--- title: Top 5 Tips for Collections Businesses description: Learn how the right payment processor can help your collections business improve on-time payments with your customers and build better relationships. image: https://repay.com/hubfs/Top%205%20Tips%20for%20Collections%20Businesses.webp --- [** BACK TO THE BLOG](https://repay.com/blog) # Top 5 Tips for Collections Businesses - [Facebook](http://www.facebook.com/sharer/sharer.php?u=https://repay.com/blog/top-5-tips-for-collections-businesses) - Twitter - [LinkedIn](http://www.linkedin.com/shareArticle?mini=true&url=https://repay.com/blog/top-5-tips-for-collections-businesses) - [Email](mailto:?body=https://repay.com/blog/top-5-tips-for-collections-businesses) July 29, 2020 | By [Kristen Hoyman](https://repay.com/blog/author/kristen-hoyman) | [ARM Collections Payment Processing](https://repay.com/blog/topic/arm-collections-payment-processing) ![](https://repay.com/hubfs/Top%205%20Tips%20for%20Collections%20Businesses.webp) Many small to mid-sized businesses find payments to be their most significant challenge. Odd, we know, but all too common. You’d think companies would want to develop the simplest way to accept and receive money. This is especially true of the [ARM/collections industry](https://www.repay.com/accounts-receivable-management/). Collections are fraught with outdated systems and methodologies that make collecting on-time payments from their customers a nightmare. Over time, invoices pile up, accounts go past due, and cash flow dwindles. Implementing a strong collections strategy is vital to your business. While you can’t force clients to pay on time, you can change how you operate to be more efficient and convenient to improve your cash flow. **Make Payments Easy** You need to facilitate a convenient payment structure if you want to receive your money on time. A web portal that allows customers to pay when and where they want is ideal. More payment options mean that clients can use their preferred methods to quickly and easily pay off their monthly balance. **Prioritize Invoicing and Billing** While billing isn’t a lot of fun, it should be top-of-mind. One of the most critical elements of your business is cash flow. The more quickly you invoice your client, the more likely you will receive your payment on time. **Building A System** Losing track of bills and invoices can be all too easy. Having an organized numbering system is vital. Consistency is the key if you want to ensure you receive payments on time. **Sending Reminders** It’s normal for a business to set appropriate payment terms when sending an invoice to a client. Usually, the terms for collections are “Net 30” for invoices over $500. Lower amounts can be due as soon as the client receives the invoice. Make sure you note the payment terms on every invoice. One easy way to improve on-time payments is to utilize [SMS payments](https://www.repay.com/text-pay/) to send quick reminders and have them pay using nothing more than the phone in their pocket. **Polite Invoicing** Building up a strong client/business relationship is a top way of keeping accounts receivables flowing. Using polite language to follow up on invoices is more likely to result in a payment. **Takeaways** Although invoicing and payments can be challenging, every business must address them. Taking these steps now can set your collections business up for success in the future. These simple tips can go a long way toward helping you receive more money on-time.  [Back to the blog](https://repay.com/blog) ** ## REPAY Blog ### Subscribe For Blog Updates ### Recent Posts - [Reducing Fraud Risk Without Adding Payment Friction](https://repay.com/blog/reducing-fraud-risk-without-adding-payment-friction) - [Case Study: From 3,000 Checks a Week to a Modern Vendor Payment Automation Platform](https://repay.com/blog/case-study-from-3000-checks-a-week-to-a-modern-vendor-payment-automation-platform) - [What Real B2B Payment Support Looks Like](https://repay.com/blog/what-real-b2b-payment-support-looks-like) - [View All Posts](https://blog.repay.com) ### Topics - [Payment Technology (120)](https://repay.com/blog/tag/payment-technology) - [B2B (60)](https://repay.com/blog/tag/b2b) - [ERP Payments (47)](https://repay.com/blog/tag/erp-payments) - [Integrated Payments (41)](https://repay.com/blog/tag/integrated-payments) - [Lenders (33)](https://repay.com/blog/tag/lenders) - [Vendor Payment Automation (31)](https://repay.com/blog/tag/vendor-payment-automation) - [Credit Union Payment Processing (23)](https://repay.com/blog/tag/credit-union-payment-processing) - [Online Payment Portal (23)](https://repay.com/blog/tag/online-payment-portal) - [Consumer payment (22)](https://repay.com/blog/tag/consumer-payment) - [ARM Collections Payment Processing (21)](https://repay.com/blog/tag/arm-collections-payment-processing) - [Contactless Payments (21)](https://repay.com/blog/tag/contactless-payments) - [Partners (21)](https://repay.com/blog/tag/partners) - [Business Payment (20)](https://repay.com/blog/tag/business-payment) - [Mobile Payments (20)](https://repay.com/blog/tag/mobile-payments) - [Healthcare (18)](https://repay.com/blog/tag/healthcare) - [Events (15)](https://repay.com/blog/tag/events) - [ACH / EFT Processing (14)](https://repay.com/blog/tag/ach-eft-processing) - [PCI Compliance (14)](https://repay.com/blog/tag/pci-compliance) - [Auto Lender Payment Processing (12)](https://repay.com/blog/tag/auto-lender-payment-processing) - [Debit Cards (12)](https://repay.com/blog/tag/debit-cards) - [Integrated B2B Payments (12)](https://repay.com/blog/tag/integrated-b2b-payments) - [Vendor Payment Security (12)](https://repay.com/blog/tag/vendor-payment-security) - [Automotive Vendor Payments (7)](https://repay.com/blog/tag/automotive-vendor-payments) - [Instant Funding (6)](https://repay.com/blog/tag/instant-funding) - [Mortgage Payments (6)](https://repay.com/blog/tag/mortgage-payments) - [Hospitality Vendor Payments (5)](https://repay.com/blog/tag/hospitality-vendor-payments) - [Education Vendor Payments (4)](https://repay.com/blog/tag/education-vendor-payments) - [Virtual card payments (4)](https://repay.com/blog/tag/virtual-card-payments) - [Government-Municipalities (2)](https://repay.com/blog/tag/government-municipalities) - [Automotive - Primary BP (1)](https://repay.com/blog/tag/automotive-primary-bp) - [Education (1)](https://repay.com/blog/tag/education) - [HOA Management (1)](https://repay.com/blog/tag/hoa-management) - [Hospitality (1)](https://repay.com/blog/tag/hospitality) [See all topics **](https://repay.com/blog/top-5-tips-for-collections-businesses#) ![](https://px.ads.linkedin.com/collect/?pid=4427516&fmt=gif)