You have sold your product or rendered your service to one of your customers. The next step must be your receiving their payment. The payment deadline for the invoice has already passed. After not hearing anything from your customer, you then made the decision that you better get in touch with them via phone. The customer then tells you that you are paying them for the week. Even so, a month has passed and still, the customer did not give you any of his or her payment as discussed. In order for you to steer clear from this type of customers, it is best that you take the following tips by heart as advised by the Merrick Ventures Board of Directors.
Based on the studies conducted by Merrick Ventures, choosing of customers must be done wisely. Before any customer will order some services or goods from you, you must first find out what kind of person you will be potentially doing business with. Some telltale signs that will tell you that the customer is deadbeat is if they are uncompromising, demanding, and very vague. If your gut instinct tells you to never make deals with this kind of customer, then you should follow your gut instincts. When this is your first time doing business, you might not find it very easy to be declining any deal with any customer that comes your way. You might come to wonder if you can get more customers such as this if this is the kind of person that will approach your business first. You have to learn from the experts such as Merrick Ventures that no matter how great these customers might look like on the outside and at first purchase, you will just end up losing more of your money in the long term.
What you can learn from the Merrick Ventures Board of Directors will be that it will be better on your part to be getting your payments upfront. This is most probably the most obvious pointer that every business establishment must know. Even so, you can find that a lot of business establishments are not looking into following this rule when it comes to their business. The fear of not getting more customers for their business and just their preference are the top two reasons for most establishments making this mistake based on Merrick Ventures research. Even so, when you get your payment from your customers first, gone are the days of having to remind them that you will collect their payment and waste a lot of your time. On the other hand, if you do provide services and products online, the best move is to do cash on delivery as your payment method.