Time-saving area #1: Payments
In many businesses, I come across they seem to be forever chasing up overdue payments.
In fact, many times I have seen instances where the provider has delivered a full term of service and the customer still has the full term fees outstanding.
Managing all aspects of collecting fees can be time-consuming.
All of these things take time and effort.
Let’s estimate how long these activities would take for example swim school with 600 active students.
This is a significant amount for a small to medium size business and is likely to cost you upwards of $600 in monthly wages.
By using technology you can potentially slash this admin time each month.
For example, if you are using software like our First Class Software you can roll over term invoices or allow parents to re-enroll online and create 600 invoices in just a few minutes.
Chasing overdue or outstanding payments is always a big-time requirement for a lot of businesses.
This can be reduced by leveraging technology as well.
For example, you may exclusively use direct debit as a preferred payment method which means your fees are collected automatically.
If you wish to use a more traditional approach to invoicing you can set up automated reminders for those who have an outstanding invoice after X amount of time.
A lot of our clients use direct debit or one-time credit/debit card payments for managing their fee collection rather than relying on bank transfers or EFTPOS. The advantage of this approach is automated reconciliation. This means pending invoices automatically convert to a PAID status when a successful payment is made.
Using technology can also help automate the process of issuing receipts either by automatically emailing them upon payment or by displaying receipts and payment records in the customer/parent portal.
By reviewing and refining payment processes providers have the opportunity to cut monthly admin time in this area from over 20 hours to as little as 5 hours per month.
In our next article, we will explore time-saving opportunities in terms of customer communication.