How often do you call a business and find yourself stuck after "press 1" for this and "press 8" for that? Technology can be a wonderful resource but are businesses ready to rely on fully digital systems? A recent USA Today article highlighted new technology and stated that some debt collections could be handled without human interaction. When your business relationships are at stake, we beg to differ.
Deciding to hang out a shingle is a nerve-wracking leap into the unknown. You obviously need enough salary to sustain your lifestyle but you also face the delicate challenge of not scaring away potential clients. Trying to decide what to charge for your services and how to invoice new clients doesn't have to take too much brain power.
Sometimes your business accounting department has to make the choice between chasing down a client to pay an invoice or simply writing the whole thing off. Making the choice to write off receivables can be tricky. Not only can you not predict the future behavior of your client, you also must be aware of accounting methods, best practices and reasons for writing off receivables.
Agency life is never boring. Built on the back of creativity, digital marketers and advertising gurus spend hours pouring over strategies, pitches, and messaging for clients. When a campaign takes off and clients see return on their investment, everybody celebrates the win. Creative agencies still require someone to operate the back office, maybe not-so-fun, part of the business.
Statistics show that it costs five times more to attract a new customer than to keep one. Growing businesses, however, typically devote more time, money and effort to customer acquisition than retention. Even with cost of marketing, digital and traditional, and sales, new clients are still not buying as quickly or as easily as current clients.
With that in mind, let's discover some tips for keeping current clients happy and loyal.
Freelancers find they are often overlooked when it comes to getting paid on time. Unfortunately, there is little to no legal recourse to prevent this from happening. One city made some changes to help ensure their freelancers, about one third of the overall workforce, would get paid or at least have something they can do about it. As New York City is the first to pass a "Freelance isn't free" law, more communities are taking note.
Unless your business is accounting, letting the pros handle what they're good at means you can focus on growing your company. Sharing your business information with an accountant can be a challenge, especially if your accounting software requires exporting or downloading large files. QuickBooks has recently rolled out a new set of features that allows for easier access and communication with an accountant.
As an entrepreneur considering big growth in your company, you also have to anticipate what looks attractive to potential investors. Obviously, venture capitalists are going to look for a whole host of "must haves" in a burgeoning business, including a business plan and proof of profitability. Part of that proof is securing the financial history of the business so far and the financial projections.
When entrepreneurs are ready to take their business to the next level, they may begin searching for other resources to help finance the leap. The search for funding has to begin within the organization. Is there a solid plan for growth of the business? Has the brand been successful with attracting customers? Are the financials in order? Once these very important questions are answered, a business owner needs a clear understanding of the types of investors that are available and ready to fund the venture.
Dealing with past due accounts or non-responsive clients is frustrating enough. Business owners wonder what options they have but don't have the time to do much research. Is it time to reach out again? Go to small claims court? Write the whole thing off?
