Being paid is a key part to any business and for the most part clients are good, will pay on time and without much fuss. Sometimes this isn’t the case and for whatever reason you can be left without the money you are owed in your account. There is a way that you are able to automate your payments without using the precious hours in the day to chase, and that way is using an online payment system.
We personally use Gocardless and insist that all our clients pay us using this system too because it’s just that convenient for everyone!
What is GoCardless?
It’s an online direct debit system that allows for safe and convenient payments from both the client and company being paid. It provides a secure method of payment that can be linked to some accounting softwares, and can be slightly automated to provide stress free payments for all parties involved.
Why should I use GoCardless?
There will be lots of benefits to using an online payment system such as GoCardless that will become apparent when you start using one. But here are the main ones that we have found for us.
Timely payments can sometimes seem like a bit of a fantasy when it comes to invoices being paid on time. Generally when an invoice is missed it’s not malicious, but more human error on the payers part. Although this can be understandable, it still doesn’t make it any less annoying especially when you have to manage your own cash flow. With GoCardless, you can set a mandate for each payment so that once the term has been agreed by the client, payment will automatically be taken. This pretty much eliminates forgotten or late payments altogether as everything is part of an automated process.
The client can set up a free account too so there really is no hassle.
Not only do late payments create problematic cash flow issues, but also someone has to spend time looking for the problem and then chasing the late payment too. Having an automatic payment system means that this situation is very unlikely to happen and if it does, it should be easy to spot and send a reminder email in just a few clicks.
How long will it delay payment for?
You can set your mandate on each invoice you send to whatever you have agreed with that individual client. This means that it is fully customisable and that you are fully in control of your payments. Once the amount has been collected by GoCardless it only takes a couple of working days to process by the banks and voila! It’s in your account quicker than you can read this blog.
Is it safe?
Yes. GoCardless is a protected way of payment. They are authorised by the Financial Conduct Authority to provide the payment service. This means all money that is collected is held against your secure account with one of a list of well known trusted banks.
Is it worth it?
If, like us, you are working with multiple clients that have different payment terms, or are a small business where every payment counts, an online payment system like GoCardless is worth your time. It not only helps to balance the cash flow, but will also help to reduce stress and time spent chasing payments.
If you would like to learn more about online payment systems, or are indeed looking for an IT company that helps to use technology to grow your business, book a call with Jon today!
