First time Debit Order User.
Why you should consider introducing a debit order system in your business:
To debit your client's bank account with what is owed to you gives you the control of debtors' payments – THIS WILL ENHANCE YOUR CASH FLOW!
Debit orders are always a priority when clients are planning their monthly expenditure, their banks are charging high unpaid penalty fees.
Collection dates are very flexible – recurring or once-offs.
Your money is available almost immediately.
Instant access to information regarding payments and non-payments via our web-interface and reporting service.
Substantial savings on bank charges, with no cash deposits and therefore will reduce the security risk, with no cash kept on your premises.
No need to contact your clients requesting payment.
You and your debtors save time, money and effort with this payment method.
The secrets to success:
The secrets to success in implementing a debit order system:
Depending on your type of business, preferably refer to a 'Payment Commitment' than a 'Debit Order' form when requesting your client to sign it.
You should question your client's intention if he is reluctant to sign the debit order.
Keep in mind your client is making use of your expertise / skills and not because of the payment method, therefore you should dictate method of payment.
Consider allowing your debtors to pay off their arrears with amounts they can afford. Every small amount counts.
Not all clients will allow you to initially debit their accounts, therefore the repetition of your request will guarantee success.
Did you ever wonder why most corporate companies, for example insurance companies, banks, motor finance, etc. only allow one payment method,
namely a Debit Order; it gives them control, immediate history and statistics of these payments.