You're running a freelance business. How can you streamline your payment processing?

1 Choose a payment platform

Choosing a reliable and convenient payment platform is the first step to streamline your payment processing. Payment platforms are services that enable you to accept and send payments online, usually through a website or an app. There are many benefits to using a payment platform, such as the ability to accept multiple payment methods, different currencies, and automate invoicing and billing processes. Plus, you can integrate your payment platform with other tools like accounting software, project management software, and email marketing software. Popular payment platforms for freelancers include PayPal, Stripe, TransferWise, and Payoneer; however, each platform has its own features, fees, and limitations so it’s important to compare them to find the one that works best for you and your clients.

2 Set clear payment terms

Streamlining your payment processing involves setting clear and consistent payment terms with your clients. These terms should include the payment method and platform you prefer, the currency and exchange rate, the payment schedule and frequency, the payment deadline and late payment policy, as well as the invoice format and details. It's important to communicate these terms to your clients before you start working on a project and include them in your contract or proposal in order to avoid misunderstandings, disputes, and delays in your payment processing.

3 Automate your invoicing and billing

Streamlining your payment processing can be achieved by automating your invoicing and billing processes. Doing so manually can be tedious and prone to errors, especially when dealing with multiple clients and projects. Automating these processes can save time and effort, reduce errors, improve cash flow, and enhance professionalism. This can be done by using a payment platform or a dedicated invoicing and billing software such as FreshBooks, Invoice Ninja, or Wave. These tools can help you create, send, and manage invoices and payments more efficiently and effectively.

4 Track and monitor your payments

Regularly tracking and monitoring your payments is another way to streamline your payment processing. This involves recording and reviewing the status and history of your payments, which can help you manage your budget and cash flow, plan taxes and expenses, resolve issues and disputes, and analyze your performance and profitability. You can track and monitor your payments with your payment platform or with separate accounting or bookkeeping software, such as QuickBooks, Xero, or Zoho Books. These tools can make it easier to record, organize, and report payments and transactions accurately.

6 Update your payment systems

A sixth way to streamline your payment processing is to update your payment systems and keep them current and relevant. This involves reviewing and improving your payment methods, platforms, terms, processes, and tools. Doing this can help you adapt to changes and trends by exploring new and better ways to accept and send payments online, optimize your efficiency and effectiveness by fixing any issues or gaps in your payment processing, and satisfy your clients by meeting their expectations and preferences. To update your payment systems, you can research and test new payment options, platforms, or tools; ask for feedback from your clients or peers; or hire a professional or consultant to audit and improve your payment processing.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?