The Best Billing Process for Agency Owners
Knowing when and how to bill clients is critical for the success of your agency. In 2025, with the wide array of tools available, billing clients has become easier than ever. Here are some quick tips to streamline your billing process and ensure your agency stays financially healthy.
1. Create a Service Agreement with a Payment Authorization Form
Why It’s Important
- Set Up Recurring Payments: Including a payment authorization form with the service agreement allows you to establish auto-recurring payments easily.
- Reduce Follow-Up Work: Sending separate invoices or payment links can lead to constant chasing of unpaid bills. Handling the setup yourself ensures consistent payments.
- Easy Cancellation: If a client decides to cancel, you can simply log into your payment processor and terminate the recurring payments.
Best Practice
Attach the payment authorization form directly to the service agreement to streamline the onboarding process.
2. Bill the Second You Start Working
Why It’s Important
- Avoid Free Work: Delaying billing until ads are launched or a website mockup is approved can result in unpaid work.
- Ensure Client Commitment: Billing upfront ensures that clients have “skin in the game,” which fosters trust and accelerates their responsiveness.
- Protect Your Team: Ensure your team is fully compensated from the start, reducing financial strain.
Best Practice
Start billing as soon as work begins. This approach sets the tone for the client relationship and increases retention.
3. Timely Agreement Delivery and Billing Follow-Up
Why It’s Important
- Faster Decision-Making: Delivering the service agreement quickly enables clients to make decisions sooner, accelerating the onboarding process.
- Resolve Payment Issues Promptly: Address failed payment methods immediately to maximize the chances of resolution.
Best Practice
- Send agreements within 24 hours of a client showing interest.
- Follow up on payment issues immediately to prevent prolonged delays or disputes.
4. Be Professional
Why It’s Important
- Maintain Client Relationships: How you handle billing issues can impact the overall client relationship.
- Build Trust: A professional approach ensures clients feel respected, even in difficult conversations.
Best Practice
- Keep It Emotion-Free: The billing director or team should approach issues calmly and professionally.
- Reference Agreements: Use the service agreement to address client concerns objectively.
Conclusion
An efficient and professional billing process is the backbone of any successful agency. By setting up recurring payments, billing upfront, delivering agreements promptly, and maintaining professionalism, you can reduce the administrative burden and ensure consistent cash flow.
If you’re looking for more tips or need a team to help you scale your agency, we’re here to help. Contact us today to learn how we can support your growth and success.
