Collecting cheques, messing around with cash, getting crushed by huge credit card fees.
Does payment collection really have to be such a pain?
Should you switch to an easier, less stressful, more affordable way to collect recurring payments?
Here's 5 reasons you should automate your recurring payment collection.
They Are Faster Than Cheques
I'll level with you here - cheques are lame. I'm sorry to say it, but it's true. They've been faithful companions for thousands (actually) of years, so it's time to give them a break. You know, let them retire in peace.
These days, cheques are a pain to deal with. First of all, you have to wait for your customer to give you a cheque. That alone can be a…unique struggle. Your customers are busy people, and they don't want to make a trip just to drop off a cheque.
So, you end up calling them. And emailing them. And building signal fires that say, "Please drop off your payment".
It isn't over once you get your cheque. Even after it's in your hand, you need to make sure your customer correctly filled it out. Mistakes can be made when writing a cheque, and if there is one…it's back to your customer for a new one.
Now you have the cheque, it's filled out correctly, all that's left to do is deposit it at the bank. Simple, right?
I don't want to be too hard on cheques, but they're not the easiest payment method anymore.
They Are Easier Than Cash
Cash suffers from some of the same frustrations as cheques when it comes to automatic payments.
As with cheques, you still end up waiting on your customer. And like cheques, your customers have busy lives too. It can be easy to forget to drop off a payment on time, which makes life more stressful for you.
And just like cheques, it's not over when you receive the payment. You still need to take that money to the bank, and who wants to carry stacks of cash with them?
More Affordable Than Credit Cards
Credit cards. Now that's a pretty modern method of payment, right?
However, it comes at a cost. Credit card payments can be downright expensive to collect. Most processors charge a monthly fee, a per-transaction fee, and then fees up to 2.99% ON TOP of the per-transaction fee and monthly fee.
That adds up fast, and takes a huge bite out of your profits. Not good at all. By comparison, pre-authorized debit processors often charge a monthly fee. No per-transaction fees, no percentage nonsense, just a monthly fee.
An affordable monthly fee, in most cases.
When you're looking for a pre-authorized debit processor to handle your automatic payments, make sure you shop around on price. You'll find that pre-authorized debits are one of the most affordable ways to collect recurring payments.
Cuts Down Your Bookkeeping
Some people love accounting and bookkeeping, and some don't. Like Hawaiian pizza.
Whether you love bookkeeping or not, reducing your time spent bookkeeping is a good thing. The less time you spend doing your books, the more time you can spend doing other things.
Like growing your business.
Because pre-authorized debits are electronic, the payment records you need are just a few clicks away. Instead of wrestling with stacks of paper, everything is handled electronically.
Plus, when tax time comes...
...the electronic nature of automatic payments makes it easy to get the information you need.
And you can forget about wondering if certain customers have already paid for the month. Payments are updated in real-time, so you know the exact state of your customers accounts.
It Makes Your Life Easier
Running a business is challenging enough. You don't need extra stress, especially when it comes to getting paid.
Automatic payments are designed to make your life easier. From signing up your customers, to collecting your payments, everything is a snap. That's why businesses of all sizes are moving to pre-authorized debits for their recurring payment collection.
It makes life easy.
Want to learn more about pre-authorized debits? Contact us! No sales pitches, we promise.