In order to avoid receiving late payments, it’s important to understand that clients being forgetful is sometimes part of the human experience. Your firm should communicate clearly with your client regarding your billing cycle at some point and keep you both on track through digital reminders and modern processes. Below are some tips that can make the billing process more efficient for you and your clients from National Law Review.
1.) Receiving Payments Sooner
A billing plan should outline the scope of work, timeline, billing process, payment options, and fee arrangements. In your communication plan, consider common client questions you can easily answer before they're even asked. The client should also have access to this plan electronically to refer to.
2.) Adopting a Standard Process
It is a good idea to set up reminders for invoice payments leading up to the deadline. A reminder can be sent two weeks before the due date, a week before the due date, and the day before the due date. Reminders should also be sent if the invoice is late, including any associated penalties.
3.) Digital Convienence
Your law firm may be limiting its profitability and creating obstacles for clients if you remain hesitant to adopt practice management software. You will be more likely to receive on-time invoices if you close unnecessary gaps in the paper check billing process and offer modern ways for clients to pay.
Read more at National Law Review.
