Unpaid invoices. Delays in receiving a wire transfer.
Not getting paid after providing goods or services is a problem for companies of all sizes — from freelancers to the Fortune 500.
According to a recent study, unpaid invoices for all small businesses in the U.S. totaled about $825 billion, with an average of $84,000 in unpaid invoices for each. Yet another study found that globally over a trillion dollars of invoices are paid late to smaller firms.
Large enterprises also have problems getting paid. A 2018 survey of internationally active companies found that in the Americas over 90% had late payments, with 50% of invoices reported as overdue and being an average of 37 days late.
Strategies to reduce late payments usually involve following up with customers, imposing onerous penalties, or choosing partners more wisely in the first place.
Fortunately, new tools like Clause can help a business of any size easily avoid late payments. Clause enables sellers to set up their contracts so that buyers must pay with a credit card or a bank account at the same time as they sign the agreement. Sellers won’t have to chase invoices or be concerned about when a payment will actually be made.
As the following screen from the Clause platform shows, adding a clause that enables a buyer to pay when they sign is as easy as point-and-click.
Clause believes that contracting shouldn’t be a headache — for either party to a deal. That’s why we are building the world’s only platform for connecting your contracts to all of the tools you use, from payments to accounting to digital signature and beyond.
With Clause, getting paid late — or not at all — may soon be a thing of the past.