Common Mistake #6 – Invoicing as an after-thought

Too busy to invoice or send statements?

Do you issue invoices promptly and regularly, and as soon as work has been completed or goods delivered?Invoice

Work-in-progress:

Do you have too much sitting in work-in-progress that could be invoiced and collected?

Are you letting your debtors slide?

Do you have a system in place to alert you if an invoice is overdue? Do you review customer payment terms? Do you check credit worthiness of new customers? Are bad debts eroding your bottom-line? Do you have a plan to get debtors to pay on time?

Solution:

Invoice > Revenue > Cash-flow.

Simple yet how often neglected. With proper systems and disciplines in place, and using the right technology, you’ll invoice promptly – and possibly even collet on the spot. Your bookkeeper will get statements out early and run reports that alert you to overdue debtors.

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