As a small business owner, your role is a lot more than just administrative management. You have to wear a lot of hats, and the role of a financial manager is one of them. That’s where invoices come in.

In plain words, an invoice is a document that regulates business relations between a buyer and a seller. It shows what services or goods a vendor is going to sell to a buyer and how much they will cost. The payment terms are also included, as well as other important information we will dwell upon later in this article. 

In this article, we will walk you through some of the ways that processing invoices can help your business.

  1. They keep customers happy 

You may not know that invoicing is part of good customer service, but it is. Offering invoice payments enables your customers to pay you after you have issued a product or service.

This is convenient for you as well as regular and returning customers. Giving them the option to pay you when it suits them, within reason, is a great way to keep customers happy. 

Secondly, invoice processing is not just for you. Customers also need to keep track of their finances. Having an invoice detailing what was purchased, when it was purchased, and if there are late fees can be very helpful to them.

  1. They give your business a professional outlook

A professional invoice has more of an impact on customer experience than you realise. When you issue a customer an invoice, you are showing them that your small business runs on efficient processes. That helps them trust you. 

A professional invoice containing all the necessary information on a well-designed template also helps you stand out from competitors. An invoice is a touchpoint with a customer, which means it is an opportunity for you to offer a top-notch experience. Their customer journey with you should be flawless from start to finish. 

  1. They keep you organised 

This seems obvious, but keeping an organised record of your invoices is key. It will help you keep an eye on all your payments, pending or otherwise, so you know where you stand financially. 

  1. They help you to get paid on time 

There are a few reasons invoices help a business to get paid faster. A well-written invoice will have the following information: 

  • An invoice number and date of issue 
  • Your company name and address
  • Your company contact details 
  • Details of the product or service 
  • The amount due a
  • Payment information including how to pay
  • An overdue fee 

If the customer has all of that, they have everything they need to pay you. A due date will help to apply some pressure if needed, and if you add an overdue fee to your invoice, this could help even more. 

Your customers will sometimes have questions, and by having all of your contact information readily available as well as an overview of what they need to pay, you are helping them and yourself. 

  1. Things have gotten easier with invoice systems for small businesses 

Luckily, technology companies have recognised the importance of automated invoice processing and as a result, we have seen an increasing number of online and in-app invoicing solutions. This means that business owners can send invoices to customers in seconds. 

This is also an easier way to store and keep track of your invoices without stacks of paperwork or filing cabinets. If you’re looking for a simple solution, Dukka is free, efficient, and fast. 

Are you a small business owner looking for tips and tricks on how to make day-to-day administration a bit easier? We are here to help. For more articles, check out the Dukka blog 

Author

Olufolake is the resident storyteller at Dukka. Without me, the world would just be aweso.

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