Finally closed the deal on one customer and sold them your product or given your service to them. Receiving their payment must be something that happens next. 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. Within a week, the customer told you that they will pay you. And yet, another month has passed since you made that call and you still have not received any payment. Having this kind of customers will never do your business any good; below are some points to consider as recommended by the Merrick Ventures Board of Directors to avoid making business with these customers.
Based on the studies conducted by Merrick Ventures, choosing of customers must be done wisely. It will be safe if you institute finding out some identifying characteristics of customers that you must never make deals with before you even start letting any customer avail of the services or products that you are offering them. You can identify if a customer is deadbeat if they are vague, cannot be compromised, and are very demanding. When you get that feeling that this particular person is no one you want to have to deal with in terms of your payment conditions, then you better not strike a deal with them. It might be challenging to stay away from customers that approach you if you are still new on the whole business thing. 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. Even if this can be all too tempting to disregard, you know sooner or later that dealing with this kind of customers will just get your business nowhere as per studies done by Merrick Ventures.
The second tip from Merrick Ventures that you must learn for your business is to receive your payments on the spot. 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.