How to Keep Track of Customers Who Still OweYou

A sale is not complete from a cash-flow point of view until the customer pays.

Keep a simple list of every customer who still owes your business money. The list should include the customer’’s name, amount owed, original due date, and the date of your most recent reminder.

Review the list at least once a week.

When a payment becomes overdue, follow up promptly. A friendly reminder sent shortly after the due dates usually easier than trying to collect the payment several months later.

Your reminder should clearly mention:

• The amount due

• What the charge was for

• The original due date

• Available payment methods

When the customer pays, update the list immediately.

Do not rely only on your memory or your bank balance. A busy business can have many sales but stillexperience money problems when customers take too long to pay.

Tracking unpaid customer bills also helps you notice patterns. You may discover that certain customersregularly pay late or that your payment terms are unclear.

A simple, regularly updated list can help prevent earned income from being forgotten.