You Are Running a Business

The billing and collection policy topic, or lack thereof, is a very common problem and a frustrating issue among accounting firm partners. Effective billing and collection begins with accurate timekeeping. Yet, it actually starts even sooner than that. When adding a new client, to protect the firm, each partner should follow a documented client acceptance or client intake process. Consider the following steps when drafting your firm's policy for client intake, billing, and collection: 1. Request credit report. 2. Require partner signoff. 3. Prepare initial engagement letter. 4. Set up client intake form. 5. Send welcome letter. The most important step is obtaining buy-in from each partner. Setting a good example is the role of all partners.