Payment Terms (Invoicing Terms) - Driving the Due Dates
What it Does
- Allows you to set due dates on an invoice
- Adds a line item fee when a due date is missed
- Connect Payment terms with Notification Center to receive alerts when a late fee is added to an invoice
- Add a max or min amount for Late fee
- Set automated Late Fees to trigger each month invoice is not paid
What it Doesn't Do
- It does not notify you when a late fee has been added (You need to setup a notification in notification center to receive an alert,
details at the bottom of this walk through.) - Alert the customer when a late fee has been added (You need to send out a notification to the customer using the customer comment module or emailing the customer)
Tour
To set up payment terms head over to your Admin Tab. Then scroll down and select "Payment Terms" under the "Invoices" section.
Select the green "New Invoice Term" button to create a new payment term.
In the next screen, you can name your term and set parameters that will trigger a late fee on an invoice.
You can choose between a set number of days that the invoice must be paid after work is completed or a specific date of the month when an invoice should be paid. Specific days are particularly useful for recurring invoices.
Clicking on the "Advanced" option will allow you to set choose how often the fee will be charged to the customer for every certain amount of days that the invoice goes unpaid.
You can also choose to set a max and minimum fee or percentage rate.
When you are done select the green "Save" button to save and move onto the next screen.
A blue message will confirm that you are all set!
Setting Payment Terms
Once you have created your payment terms, you can set automated Late Fees in one of two ways.
I. Editing Invoice Details
You can select payment terms by selecting the drop down underneath "Invoice Details"
II. Editing in Customer Profile
You can set default payment terms in the customer profile by heading over to the "Customers" tab and selecting
the customer you want to edit.
Select the Green "Edit" button at the top right and then select "Additional Fields". From there you will select the drop down that says "Default Terms" and select the desired Payment term. Save and you are good to go.
Setting up Alerts
*To add the notification head over to Admin Tab > Notification Center > Select the yellow edit box near a group and select the box that says "Invoice - Late fee was added/increased".
Select the green "Update Notification Rule" to save your changes.
