9 Signs Your Invoice May Not Get Paid on Time

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9 Signs Your Invoice May Not Get Paid on Time

At Summit A*R we’ve been in the debt collection business for over two decades. And from our experience, we know how important it is for businesses to be paid on time, especially those that lack the resources to survive with an undesirable account receivable turnover ratio.

Whether you’re a small business with a handful of employees or a sole proprietor, you need your invoices to be paid by their due date. Otherwise, you may have trouble paying rent, utilities, salaries and more. This can also affect your ability to generate more revenue.

Sometimes, getting paid by a debtor requires a balancing act. You want to apply the right level of pressure, but you don’t want to damage your relationship with your customer, especially if they’re in a temporary financial crunch. Any ill-advised communication from you may also hurt your reputation, affecting your ability to do more business with them in the future.

This is where we come in. There’s a misconception that debt collection agencies only serve large businesses. No business is too large or too small to work with Summit A*R. To start with, we work on a contingency basis. Unlike other collection agencies, we don’t demand down payments or a certain number of accounts. We only get paid when we collect your revenue.

We also have a “P.H.D. Philosophy” (Preserve Human Dignity), which means that we treat every customer with dignity and respect. We use a diplomatic approach to convince customers to pay their debts. By partnering with an ethical collection agency, you’re more likely to preserve your reputation. You can check this out to learn more about how Summit A*R avoids underhanded tactics.

There’s also a misconception that such shady tactics help debt collectors. On the contrary, we found that our principled nature improves our ability to recover revenue. Not only will you remain ethical when you choose Summit A*R as your personal debt collection agency – but you’ll have the services of an agency that boasts twice the national recovery rate.

If you’re not getting paid for your services, then give us a call today for help. We know that debt grows harder to recover with time. That’s why it’s important to recognize the signs that your invoice may not get paid:

#1 Your Customer’s Contact Information is Outdated

Be wary of customers that lack a recognizable email address, website, or social media presence. These could be signs of a bogus customer that doesn’t intend to pay their invoice. If their phone number doesn’t match their province or country, or if their email address appears to link to a shady website, then proceed with caution.

#2 They Are Disorganized 

It pays to be organized in business. If your customer keeps losing work, missing meetings, or can’t keep track of emails, then they may also lose your invoice down the road. If they’re not in control of their operation, then they’re unlikely to pay you on time.

#3 Your Invoice Falls on a Holiday

If the due date is on a holiday or long weekend, then you’ll have to wait a few extra days for payment. Customers usually don’t pay early unless they’re given an incentive. A small discount can motivate them to pay before the due date.

#4 They’re Nitpicky

Unfortunately, some customers may unfairly find faults with your services to negotiate a discount. If your client has been nitpicky from the start, demanding unnecessary revisions even though the product has met their specification, then they may not pay on time, if at all.

#5 They Don’t Know What They Want

While some clients are deliberately nitpicky, others just don’t know what they want. If they demand a complete revision even though you kept them in the loop during the development process, then they’ll not pay you until their work meets their new requirements.

#6 They Aren’t Reputable

A client that’s nitpicky or difficult to please will still pay you what you’re owed if they’re reputable. However, a customer without references or a bad reputation may not fulfill their monetary obligations.

#7 They Insist on Paying with a Cheque

While some old-fashioned clients prefer to pay with a cheque, most customers use digital payment options. The advantage of offering digital payment options is that your customer can pay you upon receiving the invoice. If your customer insists on paying with a cheque, then be prepared to hear the words: “Oh, it must have gotten lost in the mail.”

Worse still is when the cheque arrives only to bounce a few days later.

#8 They Start Making Excuses

If your client tells you to send the invoice again or that your email address is bouncing or that they need an extension, then you may struggle to recover your revenue.

#9 They Can’t Be Reached

If your customer stops responding to invoices, emails, phone calls, then reach out to Summit A*R before you’re beaten to the punch by other creditors. A good customer in a short-term financial bind will not break off communication. 

These are a few signs that your invoice isn’t going to get paid on time. Here are some steps you can take to get paid faster:

  • Research your client before offering them credit. Check their contact information to gauge their reputation. Ask for references.
  • Insist on a contract to protect your interests. A contract will also help your case should you need the services of a debt collection company like Summit A*R.
  • Incentivize early payments with bonuses and penalize late payments.
  • You can try withholding services from new clients until you’re paid in full.
  • Send an invoice immediately after the work is complete.
  • Use an online payment system to receive digital payments.
  • Correspond on email to document all communication. Not only will this help clear up misunderstandings, but it can be useful in case you need to pursue legal action.

Finally, get an excellent consumer debt collection management agency like Summit A*R on your side. Our team of professionals are experienced, skilled, and have a proven track record. Let us help you clear your unpaid accounts. You can call us, email us, or request a callback through our website. While our goal is to get you paid within 90 days, some debts are collected within the first few days. It’s time for us to take you back into the black.