How to avoid payment delays Proven methods to be used from now

Payment congestion is a huge problem for most U.S. companies. Sometimes one unpaid invoice paralyses the work of the whole company and puts the financial liquidity of the business in question. Fighting unreliable contractors is not easy, but it is worth taking it up, because in the end it is not them who are suffering the consequences of their sluggishness. In this guide you will find ready-made solutions that you can implement in your company practically right away.
Fee in advance
This is the most effective way, but it arouses a lot of controversy in business. Not all companies agree to pay invoices in advance. In some industries where large orders are involved, such a solution is also practically unfeasible. In such a case, however, it is worth at least charging a part of the fee in advance or using an escrow account system.
Reduction in the time limit for payment
Are you regularly late with payment of a 30-day invoice? The next document should include the payment within 14 or 7 days. There is no reason for you to go to the side of an unreliable customer. Purely psychological action is also involved. Invoices with too long a payment period are always postponed, so sometimes they are forgotten. A shorter period of time motivates you to pay at your fingertips.
Information on penalty interest
It may be included on the invoice or an official message may be sent to the counterparties on the charging of penalty interest for late payment. Such a “whip” is usually very effective, because nobody wants to be financially responsible for their slowness. It is also very important not to throw words at the wind. If the contractor fails to pay the invoice on time, impose penalty interest on him, even if it is minimal. This course of action must, of course, be included in the agreement between the parties.
Collection stamp
This is a very effective way of dealing with unreliable payers. The collection seal is impressive, especially if it contains the logo of a well-known debt recovery company. After all, it is one thing to owe Jan Kowalski a payment, and another to a company which is under the wings of professionals in the field of debt collection. The stamp should be on every invoice you send to an unreliable contractor.
The biggest mistake you can make is to humbly accept that customers ignore you and make you a free lender. Respect your work, be firm, and avoid payment bottlenecks. You have every right to do that.

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