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How Do Recurring Invoices Improve Your Firm? Featured Image

How Do Recurring Invoices Improve Your Firm?

Feb 8, 2022 | By Susanna Williams | 0 Comments

Topics: Financial Health

Invoicing helps keep your business in the black financially, but what if you find yourself constantly sending the same invoices to the same clients for the same types of service?

Recurring invoices are a simple way to streamline your billing process if you charge a client the same amount for similar tasks at regular intervals.

BQE CORE's invoicing software lets you set a specific billing schedule for the calculated amount based on recorded time and expenses. Your firm can create online invoicing templates, edit and reuse the templates later, and establish a standardized recurring invoicing process. 

Want to learn more about how to handle recurring invoices? In this article, we'll explore the many benefits that proper invoicing management can yield for your business. 

Invoicing Management Software 

To receive payment, you first have to send an invoice. Invoicing software makes it easier to send accurate invoices directly to your clients and prompt them to pay on time, every time. Nobody likes asking for money or owing money, and software reduces the tension in both situations by creating recurring invoices, emailing them to clients, and automating payment reminders and receipts.

Recurring invoicing takes your billing strategy to the next level. It’s convenient for both parties — service providers don’t have to wait for the client to pay late or chase down payments, and the client doesn’t have to remember to manually submit their weekly or monthly payment. Recurring invoicing makes an arduous process painless while keeping financial data organized and secure.

What it does

Not only does invoicing software make creating and sending invoices easier, but it also keeps track of all money owed, so you have accurate, accessible financial records any time you need them. It’s simple for anyone with access to organize and sort invoices so that they can follow up on overdue bills.

Choosing your billing schedule grants you the freedom to even out and predict your cash flow. You may choose to set up your bills so you don’t have to pay every vendor on the same day each month. You feel less of a financial strain and reduce your dependency on credit. With a set schedule, you also know when money will come in from clients, so you plan to cover your business expenses.

Using a platform like CORE enables your firm to email invoices instantly and let your clients pay with a credit card. When you make it convenient for users to pay you and remove your firm’s obstacles to receive payment, you’re more effectively set up to receive your money on time or even early! 

Most invoice management platforms include other accounting functionality, allowing you to better understand your business expenses and where it's possible to cut costs. Saving time on administrative work through accounting and HR automation features leaves you with more time to provide service to your clientele, boosting revenue for your firm. 

Recurring Payments

Suppose you’re a business owner that finds yourself sending the same or similar invoices to repeat clients on a regular basis. In that case, an automated recurring invoice workflow with customizable templates can streamline this process and eliminate any chance of billing error. Recurring invoicing is best for service businesses offering repeat services, monthly contracts, subscriptions, or memberships.

Automation through a digital platform like CORE relies on AI to handle the tedious work of setting up and sending repeat invoices without sacrificing the professionalism and personalization offered by small businesses. 

Through software-enabled recurring payments, you automatically charge your client for goods or services delivered. Using AI for this allows your team to work on more interesting, client-facing tasks. As a business owner, you feel secure in the knowledge that payments are received, bills are paid, and your employees are fulfilled.

With CORE, you can set up fixed-rate recurring payments or variable-rate recurring payments. The former is for the same amount charged to the same client (e.g., a subscription), and the latter is for different amounts charged to the same client (e.g., usage-based or volume-based).

No matter which type of recurring payments you use, CORE dashboards let you set up an invoice schedule and forecast future financials in seconds. See what is scheduled to bill and what was actually billed on a year-to-date basis. Invoicing software knows when you first billed a client, when they received their last invoice from you, how much of a project is complete, and when a client’s next invoice is due. 

Automation

A major advantage of recurring billing is consistency. You know when you’ll be paid, how much, and you don’t rely on an employee to drive the process — AI takes care of it. Powering your business processes with artificial intelligence, whether your accounting, analytics, or time tracking, reduces the risk of human error and offers standardization, making your processes reviewable and repeatable. 

Auto-generated templates are a nice time-saving shortcut, but the ability to easily personalize them to fit your business and your client is a must. By auto-populating invoices with expenses submitted to your firm, all invoices reflect the right amount and go out on time based on your pre-determined schedule. The automation of invoicing templates cuts down on duplicate work that previously plagued your employees.

When you set up recurring invoicing, you never have to worry about forgetting to invoice clients for services purchased. Once you’ve automated the process and made it seamless for them to pay online, they’re more likely to continue paying you for your services regularly because it’s convenient for them and they’re used to it.

Organization

With a user-friendly digital invoicing platform, you’re able to predict your income and expenses and ensure they’re paid or followed up on. You keep a centralized log of all past invoices and other crucial financials you may need for accounting, tax, or legal purposes. Grant other stakeholders permission to view this information in CORE so they can access the data they need without your help.

Too often, we leave tasks like invoicing until the last minute, generally the end of each month. Administrative tasks like accounting and payroll, no matter how important they are to your bottom line, disrupt other responsibilities related to providing service. When you automate your billing workflows, you’re left to focus on more engaging work, and your firm is more organized, with detailed recordkeeping and fewer procrastinated tasks.

Digital invoicing also cuts down on collection costs, the expense of paper billing, and reduces waste. Beautifully designed invoice templates make you look more professional, as you can personalize them to match your branding. A client’s journey from visiting your site to receiving emails and invoices from you is cohesive. You and your client receive a receipt copy for each payment, allowing all parties to stay organized.  

Planning with the client

Before you automate a recurring invoice, confirm with the client that they are okay with a routine billing schedule. If they agree to it, recurring invoicing is an excellent tool for your firm to encourage repeat business and negotiate longer contracts. 

The client benefits from an automated billing schedule too! More accurate billing means they're never overcharged and can predict their expenses. They know their exact billing date and can count on receiving a record of their payment each month to review. Because they automatically pay on time, they never worry about late fees or service disruption. 

While automation reliably reduces manual entry errors and other accounting mistakes, you should keep an eye on your invoicing workflows in case you need to make adjustments based on price changes or a failed client payment. In the rare case that an error slips through your digital invoicing process, it’s a good idea to assign an employee to review the process regularly.

Recurring billing is increasingly familiar to consumers — think Netflix, Blue Apron, and Equinox. Your clients are used to seeing monthly charges from companies like these, and they’ll get used to seeing it from you too. 

You may choose to incentivize recurring billing by offering a discount to clients who sign up.

Make sure to choose a billing system that allows your clients to check their account details, edit their payment information, or cancel their upcoming purchases in only a few clicks. Clients will appreciate that they only have to provide you with their payment information one time and can adjust their upcoming services if needed. 

Invoicing Software by BQE

Billing is tedious but necessary, and CORE’s billing automation features drive the process for you to help with client retention, save you time, improve your client relationships, prevent late payments, and foster more predictable cash flow.

With BQE Software, one platform gives you access to project management tools, time and expense tracking, accounting, and more, instead of using separate tools for each. Designed specifically for professional service firms, CORE makes life easier on your entire team and sets you up for more efficient collaboration. 

The platform’s billing functions include recurring invoices, automatic billing, batch invoices, progress billing, fixed invoices, hourly invoices, and percent completion invoices.

CORE delivers the perfect combination of automation and customization. Start with a custom template and edit it to include the necessary invoice details, or build your own invoice from scratch. Thorough analytics reporting helps you identify non-billable time, so you can minimize it, increase productivity, and plan more effective projects in the future.

Use CORE on your computer, tablet, or cell phone to efficiently manage projects, payroll, reporting, accounting, and more, any time. If you need assistance, BQE’s customer support team is available 24/7. Try it today to improve cash flow, organize your firm, and save time. 

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The Author

Susanna Williams

Susanna Williams is the Content Marketing Manager at BQE Software. She has spent 10 years in the marketing field writing and researching for industries that include software, engineering, architecture, health and wellness, legal, education, and more.

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