Getting paid can be difficult because a lot of times, we EventPreneurs have to handle everything ourselves. If you’re having to send out and process your own invoices, you probably find you have to wait a long time for the event payments to come through. This can have a negative effect on your business cash flow, and so to help avoid this, here are 7 tips on how to get paid faster.
1. Make sure your contracts are crystal clear
Not only should you include a due date for payment, but it might be necessary to include some information on what the next steps would be if payment is late. This could be as simple as charging interest on late payments. Alternatively, set your payment date back a few days to ensure you get it sooner.
2. Use mobile payment methods
Using Paypal, or an invoicing app that allows electronic payments will certainly speed up things. Providing your customers with options for different payment methods gives them less incentive to hold off, and clicking a few buttons is much easier than writing a check.
3. Send invoices regularly
One of the easiest ways to get paid faster is to have a regular invoicing schedule. How frequent this is can be down to you, but obviously the faster you send invoices, the faster you’ll get paid.
4. Request a deposit
It’s perfectly acceptable (and best practice) to request a deposit upfront, especially in our line of work. Customers will be fine to pay a deposit, and it means you can usually set shorter payment times because there’s less money to pay.
5. Make sure your invoices are detailed
It’s essential to give customers all the information they need on an invoice. Breaking down your services into clear sections helps avoid confusion, and means customers will be happier to make their event payments. It also helps to avoid delays due to communication.
6. Set up regular payments when possible
It won’t be applicable to every client, but as an event planner it’s possible that you will be doing work for the same people regularly (think retainer). If this is the case, agree to set up regular automatic payments through direct deposit or recurring paypal payments to save any delays.
7. Make sure you set reminders for invoices
It can be easy to lose track of when you sent invoices, particularly when you’re busy. Make sure you set reminders to chase up invoices and confirm they’ve been paid. The more you do this, the better you’ll get at remembering anyway.
Receiving your payments is a speedy manner is crucial for you keeping your business afloat, particularly if you need those funds for your next event or project. It’s important to remember that you’re in control of the service, and so it’s not unreasonable for you to set the terms around payment. The most important thing to remember on how to get paid faster is to do everything you can to develop a quick and easy process.
How do you make sure you get paid on time? Please let us know in the comments.