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Tighten-Up on Your Home Business Accounts Telford PA

With the current economic crisis, are your customers stretching out their payments or disappearing without paying off their debt to you? If so, it’s time to review the basics and art of collecting accounts receivable without damaging customer relations. First of all, remember the cardinal rule, “It’s your money and you needn’t be bashful about seeking prompt payment for your goods and services.”

Jeffrey Broadhurst
Broadhurst Financial Advisors, Inc.
(215) 325-1595
1911 West Point Pike, Suite 301
West Point, PA
Expertises
High Net Worth Client Needs, Ongoing Investment Management, Estate & Generational Planning Issues, Retirement Planning & Distribution Rules, Planning Issues for Business Owners, Planning Concerns for Corporate Executives
Certifications
NAPFA Registered Financial Advisor, BS, CFA, CFP®, MBA

George Blenner
Summit Financial Advisors, LLC
(215) 579-1005
196 West Ashland Street
Doylestown, PA
Expertises
Middle Income Client Needs, Helping Clients Identify & Achieve Goals, Ongoing Investment Management, College/Education Planning, Retirement Planning & Distribution Rules, Cash Flow/Budgets/Credit Issues
Certifications
NAPFA Registered Financial Advisor, CFP®, MBA

Stan Richelson
Scarsdale Investment Group, Ltd.
(215) 646-8768
340 Miles Drive
Blue Bell, PA
Expertises
Planning Issues for Business Owners, Retirement Planning & Distribution Rules
Certifications
NAPFA Registered Financial Advisor, BA, JD, LLM

Kevin Brosious
Wealth Management, Inc.
(484) 264-6270
600 West Germantown Pike, Suite 400
Plymouth Meeting, PA
Expertises
Ongoing Investment Management, Helping Clients Identify & Achieve Goals, Cash Flow/Budgets/Credit Issues, Planning Concerns for Corporate Executives, Hourly Financial Planning Services, Middle Income Client Needs
Certifications
NAPFA Registered Financial Advisor, BS, CFP®, CPA, MBA, PFS

Brian Booth
Rockwood Wealth Management
(267) 983-6400
6236 Lower York Road
New Hope, PA
Expertises
High Net Worth Client Needs, Planning Issues for Business Owners
Certifications
NAPFA Registered Financial Advisor, CFP®

Vincent De Giovanni
Summit Financial Advisors, LLC
(215) 579-1005
196 West Ashland Street
Doylestown, PA
Expertises
Middle Income Client Needs, Helping Clients Identify & Achieve Goals, Ongoing Investment Management, College/Education Planning, Retirement Planning & Distribution Rules, Tax Planning
Certifications
NAPFA Registered Financial Advisor, CFP®, MBA

Robert Wilgos
Summit Financial Advisors, LLC
(215) 579-1005
196 West Ashland Street
Doylestown, PA
Expertises
Middle Income Client Needs, Helping Clients Identify & Achieve Goals, Planning Issues for Business Owners, Ongoing Investment Management
Certifications
NAPFA Registered Financial Advisor, BSEE, CFP®, MBA

Martha Schilling
Schilling Group Advisors, LLC
(215) 646-2414
1649 Jarrettown Road
Dresher, PA
Expertises
Cash Flow/Budgets/Credit Issues, Hourly Financial Planning Services, Investment Advice without Ongoing Management, Ongoing Investment Management, Helping Clients Identify & Achieve Goals, Retirement Plan Investment Advice
Certifications
NAPFA Registered Financial Advisor, AAMS, CRPC, CSA

Andrew Greatrex
Integrated Financial Services, Inc.
(215) 794-1526
1615 Pineville Road
New Hope, PA
Expertises
Ongoing Investment Management, Planning Concerns for Corporate Executives, Estate & Generational Planning Issues, Retirement Planning & Distribution Rules, Tax Planning
Certifications
NAPFA Registered Financial Advisor, BA, CFP®

Kent "Chip" Addis, Jr.
Addis & Hill, Inc.
(610) 688-9500
20 Louella Court
Wayne, PA
Expertises
Ongoing Investment Management, Helping Clients Identify & Achieve Goals, High Net Worth Client Needs, Retirement Planning & Distribution Rules, Retirement Plan Investment Advice, Women's Financial Planning Issues
Certifications
NAPFA Registered Financial Advisor, BS

Tighten-Up on Your Home Business Accounts

Provided By: 

When Times Get Tough, Receivables Get Tougher To Collect
By Richard J. Maturi

With the current economic crisis, are your customers stretching out their payments or disappearing without paying off their debt to you? If so, it’s time to review the basics and art of collecting accounts receivable without damaging customer relations. First of all, remember the cardinal rule, “It’s your money and you needn’t be bashful about seeking prompt payment for your goods and services.”

Timely Invoices and Billing Statements
The cornerstone of your accounts receivable system is providing timely invoices and billing statements. Every day you delay, is another day you don’t get your money. It helps to know your customers’ payment cycle. If they pay once a month on the fifteenth, and you send out your invoices on the 20th, you missed their payment cycle. By timing invoicing by customer, you may receive payment early, improving cash flow dramatically. If your receivables are large enough, a bank lockbox speeds up collections by eliminating the time it takes to process receipts in-house and deliver them to your bank.

Clearly Spelled Out Terms
Make sure your terms are clearly spelled out on invoices and billing statements. The invoice establishes the existence of the debt and should contain several key bits of information to prevent any confusion should conflict arise. First of all, date your invoice. This helps your customer determine when payment should be made based on the terms (net 30, 2% discount if paid with 15 days of invoice, etc.), which should also be prominently placed on the invoice. Know the current Dun & Bradstreet industry norms for payment cycles so you do not make your terms too stringent and thus lose customers to competitors with more lenient payment terms. Make sure you provide an accurate and complete description of the goods and services received by the customer. Inventory code numbers are great for your computer but mean nothing to the customer.

Accounts Receivable Schedule
Keep a pulse on billing activity and accounts receivable. Prepare an accounts receivable schedule by customer and payment due date. When the payment does not arrive on the expected date, make a friendly call to let your customer know you appreciate their business and inquire what has delayed payment. This usually gets the check in the mail. It lets customers know that you expect payment on time and are not the one who will let things slide. It’s also a good tool to help determine if a particular customer is experiencing financial difficulty. If so, you might try to work out a payment schedule that satisfies both of you. Working with your customer through a rough patch, may make them a faithful customer for many years.

Solving Problems
Ask when you can expect payment or if there is anything you can do to help move payment along. If any problems exist, now is the time to get them solved. It may be as simple as faxing a c...

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