Payment Books – Good for Business, Good for Your Bottom Line
As prices continue to rise, business owners and managers continuously search for ways to cut costs. Faced with rising prices, your business has two choices to curb the increases: find ways to offset them or resign yourself to smaller profits. Businesses extending credit to customers and allowing repayment of debt over time can reduce overhead by using cost-saving payment books rather than an expensive outdated invoicing system. Currently, the U.S. Chamber of Commerce has estimated the cost of producing and mailing an invoice to be more than $1.50 each. Below are examples of our customers saving money using payment books rather than invoices.
· Case Study #1: A Virginia-based manufacturer of outdoor storage buildings decided to use payment
books instead of invoices whenever they finance a customer’s purchase. In their first twelve months, they financed 241 customers using a 36-month repayment schedule. At $1.50 each, creating, mailing and processing monthly invoices for their customers would have cost the company just over $13,000. By adopting payment books as their primary collection tool, this company saved over $10,700 the first year.
· Case Study #2: A vacuum cleaner sales company in Colorado elected to switch from invoicing to payment books. They financed 423 customers for three-year terms during their first year after switching. Their invoicing costs would have exceeded $22,800. Using payment books, they held their costs to under $4,100: a savings of more than $18,000.
· Case Study #3: A shed rental company operating in rural Missouri changed to payment books rather than invoicing. Over a twelve-month period they acquired 288 new rental customers. The average rental period was 48 months. Invoicing would have cost this company $20,736. By using payment books they saved over $17,700.
If you have customers making fixed monthly, semi-monthly or weekly payments, the savings derived from switching from invoicing to money-saving payment books will be substantial. When searching for ways to save money without reducing customer service or satisfaction replace your invoicing with payment books and realize amazing savings! There are no set-up costs to order payment books. You pay only for each payment book you order. It is a quick, easy and inexpensive solution to your collection problems. Return to our website to start ordering your payment books today!
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