In 2016 we have seen an interesting trend of more and more QuickBooks Desktop users signing up for our collections software. Clearly, there is a real need for automation of effective receivables collections processes.
We’ve responded to user requests who found that they were getting great results with our email functionality – but they offered great suggestions to add even greater user flexibility and functionality when it comes to setting up rules for sending out payment reminders.
You can set up automatic emailing rules based on number of days past due and minimum balances. And to ensure that you protect your relationships with sensitive customers, you can choose from any one of 7 full customizable email templates.
For your added peace of mind, you can also create a list of customers that must NOT be emailed at all.
Great news for Desktop users – you can now store additional email addresses per customer within ARCollect – because we know that the email addresses stores in QuickBooks may not be specific to the correct people who actually process your payments. So now you can store multiple email addresses, and email them a statement in one click.
What’s more, you can attach PDF invoices to your statement!
The above functionality applies to QBO users as well. So if you ever migrate from Desktop to Online, ARCollect is ready for you to use.
ARCollect have partnered with Fundbox to help you through those tight cash flow periods. Get your cash upfront with Fundbox, and use ARCollect to get your customers to pay asap.
Fundbox offers business owners a simple way to fix their cash flow by advancing payments for their outstanding invoices. It takes 60 seconds to apply and requires no paperwork.
Set and forget!
ARCollect lets you automate your payment reminders, so that you can carry on with your business, whilst ARCollect sends out reminders to your past due customers to settle their invoices. No need for you to even sign in: ARCollect works 24/7!
Five Top Tips for improving your cash flow right now
- Change your view of credit management: credit management is not an obstacle to sales. Remember – if you don’t get paid, a sale is not a sale. Get your sales team on-side, and get them to communicate with the admin team. Align the interests of your sales team with the interests of the collections team by withholding commission payable until the customer has paid you.
- Once you have extended credit to a customer, you are no longer just their supplier. You have become their banker. Think like one. Keep track of their payment habits. Keep notes, and track their payment history. Assess the risk and the return of each customer.
- Chasing payments and absorbing the cost of late payment or non payment can damage your profitability and you cash flow. Make sure you are in constant communication with your customer. The longer an invoice remains unpaid, the less likely you are to get paid.
- Take the time to create a routine for invoicing and collections and stick to it. Organisations like to delay payment, so don’t appear disorganised. Send them friendly (or not so friendly) reminders, and keep track of all conversations.
- If you sell on credit, your most important source of cash flow are your accounts receivable. Generating an accurate cash flow forecast is time consuming. Find a software tool that works for you, and then use it. It will pay for itself over and over again.
Favourite Quote for today:
“Success is the sum of small efforts repeated day in and day out.”
– Robert Collier
Here are five signs you’re well positioned to succeed at the art of collecting your receivables.
1. Remember: you’re in the people business.
Lots of admin folk get caught up in their admin duties, and forget that they’re in the people business. Make that call and ensure you connect to the individual person responsible for paying your invoices.
2. Focus on the results, not the effort.
The collection game is about getting results. Admin people often spend time kidding themselves about doing busy work and don’t make contact with customers who are overdue.
Your success in receivables management is about getting results and that means getting a promise to pay. A great administrator knows how to get the customer’s attention and request payment in a way that causes the customer to send you their check on the due date. Don’t confuse results with efforts. The outcome of a successful call to a customer who owes you money is a promise to pay. You don’t try to get a promise to pay: you either get it or you don’t.
3. Do the uncomfortable thing.
The best collectors are willing to throw themselves into harm’s way. So convinced of their right to get paid, they are willing to get in front of the tough customers, ask the hard questions and go for the money that is rightfully due to their company.
Always call your toughest clients first and keep calling on them long after everyone else has given up. Once a month, make a list of your company’s most difficult customers and create an attack plan on how to get those account paid. You can’t bring the big cash flow home without getting into the deep waters where the big fish swim.
4. Wow the customer.
Great admin people look for ways to inspire a customer’s emotional involvement and create the urgency to make payment. When you wow a customer you make a difference and cause them to want to settle their outstanding invoices.
5. Ask for the promise to pay.
This may seem very simple, but most collectors never ask for the exact date and amount that the customer will commit to paying. Hard to believe, but true. If you don’t ask, you will only get paid by those who are going to pay regardless.
Keep track of every time you ask a customer to pay. This keeps you focused and increases your collections.
If you’re taking strain at work perhaps the answer is not to find a new job, but to get yourself into shape – step by step.
A lot of people are waiting to start their exercise regimen just as soon as they get time to do it. As if that is ever going to happen. Make time, don’t wait for it!
- The mistake is in thinking that you need a whole lot of time. Why not aim for no more than 5 minutes a day, 7 days a week.
- What can you do in five minutes that will get your heart beating above the base line – no matter where you are, no matter what the weather? You can skip – no rope required.
- Guess what – if you’re out of shape, 60 seconds of skipping will get your heart pounding. And it will give you an energy boost. Go ahead. Get off your chair and try it right now.
- Set your sights low – the key to maintaining an exercise routine is to ensure you can do it no matter what the weather, and no matter where you are. Try this right now – get up and stretch!!! Just stretch. You’ll surf that wave later.