Everybody is always looking for ways to get paid faster. However, there is no magic that is going to make that happen. The only way to ensure that your customers will start sending in their checks on time is to stay on top of your receivables management. However, it’s easier than it seems. Make a commitment to yourself to do these 9 things in the next 9 minutes to begin transforming the way you manage your receivables.

9 Things You Can Do in 9 Minutes to Transform Your Receivables Management

1. Make a Promise to Yourself – If you want to change the way you manage receivables, you have to make a promise to yourself. Make a pact that you will make this a priority and you will do what it takes to ensure your customers pay you on time. Your cash flow will appreciate it.

2. Get Educated – To know the appropriate steps it takes to get control, start with learning. Enroll in these free financial bootcamps that day by day teach you the ins and outs to extending credit, managing late paying customers, business credit and working capital management.

3. Get an Account with Dun & Bradstreet – The transformation starts with being more cautious with whom you extend credit to.  A great way to do this is to begin pulling business credit reports on customers. This will give you  a great look into their past payment behavior. Use this minute to get an account with the leader in business credit, Dun & Bradstreet.

4. Search for Example Credit Applications – Another way to stay cautious is to make all your customers apply for credit. This allows them to see how serious you are about the process and also for you to do some research into how they do business. Do a quick Google search for some example credit applications, so you can start creating yours today.

5. Research Accounting Software – If you are going to be invoicing clients, you need to make sure you are doing so as efficiently as possible. The accounting software you are using is critical in this. There are tons of options available, it all depends on which is the best fit for your small business. Find a list for the best accounting software for small business to help you make this choice.

6.  Make a List – Take a look at your current accounting system and make a list of all your past due clients. If you are going to get a handle on them, you need to know who they are.

7. Categorize – Once you have that list, categorize those customers. Who do you know well and are sure they have just forgotten payment? Who are you sure is avoiding you and  you’ll be lucky to see pay? Make a clear distinction with these customers

8. Give a Call – For those customers who you believe you can get a hold of, get on the phone and call them. Remind them of their payment and be sure to be friendly. Sometimes these customers just need a little push, especially as some might simply have let the due date slip past them.

9. Reach Out – For those customers you can’t get a hold of, consider taking the next step. Look at sending those accounts to collections. Do research on a commercial collection agency and put in an inquiry. Be prepared to ask the agency for references, so you know you are dealing with someone who will take good care of your customers.