Business

WHY CLIENTS

The client was happy with the quote. Your work was excellent. But they haven’t paid and it’s now more than a month since you sent the invoice. If this happens in your business, you’re not alone.

Despite all the things that can go wrong when collecting money you’re owed, there are three reasons that dominate why clients don’t pay.

Invoice Details

Make sure your invoice contains all the detail necessary to get paid: • Include the full legal name of the client (eg. ABC Pty Ltd instead of “Bob Smith”). • Ensure you include your ABN on the invoice, the title “Tax Invoice” and specifically disclose the GST amount. • For larger clients, they may also require a purchase order (PO) number (some organisations require “Bob” to obtain permission before they spend with you).

Know Who Pays

Make sure you have the contact details of the person who pays invoices: • “Bob” may forget to pass the invoice onto the right person.

• A change in your client’s personnel may mean an email address isn’t checked regularly. • Learn their business processes. If they only pay invoices received by a certain date each month, make sure you submit them in time.

Bank Reconciliation

You might invoice clients many times a month. It’s important to know which invoices they’ve paid otherwise you may end up in an uncomfortable conversation. Being able to identify missing invoice payments lets you have a more focused conversation about the outcome you need.

If you have these three areas covered, what you’re left with are those invoices that require some external expertise. And that’s where we come in.

We’ll help you find the best way of turning slow payers into quicker ones and help you navigate the complexity of debt resolution for those debtors who prove more troublesome. We have 46 years of experience to back that up.

Article supplied by Assure Global Plus

KEEP TRAINING AND STAY AHEAD

Our industry leading training will help you get ahead of the game, and stay there throughout your career.

STC offers industry-led apprenticeship and post-apprenticeship training in commercial plumbing, mechanical services (air-conditioning) and fire protection.

Contact us to find out more about the courses we have available in-person and online! Ph: 1300 222 727 Email: info@tstca.com.au