Episode 73: 10x Jump - Eliminate up to 95% of collections tied to AR

Transcript

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Welcome to episode 73. So you're going to see a few changes, uh, kind of limited items on the podcast as I get ready for season two and the new year and a few other things I've got going on. So bear with me as I You're not going to see the intro music probably on a few of these, and it's just going to be a little more simple. But right now, I'm going to jump straight into 10xJumps and one of the next ones. If you listened to the prior episode, you will see I spoke about subscription based fees. I actually implemented that and this at the same time, the one that I'm going to talk about today. So, this particular 10xJump for me. It removed collections in my small business by about 75 to 95%. I don't like collecting from a client who has not paid. I don't think anyone likes that. And I really took this from watching, uh, law firms when I got to work with some different law firms. And I saw some patterns that I liked and I thought, you know what, I'm going to modify this and make it work for my bookkeeping business. And that was about 17 years ago, and I virtually eliminated collections for the majority of, um, of all the revenue that comes in. So what I did is I implemented, I did the subscription based, and the piece today was I made everything due at the first, at the beginning of the month, rather then month end. So before we do the work, our fee is due. Uh, there's only a few people who have been with me, a few companies, this is kind of crazy. I've had clients with me heading toward now 20 years. I've had my business 20 years. I have clients 17, 18, 19, possibly gonna hit 20 years. And those people do not have this, but everybody else, uh, all of my other clients and all new clients have this, um, standard beginning of the month is when our invoices due and That, uh, helps your cash flow stay stronger. It removes collections and it has been fantastic. So I wanted to share, uh, that is a 10 x jump that basically makes me as the owner and CEO my job easier. And as mentioned before, it strengthens cash flow. So it's been a little bit nutty over here. we've had a ton of snow in Montana, which thrills me, uh, to no end. I've also been doing a bit of traveling. I was in, uh, California for a bit. And then the next week I was in Austin, Texas for an event. And so. I think as we wrap up this year, I can easily conclude that this entire year has been what I would call project based. Not a normal schedule, but there is a possibility that all of my work for the rest of my life might end up being project based. Um, it's been such a different year, but I am full of gratitude as we start winding down 2024. I hope everyone has a great rest of their day.