The 3 big invoicing mistakes business owners make (and how to avoid them)

Did you know that Aussie businesses are owed over $115 billion in outstanding invoices? It’s shocking, but there are some easy fixes business owners can try to hopefully avoid falling into that trap time and time again.

For all the joys of running your own business, there are pains too.

For example, even a few unpaid invoices can cause a ripple effect – and suddenly you’re behind on bills and more stressed than you need to be.

But what if better invoicing habits could help you get paid faster and reclaim control of your cash flow?

Invoicing mistakes you can fix

Let’s focus on what you can control. According to Joshua McNicol, Director of Growth at business payments and financial services platform Zeller, there are three major invoicing mistakes business owners can easily fix.

“The first is manually invoicing,” he says. “Literally using a spreadsheet or handwritten invoices – there’s no way to digitise it, no way to track it, no way to automate it.”

The second mistake is creating friction that makes it harder for customers to pay: “If you’re asking a client to manually log into their banking app, copy and paste your details and transfer funds, you’re inviting the risk of mistakes. Compare that to enabling your customers to pay invoices the minute it pops up on their smartphone or in their inbox with an embedded credit card payment link.”

The third big issue? Letting invoicing become an after-hours administration task.

“Keeping on top of invoices is one of the biggest ways you can maintain your business cash flow,” McNicol says. “But when it becomes something business owners do after-hours or at the end of the week or month, they delay getting paid.”

Strategies to help you get paid faster (for free)

Good news: fixing your invoicing process doesn’t need to be an expensive overhaul. Search ‘online invoices Australia‘ and you’ll see plenty of free tools out there.

One that can dramatically speed up the process is Zeller Invoices, an invoicing solution that lets business owners and finance managers create and send invoices in less than 30 seconds via email or SMS.

“Our data shows us that if you send an invoice to a customer via SMS, you’ll get paid 43 per cent faster than when you’re sending it via email,” McNicol says. “And if you make sure there’s a credit card payment link, you’ll get paid up to 75 per cent faster.”

Why? It’s all about convenience. If customers can open your invoice on their phone and pay it instantly with a few clicks of a button, they’re much more likely to do it then and there.

Why online invoicing is better than manual invoicing

In addition to slower payments, manual invoicing comes with a number of hidden costs.

“If you’re still invoicing manually, you’re not capturing a digital record of your items going out, your services being provided and your cash inflows and outflows,” McNicol says, adding that at tax time or during financial reporting periods, that makes things way harder for you and your bookkeeper.

Online invoicing tools automatically record what’s paid, unpaid or in draft. And that kind of visibility makes the entire financial side of your business much more efficient.

But it’s not just about efficiency – McNicol says it’s also about professionalism and business reputation: “When you can add your business logo and design your invoices professionally, customers see you as a more trustworthy and secure business, so you’re more likely to get paid faster.”

Case in point: Zeller Invoices

Zeller Invoices is a mobile-first solution that lets business owners send invoices straight from their smartphone, wherever they are.

“You can create and send invoices when you’re on the go, as soon as the job’s finished,” says McNicol.

“It can be sent directly to a customer – to your client’s smartphone or their email inbox – and it comes with an embedded credit card payment link, so it gets you paid faster. It then allows you to completely take in all of that invoice input and process everything online without any ongoing monthly or annual subscription fees.”

3 more important online invoicing tips

Once you’ve got a tool in place, it’s time to build better invoicing habits. McNicol recommends three habits that can make a big difference:

1. Set up automatic reminders: Zeller Invoices lets you schedule follow-ups for unpaid invoices, so it’s an easy way to stay top-of-mind with customers.
2. Request deposits upfront: If you’re buying goods or committing time upfront, a deposit invoice helps lower your personal risk and shows you’re serious.
3. Design professional invoices: Use your logo, choose clean templates – it increases trust and speeds up payments.

Every business is different, but one thing is universal: getting paid faster makes everything else easier.

So, if you’ve been chasing down late payments or just want a more professional invoicing system, tools like Zeller Invoices can get you there – without eating into your margins.

Sign up for free to Zeller Invoices now.

WATCH: How to send an invoice with Zeller

This article is brought to you by Flying Solo in partnership with Zeller.

Feature image: Zeller