Today, we're going to talk
about recurring payments,
what they are and how they can help
stabilize cash flow and help
keep customers happy.
Hey, my name's Morgan Law
from Finepoints.biz.
And my goal is to help bookkeepers
and business owners get organized.
I even have a whole YouTube
channel dedicated to it.
Today, I'm partnering
with QuickBooks to do a video series,
all about helping business
owners better manage their business.
As a business owner,
the list of tasks is never ending,
and the chance to put things on
autopilot is welcomed.
The good news is recurring
payments can assist
in collecting money from customers
with little or no effort.
So today I'm going to tell you everything
you need to know about recurring payments.
Before we continue,
I'd love it if you give
this video a thumbs up,
as well as subscribe
to QuickBooks' YouTube channel.
There's also an article
in the description box bloat
with all this information.
Recurring payments are when a
business charges
their clients on a set schedule
on an ongoing basis.
So this could be debit card,
credit card or ACH bank transfer.
Some examples in your personal life
that you may already have
recurring payments for
are things like Netflix,
a gym membership or a meal delivery kit.
There are many reasons
that recurring payments
have become so popular.
Number one, it's
more convenient for customers.
When customers are automatically
charged on a set schedule,
they can make payments
without lifting a finger.
This will really boost
your customer retention rate
and your profits.
Number two, it reduces
missing or late payments.
Recurring payments don't require
any direct involvement
from your customers
after the initial setup.
So they tend to be more timely
and reliable compared to manual payments.
Number three, it saves
time and eliminates
administrative hassle.
Many business owners spend hours
each week managing their money.
Automating payments will save
lots of time and hassle.
Number four, it stabilizes cash flow.
When your customers
don't pay you on time,
you may have to end up
finding money elsewhere to stay afloat.
When recurring payments
are coming in automatically,
cash flow will be more
consistent and stable.
Using QuickBooks, it's easy
to automate the payment process
in just a few clicks,
QuickBooks Online,
allows you to schedule
invoices in advance.
For more information
on how QuickBooks could help you
with recurring payments,
check out this article.
QuickBooks Payments has no monthly
or up fees and integrates
with QuickBooks Online.
When you get paid through QuickBooks,
transactions are recorded
and matched in the books.
so you stay effortlessly organized
all in one place.
Here are a few best
practices to keep in mind
when using recurring payments.
Number one, set of reminders for account updates.
So you can stay one step ahead of credit
card expirations and payment errors
by setting up alerts
when customer payment
information is incorrect
or about to expire.
That way, customers get a heads up
what they need to update
their credit card information.
Number two, offer flexibility
with payment schedules.
So just like you as a business owner,
your customer is also worried
about managing their income and expenses.
So it's really great
to offer a different payment
plans and frequencies.
so customers can choose
the one that's best for them.
Number three, make
recurring payments easy to stop.
In order to cancel the recurring payment.
It should be just as easy
as when they set it up.
So make sure you provide customers
with clear instructions
on how to cancel their recurring payments
should they need to.
Number four, stay connected to customers.
So now that your payments are recurring
doesn't mean you should
ignore your customers.
Make sure you still
foster that connection
by staying in touch regularly.
There is not that many aspects
of your business
They're going to be able
to run without you.
So this one is a total game changer.
This means less work for you
and a better streamlined experience
for your customers.
That is a win win.
If you found this video helpful,
don't forget to give it a thumbs up
and subscribe to quick
by hitting the red button down below.
Thank you so much for watching.
and I'll see you next time.