Is your business or practice buried in paperwork? Are you struggling to balance your invoicing spreadsheets or catch up on accounts receivable tasks? No matter your business’s size or what type of practice you run, creating an effective accounts receivable strategy is important. Properly managing your accounts receivable is not only important for your bottom line — it plays an essential role in customer service.
Automating Your Billing Is About Improving Customer Service
When your business or practice is consistently collecting on invoices, it means your team spends less time worrying about unpaid accounts. Saving time means you can all dedicate more energy to maintaining strong relationships with your customers. However, when the amount of past due accounts begins to pile up, it can hurt your overall workflow and put undue stress on your team to collect on those accounts.
Here are some benefits of automating your billing systems to manage your accounts receivable.
Free Up Your Workload
Sorting, printing, and sending invoices out to your clients or patients can be a full-time job. Hiring a collections agency or investing in an automated bill collection system can help reduce the amount of time your team spends collecting outstanding debts while helping you build a better invoicing system for your business or practice.
Invoices and collection letters can be sent out automatically with an invoicing program, which relieves your team of this time-consuming — yet essential — task.
Encourage Prompt Payments
The simplest way to avoid developing past due accounts is to require payment upfront from your customers or patients. If this is not possible, it is best to keep payment top of mind by sending out prompt reminders to your customers. When you automate your payment system, it ensures your customers receive their invoice promptly, and it encourages them to pay it on time.
Reduce Physical Paperwork
Switching to an automated, cloud-based billing system can reduce the number of paper invoices you have to send out. In addition, a cloud-based system can enable you and your team to access your invoicing system remotely, which is all the more critical if you have team members working remotely due to the coronavirus pandemic. These systems are designed to provide each member of your team and clients with the most up-to-date account information.
Create Clearer Communication & Increase Transparency
Automated payment and billing systems are designed to provide you, your team, and your clients or patients with their account information and updates in real-time. A drawback of printed invoices is they don’t always reflect all of the associated charges pertaining to an account, so updates are typically mailed separately. This can create confusion with your clients or patients regarding what is owed and may contribute to an account moving into non-payment.
Having Trouble With Your Accounts Receivable?
If your business is struggling with delinquent accounts and maintaining a consistent accounts receivable system, it may be time to change your strategy. Working with a collection agency can help you further improve your bottom line and complements automated billing systems.
Kinum, Inc. works with clients across a multitude of industries to develop successful debt collection strategies. Our team focuses on helping businesses connect and collect from their customers, and we are proud to work with clients in every corner of the United States.