Once-off invoices, particularly those for a few hundred euros, are often some of the most time consuming to get paid. Sometimes you end up chasing payments because a client doesn’t want to pay. However, clients are often simply busy and creating a new payment in their online banking is not their number one priority. This can mean frustration for you and your team, time wasted chasing payments and even damage to the client relationship if there is a lot and back and forth about a payment. For businesses running Xero there’s a reasonably straightforward solution – connect your Xero account to Stripe.
Making Payments Easy for Customers
One of the key parts of actually getting paid in our experience is making it as easy as possible for your customers to pay you. Big retailers and e-commerce companies know this and will offer as many ways to pay as possible – credit/debit card, Google Pay, Apple Pay, cash, vouchers, Buy Now Pay Later. They are trying to make it as simple as possible for you the consumer to give them your money.
Are you doing that with your invoices to clients?
Connecting Xero and Stripe to boost cashflow
Connecting your Xero account to Stripe allows you to send clients a Xero invoice with the option for them to pay directly from the invoice using their credit or debit card. Essentially, you are adding a pay page to your invoice. Once a client pays, you get a notification instantly and the money transferred to your account a few days later. No more chasing clients, just better cashflow.
Won’t I pay Stripe fees this way?
Yes you will, but only a small transaction fee when a client pays you. There is no standing monthly charge with Stripe as there is with some other payment processors. And often, people forget about the cost of chasing payments. If you had a €1,000 invoice and it required four follow up emails and two phone calls to get paid – how much did that cost?
We’ve found Stripe and Xero work best where you choose which invoices have the card payment option enabled. Smaller, one off payments are a good fit for Stripe. While it’s better to encourage customers to pay larger, recurring payments through direct debit or EFT.
How aperio can help
Connecting Xero and Stripe together is pretty straightforward, as is reconciling payments. We’ve helped a number of clients get Stripe connected and in the process helped their cashflow.
If you would like some more details on how we can help with setting up Xero and Stripe then get in contact – https://aperio.ie/contact-us/