Invoicing pays the bills Business Реклама Recent Posts « » Invoicing pays the bills August 8th, 2011 | Author: admin Invoicing Pays The Bills

With the Internet lifestyle, the practice of invoicing sometimes gets ignored. However, it’s easy to forget things, lose out on money that you deserve, and have other problems when you don’t keep up on your invoicing. There is another concern, too. What if you can’t get credit or need some money? If you have good invoicing practices and can show that the money you need will be coming to you, you can do what is called invoice factoring. This is where you essentially use the business’ invoices as collateral to borrow money. You then take the money from the invoices when they come in and use it to pay the factoring company. It is very similar to a loan but you are borrowing against something specific and paying it back very specifically, as well. This is an important point to be aware of, because not all businesses will qualify to do this. Some of them don’t have strong enough invoicing and can’t show enough money coming in. Even if they have good cash flow, disorganized accounting practices and a lack of formal invoicing shows that they are ill-prepared in many cases, and it can make getting any type of loan or monetary arrangement much more difficult.

The first step toward getting organized is making a list of all of the clients that you have. Even if you don’t deal with them that often they are still important because they have paid you money. There are tax implications for this, and there are other reasons that you need to keep good track of where your money is coming from, who is paying you, and whether they are a consistent customer or whether they are only seen infrequently. That will help you better budget what you do and it will also help you show anyone that you want to borrow money from that you have a steady business income. Without showing that you’re making money it’s almost impossible to borrow any money, since people aren’t going to loan to someone who they think won’t pay it back. To help your business perform the best that it can, always keep your invoicing current.   

Posted in Forex | Tags: , , , , ,

Comments are closed.

August 2013 M T W T F S S « May      1234 567891011 12131415161718 19202122232425 262728293031   Archives Tags advice application blog board broker construction consult corporation discount dream energy estimate euro export fair fan finance food format geo gift holiday ideal install light machine master maximum mobile nature north ok pet picture promote rent repair rich room rules security smart subject super tour

Copyright © 2013 Business. All Rights Reserved.