There could be any number of legitimate reasons your customers aren't paying their bills on time. They may not have received the bill. They could be dealing with an overwhelming amount of debt and shame. Or they may be in the habit of paying after the due date. In any of these cases, your business accounting is affected when your customers don't pay in a timely manner. You can make a few changes to prompt your customers to pay on time.
When starting and growing a business, it's easy to get caught up in activities such as research, development, sales, customer service, and more. Cash management may be overlooked unless you start to feel it where it hurts. A steady and dependable cash flow keeps the lights on and contributes to more investment in your business. Managing recurring revenue streams or accounts receivable must be made a priority.
Here are 4 important reasons to stay on top of your accounts receivable.
A 2017 TransUnion Healthcare analysis revealed that 68% of patients with $500 or less in medical bills did not pay the full balance in 2016. This trend is expected to rise to 95% by the year 2020. As a healthcare provider, patient care and treatment is the primary reason for doing what you do. Unfortunately, many patients will not seek treatment or continue care if they are unable to pay their bills.
With higher health insurance deductibles and patient responsibility affecting payments and treatment, how can healthcare providers collect payments and continue to provide quality care?
Zombies may have a frightening connotation but for many American consumers, zombie debt is downright terrifying. Haunting individuals who are doing their best to pay their bills on time and rebuild their credit score, zombie debt eats at the brains of those who want to put to rest long overdue debts that they thought were resolved.
What is "zombie debt" and Is It a legitimate collections practice?
Business-to-business (B2B) relationships and collections are more complex than business-to-consumer (B2C) relationships and collections. In a B2C environment, there could be thousands of consumers working with or purchasing from the business. Commercial relationships go much deeper than that, where the business itself works with fewer customers, the sales cycle is much longer and results in larger invoice amounts. An unpaid B2B invoice could pose more of a challenge to a business' cash flow than an unpaid invoice from a consumer.
There are Collections differences between B2B and B2C. Understanding these will Highlight b2B Collections Best Practices.
Topics: B2B Collections
Property managers and landlords are continually barraged with things to do. From filling properties with quality tenants, to managing those tenants and properties, to collecting from late-paying tenants, there has to be a way to manage ALL THE THINGS. Property management software is literally designed to make a property manager's life easier. As with any technology, the benefits must outweigh the costs. Is it time to invest in a software program to manage your properties?
What are a property manager's clues that it's time to invest in software?
Collecting payments on time from your customers is definitely good for business. While this statement seems obvious, there are far too many businesses that don't make the process easy or consumer-friendly. With e-commerce, you may find customers leaving their online shopping carts without paying. Healthcare customers may fall behind on payments. Tenants may consistently pay rent late.
It is possible to collect more with the use of modern technology and flexible payment options. Here's how.
One of the questions most asked of BYL Collections during onboarding of new accounts is regarding credit bureau reporting. Obviously, our credit and collections clients understand how credit bureau reporting may actually prompt a call or payment from a customer. When we take on the responsibility of recovery of an account, we also plan to report the bad debt to the credit bureaus. To facilitate that reporting, however, our clients must have supplied us with the information that the credit bureaus require.
With the recent hurricanes and wildfires, CNBC reported from FEMA that 40% of small businesses never reopen after a disaster. In fact, a CNBC and SurveyMonkey survey found that most small businesses owners do not consider the environment as a factor to the future of their business. The unfortunate truth is that some of these natural disasters aren't predictable so it's no surprise that entrepreneurs aren't thinking about them. While there are plenty of disaster recovery technology solutions to keep your business open, our focus will be on the safety of your accounting records.
Here are steps to keep your accounting records safe during natural or unplanned disasters.
Topics: Small Business
The typical American consumer may not associate the terms "customer service" and "debt collection". In actuality, the better a debt collection agency is at customer service, the more successful they will be. With a change in mindset, and a lot of patience, a debt collector's call can actually be helpful and pleasant. After all, the goal is to assist the customer.