When you run a business, invoicing probably isn’t your favorite part of the job. It’s easy for invoicing to become a time-consuming task. Luckily there are many methods you can implement to make invoicing less of a headache. If you find that invoicing is taking too much time, here are seven tips on how to accelerate invoice processing.
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1. Keep Track of Time Accurately
An important part of streamlining the invoicing process is to make sure you are tracking time accurately. You don’t want to go to invoice your clients only to realize you don’t have accurate hours. Implementing a digital time tracking system can help you keep track of time worked down to the second.
Time tracking systems can help you keep track of your employees’ time worked as well if you need to factor that into your invoices. This can also help ensure that you never miss out on profits since all of your work is recorded.
2. Get Rid of the Paper
The first thing that you have to do to accelerate invoice processing is to go paperless. Not only will it reduce clutter, but it will save you tons of time, and printer ink. When you print paper invoices, you have to make sure you have the addresses of the businesses you are sending them to. Then you have to mail them out and wait for your clients to pay those invoices.
When you go paperless you can easily email invoices to clients. This is the first step towards getting to an automated invoicing system as well. So first things first are you have to bring your business online and go paperless with your invoicing process.
3. Get the Right Contacts
You don’t want to waste time wondering if you’re sending your invoices to the right person. When you start a project, take down the correct contact information of who you need to send your invoices to. Once you go digital, you can keep track of all of your contacts and seamlessly implement them into your digital invoice system.
4. Bulk Invoicing
Instead of sending out invoices to individual clients at different times, try sending out your invoices in bulk. When everything is digital, you can create a set schedule to send your invoices out. You can either consult your clients or figure out the best times of the month to invoice them. Or you can set a specific date and let your clients know that that date is when you send your invoices out. This will make it easier to keep track of your invoices as well since they will all be going out at the same time.
5. Make It Clear
To avoid any mistakes on your end and prevent your client’s misunderstanding of an invoice, make sure it is clear. You can find tons of templates for clear and easy-to-read invoices online. Also, make it simple. You want to make sure you are making it easy for your clients to pay you. By having a clear and easy-to-read invoice you are also decreasing the chance of making mistakes.
6. Implement Late Fees
If you tend to run into clients who pay your invoices late, you should try implementing late fees. Having a late fee that a client will have to pay if they avoid your invoice should push them to pay on time, every time.
Alternatively, you can offer incentives for clients that would like to pay your invoices earlier than your due dates. These incentives can be discounted rates or discounts on future projects.
7. Keep Updating Your Systems
As new technology comes out, you will want to keep updating your invoice system. Your business can only grow if you implement the right tools to make that happen. You should always be looking for ways to grow your business and assess how you can be doing things better. If you want to make more profits, you’ll want to update your invoicing system so you’re always making the most of your time on the job.
Invoice processing doesn’t always have to be a hassle. With these helpful tips, you should be able to streamline the invoicing process and get the earnings you deserve in a timely manner.