In a business world where only the strong survive, how is your business doing when it comes to keeping a healthy revenue stream going?
Depending on a number of factors (industry you’re in, availability of products you sell or rent, part of the country your business is in etc.), your company may be doing quite well as Q4 comes up in 2016.
On the other hand, this last quarter of the year could prove to be a make-or-break time for you, with lots of pressure going into 2017.
No matter where you and your business stand, one of the definite factors in the business world is that your company, just like thousands and thousands of other businesses, must be getting compensated for the goods and services provided.
That said it is not a big secret that some business owners have to fight and claw their way to getting paid from a number of customers on a regular basis.
Whether it is customers forgetting to make on-time payments, customers that are facing their own financial challenges, or customers that simply decide they’re going to try and get something without ultimately paying for it, it is the business owner coming out on the short end.
Don’t Get the Short End of the Stick
So, what can you do to better guarantee that you will get paid in a timely manner each and every time you make a sale?
For those businesses that make sales out of their facilities or via online stores, they typically get paid right then and there via cash, credit cards, perhaps even checks.
Others, meantime, will bill customers, expecting that they will meet those payment requirements in a reasonable amount of time, be it 30 days or so. These types of businesses are usually medical facilities and doctor’s offices etc.
No matter where your business falls in terms of how your payment structure is set up, it is imperative that you don’t let customers essentially off the hook when it comes to paying you.
Remember, you did not get in business in the first place to basically give people freebies for a few decades.
In the event you have some customers “stiffing you” after a sale, your options are limited, though some are better than others.
Getting What is Rightfully Yours
One positive option is working with an invoicing factoring company.
Such companies will in essence purchase those outstanding payment accounts from you, in turn providing you with the money necessary for you to stay on top of your own financial responsibilities.
As you go about selecting the best factoring company, be sure to keep in mind that you want the right one the first time around.
Just as you would do your homework when buying a property, purchasing a new vehicle, hiring new employees, the same time and effort should go into agreeing to work with other business, especially when it involves your financial well-being.
Look for an invoicing factoring company that offers:
- Experience – How long have they been around?
- Track record of success – What is their success-to-failure ratio in terms of helping business owners out when it comes to customers paying for the goods and/or services they’ve legally purchased?
- Customer service – Do they have a good record when it comes to customer service? As any business owner can tell you, customer service always needs to be a top priority no matter what the business is. Factoring companies that put their clients first and their needs second are the ones you surely want to consider.
While most of your customers will turn out to be good people, people not looking to take you for a financial ride, it is inevitable that some will give you some difficulties when it comes to getting your rightful money.
If you’ve had trouble at times in collecting expenses from some customers, look into the idea of working with an invoicing factoring company moving forward.
The bottom line is that your financial future, both as a business owner and as an individual, they are both at stake when all is said and done.
So that your revenue numbers stay healthy, factor in getting help when necessary.