Invoicing Customers: Your Cash Flow, Your Reputation

When you work for a large corporation and a specific department handles payroll, invoicing and those tasks behind the scenes you may not realize how important it is to invoice customers on time.

When you're a smaller business, a management consultant, or self-employed then you realize how important it is to invoice customers when work is completed -- it's your cash flow, your income, and the lifeblood to your business.

But there's another reason sending an invoice on time is important - it shows your customers that you're serious about your income and they should also take you seriously.

Here are some other reasons:

• Billing promptly reduces confusion - it states the project is done, service provided
• It can open the door for clients to ask questions if needed
• It reflects a level of compentence for your operation
• Billing pumps new life into your operation
• An invoice can serve to brand your company
• It shows you offer value

While there may be other reasons, I must also confess that taking time to generate an invoice isn't one of my favorite activities. There are various types of software such as Quickbooks, Zoho online and others to use. Or you can also use a simple Word document and customize a header and footer.

I use the month, day and year as the invoice number, too such as 052109 to show the invoice date as May 21, 2009.

So take time to send an invoice. You'll be glad you did!