As a business owner, there’s a lot you need to pay attention to. But no matter what you sell or which services you offer, it’s important to stay on top of your finances. Because if you’ve had a great year, but find out months later some of the biggest invoices you’ve sent out weren’t paid, you can be in big trouble. In this article, we talk about how you can keep track of your finances in a handy way.
Step one: subscribe to a program that lets you send invoices easily
As a business owner, you have to send a lot of invoices. But doing this all by hand is a waste of time! There are tons of programs out there that let you send invoices easily, filled in by generated information. Just make a template with your logo and personal information and the program will fill out the invoices based on the information you’ve added to the program. Afterward, you only need to check if everything is correctly filled out before sending out your invoices. Handy!
Step two: get an accountant experienced in the TECH industry
Unless you’re one of those people that loves numbers, it’s very possible that dealing with bills isn’t your favorite pastime. Luckily, having an accountant can save your ass. Once a year, when you have to file your taxes, you’ll notice how much work it is to fill everything in without any mistakes. There is just so much paperwork! If you’re not used to doing this or can’t be bothered to spend hours and hours sweating and moaning over paperwork, an accountant doesn’t seem like such a big cost anymore.
A good accountant takes over your work and files your taxes for you, but during the year they can also let you know if they see any abnormalities in your paperwork. Furthermore, accountants know how to fill in your paperwork just right so you have to pay the least taxes or can get the most money back.
Step 3: have a collection agency on speed-dial
Once your invoices are sent out, it’s important to check if they’re paid in time. Often, your program will even give you a notification if an invoice isn’t paid by the due date. In that case, it’s important you take action right away. Call up your client and gently remind them their invoice hasn’t been paid by the agreed-upon date. Often, this is a mistake and your client will apologize. Agree upon a new due date and mail your client after your phone call to have this in writing.
If you aren’t able to contact your client or you still haven’t gotten paid by the second due date, you can be sure there’s something going on. In that case, it’s handy to have a collection agency (Dutch: incassobureau) on speed dial. They can recover your funds, for instance by having a bailiff (Dutch: deurwaarder inschakelen) seize assets if needed.
Good luck with your business!