Welcome to guest writer, Kay Daniels, of Daniels Accountancy
It is vital that late payments do not disrupt your cash flow and harm your business. Before you start doing business with a new client, remember the following:
1. Invoices are payable immediately
Ensure that your terms of business clearly state that invoices are payable immediately. As a courtesy, you may wish to accept 30 days credit but that is not documented in your terms of business. Most businesses assume 30 days as the norm, but if your invoices state that the invoice is payable immediately, there is a good chance that it will be paid earlier than the 30 days.
2. Ensure your Terms of Business have been signed by your client and returned to you