There are many options on how to get paid within QuickBooks. The question is which method or methods will work best for your business. I will outline some of the more common methods of getting paid within QuickBooks and introduce a new online method. All payments can be applied by using the Receive Payments button located on the QuickBooks home screen
Cash or Check:
Checks seem to be becoming a less common type of payment method, with most businesses preferring credit card or direct bank transfer. The reason is checks are a pain to deal with and are labor intensive. You need to receive the check into QuickBooks and then take it to the bank for deposit. Also, you always run the risk that the check will bounce and then you will have a whole new headache. For certain types of businesses I would recommend not accepting checks. One place where I have seen the practice of not accepting checks become more and more common is restaurants. Some types of businesses though will not be able to avoid accepting checks. Most people and businesses are not opposed to payments in the form of cash
Credit Card Processing Options:
Many businesses like accepting credit cards as it is a quick and reliable way to get paid. Though credit card processing fees can be costly for some businesses, for others it is the way to go or more time would be spent chasing down unpaid invoices thus increasing labor. Processing your credit cards directly in QuickBooks is extremely easy, though processing fees may be higher than other credit card processors. However, you won't have to spend time entering manual payments and credit card batches, which can be very time consuming. I have not seen a credit card processor be able to import credit card payments into QuickBooks and apply the payment to a customer's open invoice(s) in QuickBooks. However, I'm sure a sure that a service like that exists I'm just not sure how well it works.
QuickBooks Online Direct pay via PaymentNetwork:
QuickBooks introduced this new option in April of 2011 where you can send an invoice by email, your customers can click on the payment link and you get paid directly from their bank account into yours. The fee for this service is $0.50 per payment received and it costs your customer nothing! There are no set up fees, no monthly fee, no monthly minimum and no contracts allowing you to cancel at anytime. You can watch a 2 minute demo of this service (video takes a few seconds to load).
Staying on top of and dealing with accounts receivable can be time consuming, costly to a business and a pain. Some payment options are less labor intensive and time consuming but come with a fee. Finding what works best for your business with handling payments in QuickBooks may not be the easiest thing to figure out so feel free to reach out to us for some advice.