Are you currently trying to find your footing in the freelancer economy or a small business? Do you want to take advantage of all the fabulous invoicing tools available to meet each customer's needs?
If you're like most freelancers or small business owners, you're likely tangling with getting your invoicing system set up and running. Here are some tips and tricks that may assist you in automating and streamlining the invoicing procedure.
Develop Your Brand
If you haven't already, develop your brand. Your logo, your font, your company colors, etc. After you decide on a style and color scheme, you can use this for anything from invoices to promotional materials.
It's likely that this could take some time, so be patient and take your time. The finished product can communicate your style and professionalism instantly, provide a great starting point when creating invoices, and also give you an edge in making a great impression on potential customers.
Choose the Right Invoicing Software
Finding the right invoicing software can be a daunting task, especially as a freelancer and small business owner. There are a dizzying array of invoicing software available, from free apps to paid software packages.
The perfect software for you is out there. Start by writing down your key requirements, such as e-commerce capabilities, and research the top invoicing software tools.
Be sure to explore the features and capabilities of each software, such as the ability to add taxes and discounts, customize invoices, track historical invoices and payments, and generate custom reports. Finally, try a free trial before you decide on the right invoicing software for you.
Get Started with Templates
Invoice templates consist of a framework to customize and make invoices easily. Most invoicing software has pre-defined templates which you can complete with your company information, especially your logo and contact information. All from the comfort of your office, you can complete online invoicing templates.
Having the ability to use invoice templates can allow you to quickly move from one invoice to the next, as you don't need to add all the information each time. Alternatively, you may build customized invoices and save them as templates for future use. Make sure you take advantage of applying templates to save time and ensure that all of your invoices have a consistent look.
Claiming Your Payment Upfront
In theory, when a customer receives an invoice, you should have the payment in hand before all of the work has been completed. In most cases, it's not reasonable to demand a payment from the customer before rendering services or delivering products. The customer will want to see what they're getting before paying for it.
Therefore, it might make sense to implement some kind of upfront payment system. One way to achieve this might be to have customers pay a deposit immediately. This deposit can cover your upfront expenses and can be deducted from the total invoice amount. With this system, you are guaranteed at least a portion of the amount due upfront before you begin any work.
Automating Your Invoicing System
Automating the invoicing process is the key to success for most freelancers and small business owners. Automation eliminates the tedious tasks that can come with manual invoicing. With an automated invoicing system, you can set up regular invoices to be sent out to customers and keep track of payments with ease.
Make sure to utilize an invoicing software that lets you customize each space within the invoice. With various invoice fields, you'll be able to add as many details as needed to get paid on time. Such details like payment terms, invoice due dates, and customer profiles can all be automated and incorporated into your existing invoicing system.
Zero Tolerance for Late Payments
When the deadline is reached, ensure you notify your customer with late fees. Some businesses hesitate to incorporate late fees because of the fear of alienating customers. It is understandable that you want to retain customers and build relationships but don’t let that cloud the fact that you deserve timely payments for your hard work.
Late fee payments can assure you get the full payment for your services as customers often prioritize paying their invoices once they know they have to pay a penalty for being late. That’s why it is important to be clear on your payment terms and policy.
Spreading the Word
Last but not least, it's important that you spread the word (quite literally). You want to let your customers and potential customers know that invoicing is simple and easy. When they know that they can quickly make a payment, they're more likely to make it.
You can accomplish this by setting up an email or mailing list and providing clients and customers with regular updates related to your business and invoicing. Additionally, you can use a contact management system to store the email addresses of your customers. With an invoicing software, you don’t need to manually send out invoices. The system will be able to do it for you, saving time that can be invested in getting the word about your business out there.
Conclusion
Invoicing can be a time-consuming and stressful process, but it is necessary when managing your finances. Thankfully, modern technology has enabled freelancers and small business owners the ability to automate the process and remain organized with invoices.
By following these tips and tricks above, you will easily take control of your invoicing process and be confident that your efforts will pay off with timely payments.
