What are some best practices for sending customer statements?

It’s a good practice to send customer statements periodically, e.g., quarterly or monthly. The frequency depends on such variables as your industry, company size, payment terms and number of transactions per customer. Statements are a good way to contact your customer and remind them of their bill status, while not being a collection letter.

Statements should be clearly titled and should not look like invoices, which creates confusion that can slow down payment, lead to duplicate payments or necessitate phone calls etc., all of which increase cost for both you and your customer. A well designed, clearly-titled statement avoids this.

It is not necessarily helpful to itemize transactions that have been both billed and paid and that net out. The purpose of a statement is to list all open items on the account, including invoices, credits, etc.

Another point made by advisory board member John Salek is to avoid sending out all statements at the same time each month or quarter, since you may be flooded with calls from customers all at once. Instead, break statements into batches and send, for example, twice a month, to spread out the reaction workload.

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