Isn’t it ironic that often the hardest part of running a business isn’t the work itself but collecting payment at the end of it?
Getting paid should be quick, easy and straightforward, but for so many companies up and down the country, this is far from the case. In fact, it’s thought that more than 1 in 5 insolvencies are primarily caused by late payment for goods or services* and the UK and Ireland are both in the top 5 European countries for payment delays**.
Late payments are bad for business; they create cash flow problems, hinder growth opportunities and can put working relationships at risk. The truth is, even if your business is booming, if your payments aren’t being collected on time then you won’t feel the benefits of those profits for a long while to come.
Yet despite the negative impact, here in the UK late payment is something that has come to be expected – for most of us, it’s now simply the norm.
Except…it isn’t, and unpaid invoices aren’t something you as a business should have to suffer from!
Before you feel the need to start looking into borrowing options such as factoring or invoice discounting to ease the pressure of tight cash flow, you might want to consider Paycada as a low-risk, long-term solution for your business.
Re-claim your invoicing process
The problem with chasing late payments all the time is it can very often feel like the ball is in the customer’s court, and your accounts are at the mercy of if and when your customers get around to making a payment.
It’s an unsettling position to be in, and it makes planning ahead much more difficult than it needs to be too.
Paycada uses strategic, cleverly-written reminders sent to customers at times proven to be most effective to encourage fast payment in advance of any payment deadlines. Designed to put you back in control of your invoicing process, it makes payment quick and easy for customers who can pay directly via the customised payment portal through a link sent in an email or message.
Your customers are much more likely to settle their invoices promptly and on time when payment is made easy and straightforward; Paycada removes all barriers and streamlines the process by taking away clunky payment systems, irregular communications and lengthy invoice processing times.
Plus, it’s free, user-friendly and sits comfortably alongside XERO, so there’s no need to change your existing accounting system.
Retain the personal touch
Of course, there’s no one-size fits all approach when it comes to customer relations, and what might work for one customer in terms of tone, regularity of communications, and level of familiarity won’t be right for all.
With the ability to adapt to customer behaviour, Paycada means you can stay in control of those customers you want to chase payment for, and those that you don’t.
Paycada can be tailored at every stage so you can be confident that every interaction with your customers is tone-appropriate and works to strengthen your customer relations, rather than put them at risk.
To find out more about how Paycada seamlessly fits into your existing accounting processes to make it easier to get paid faster, please do get in touch - I’d welcome a conversation with you.
*https://www.r3.org.uk/press-policy-and-research/r3-blog/more/28738/page/2/late-payment-causes-effects-and-solutions/
** https://www.credit-connect.co.uk/news/uk-and-ireland-among-top-five-worst-in-europe-for-payment-delays/
