Allowing 5% for bad debts may seem high, however, keep in mind present state of economy and remember this figure can be adjusted as economic conditions change. Today, it is not unusual for businesses to take longer to pay invoices then they did a couple of years ago. Most businesses expect to pay late fees for overdue invoices, however determining how much to charge and whether or not you are meeting various legalities involved can be time consuming. It may be easier to add a percentage to your overall fees to offset bad debt. In a sense, you are spreading economic risk over all your clients. For a small business this may be safest and less time consuming course of action.

If your client base is large enough, a certain percentage of your customers will go out of business, leaving you with unpaid and uncollectable invoices. There is little chance you will collect any money in a bankruptcy hearing. To protect yourself, you can charge partial fees as your work progresses. This way you are assured of having received at least some of your money. Not all businesses are set up to take advantage of this option.

Remember, you are not in business to give away your services. Your goal is to provide yourself and/or your family with a reasonable income. Uncollected invoices are part of doing business, you owe it to yourself to consider this before you get stuck.

Copyright 2000, DeFiore Enterprises.

If you receive meeting highlights or minutes by mail, these can be placed in a yellow folder for your perusal at a later date. These are types of things that can be read during lunch, or while backing up files, printing, etc.

Magazines and articles you receive can be placed in a black folder. This is your reading folder. Take it with you when you go on appointments that you know you will have some lag time. Read during lunch. Schedule time in morning and weekends. If you make reading a part of your daily schedule, it won't pile up. And remember, once you read it, file it away, or toss it.

Every piece of paper should generate a reaction, reaction might be to deal with it, file it, or toss it, but one of them needs to occur. If you follow this simple rule, you can keep mail and paperwork under control, and your sanity to boot.

Copyright DeFiore Enterprises 2000