Posts Tagged ‘collecting on past due invoices’
Singin' the AR Blues (Part 3) Collecting Past Due Invoices
July 1st, 2009 | 
Author: So now that you have set up new AR policies what is to be done about the business’s that already owe you money? Well, now is the time you have to become resolute in your mission to preserve your business and take action to collect the debt owed to you. I won’t tell you this is an easy or pleasant prospect. On the contrary, you will be facing clients you may have worked with for years and this may be the first time you’ve ever had to deal with them being delinquent. Keep this in mind and approach the matter in a sensitive manner with the thought of preserving the relationship for future transactions if possible.
Unfortunately, you are looking at self preservation at this point and a line needs to be drawn. So, your first step will be putting your client’s account on hold until payment is received. You may want to offer to allow a prepaid account for future services and invoices so you know current services are covered while they are paying off their past invoices.
Posted in Business Finance | 
Tags: Accounts Receivable, billing, bookkeeping, business communication, collecting a debt, collecting on past due invoices, collection practices, debt collection, first party collections, invoicing, invoicing policy, non paying clients, prepaid accounts, small business | 
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