What are payment services in Xero?
Payment services in Xero are ways for your customers to pay your sales invoices using digital methods. These include card payments, online payment and direct debit.
Once set up, when you email an invoice to a customer, the email and digital invoice will include a 'Pay Now' button.
Clicking this button will give your customer the option to make payment straight away using any payment services you have set up such as payment by debit/credit card.
Customers can make payment in a few click of a button making the process so much easier at their end.
Are payment services worth it?
In our opinion, Yes!
According to research done by digital banking platform Tide, small business owners can spend nearly two hours a day chasing overdue invoices. Most of this time being done after hours, in the evenings.
This is family and relaxation time that small business owners lose and never get back.
But this is where payment services in Xero can help!
Giving customers a more convenient and easy way of making payment for your services, can significantly reduce the amount of debt collection that small business owners need to undertake.
But aren't they expensive?
This depends on which payment service you use and how much your free time is worth to you.
The card and direct debit payment providers charge a small percentage of the sale as a fee for processing the transaction. These fees are generally between 1% and 2% of the transaction but could be a price worth paying if it saves you hours of admin and chasing debts.
There is however, a payment service provider that offers online payments between UK banks for FREE! These aren't card payment but instead is payment through their online banking.
On a mobile phone, the software simply guides them through their online banking app, populates the payment details and requires a one click approval from the customer.
How do I get started?
Simply contact us today and find out how we can help get you set up. We'll have you collecting online payments in no time.
Guidance and support in getting set up with these services and many other add-on apps within the Xero marketplace, is fully included in our accounting packages.
Want to learn more about TidyCloud?
You'll find lots of helpful information in our information pack