have another top tip for receiving payments on time from clients? Have you got a story or opinion to share? Tell us all about it by writing a comment below.