Policies outline how the company operates in a given situation. One such policy outlines how the company handles late payments from a client. We require the client to pay at the beginning of each payment period, this way we do not need to wait for payments or hope to be paid. It is recommended that the client pays by card but if they insist on paying with a check, they are only extended certain terms which require them to send a check and for us to receive it within seven days of sending the invoice.
More recently, we have adjusted the terms so that if we have not received payment the day it is due the client will get an email reminding them the payment is due and if it is not paid in a week there will be a late fee. If the week passes and the client is issued a late fee, we begin the suspension process a few days later.
I have noticed that some employees are hesitant to do this and will consult me beforehand, to which I say suspend their service - that we cannot work for clients for free. Over time, the hesitation has improved and we have gotten better about following the process. The goal is one day make it seamless.
Erik J. Olson is an award-winning digital marketer & entrepreneur. The Founder & CEO of Array Digital, he is also the host of the Journey to $100 Million Flash Briefing and daily podcast, and the organizer of the Marketers Anonymous monthly meetups.
Kevin Daisey is an award-winning digital marketer & entrepreneur. He started his first company when he was just 23, and is the Founder & CMO of Array Digital. Kevin is also the co-host of the Journey to $100 Million Flash Briefing and daily podcast, and the co-organizer of the Marketers Anonymous monthly meetups.
For more information on the show, and to check out past episodes, go to journeyto100million.com!