One unavoidable aspect of working in construction is the need to create and issue invoices to clients. Do this consistently well, and you’ll get paid promptly. Fall short, and you might be waiting for a long time after work on a project has been completed before your cash arrives.
To keep the money rolling in reliably, here are some tidbits of advice which will improve your invoicing techniques, and catalyze what can often be a tedious part of being a professional in this industry.
Streamline Your Invoicing Process
The first step to ensure that you get paid on time involves overhauling your invoicing system so you don’t waste valuable resources.
To start, use an invoice template with all of the necessary information, and include any special requirements, such as payment terms or due dates upfront.
Next, aim to automate processes wherever possible, as this will help make sure nothing falls through the cracks, and that payments are processed quickly. There’s all sorts of software that can help here.
Additionally, have clear communication channels between your team and clients to avoid misunderstandings about details related to billing. This will sidestep common delays, and clear up points of confusion.
Automate Payment Reminders for Late Payments
Timely payments shouldn’t be considered inevitable even if you’ve issued a comprehensive invoice to construction clients. The only way to make this happen is by consistently reminding them of their payment deadlines, as a little nudge can go a long way in this context.
However, manually sending out reminders can be tedious and time-consuming. To save yourself some trouble, consider automating your payment reminders so you don’t have to worry about it every month or week.
Automated payments are easy to set up. Just add in when invoices should be sent out, how frequently they need to be sent, and who should receive them.
You’ll also have a record of all correspondence with clients regarding overdue payments, which will help ensure that everything runs smoothly from start to finish.
Compress PDF Invoices So They’re Quicker to Send and Download
When sending invoices, you want them to be as quick and hassle-free as possible. That’s why choosing to upload a PDF to compress its size is so important. It makes it easier for clients to open, download, and save PDF-based invoices for their records.
Not only that, but you’ll find that it speeds up your invoicing processes, and avoids leaving a host of large attachments clogging up email inboxes.
Be Clear About How You Want to Get Paid
Today there are all sorts of ways to get paid when you’ve completed work on a construction project for a client, and this can create issues when it comes to invoicing if you aren’t clear about your preferred method of remuneration.
As such, you need to ensure that you unambiguously point out exactly how you’d like to receive payment on every invoice you send. Whether you’re all set up for online payments, or you are still sticking with checks, the exact methodology doesn’t matter. What does is that you are forthright in highlighting this for clients.
Arguably it’s best to provide multiple payment options, so clients can choose which one works best for them, without having to contact you directly. This is another major delay-avoiding tactic, and is one which will keep clients on-side for longer as well.
If you’ve experienced hold-ups or inefficiencies with your construction invoices in the past, it’s well worth taking the time to rethink how you approach this process, as it will continue to pay dividends for your construction company for years to come.