GoCardless and Xero Integration
Our business model has altered recently in that we are doing more client facing work on retainers. Previously most income was from lead generation which meant the money just dropped in our account – we like that! As we had not spent large chunks of time doing admin and chasing clients for money it seemed sensible to find a way to collect our cash without having to work hard at it. Our accountants suggested we have a word with the guys at Just Add Tech. Job done.
Marc Heighway, FIMA Digita Ltd – www.fimadigital.co.uk
Business Name: FIMA Digital
Commencement Date: January 2018
Nature of Job: Direct Debit Processing and integration with Xero
Systems Used: GoCardless, Directli and Xero
- Little previous experience at completing Credit Control
- Manual processing of sales invoicing in Xero and bank reconciliation
- Needing to maintain good cashflow in line with existing business model
- No additional accounting or Credit Control resource available
Referral from accountant who understood the needs of the business but lacked the inhouse knowledge to implement a solution. Upon review of the company’s current sales and invoicing process it was obvious that the current systems would need to be tweaked. This was highlighted as a key area to discuss with the client. During the conversation this issue was discussed, including the fact that the company needed to change internal invoicing processes and provide Direct Debit facility to easily implement the new business model.
To assist the company in addressing these key issues, we worked alongside the client to decide which would be the most appropriate payment methods and how this could be delivered with a very light touch. These sessions helped to identify whether the objectives and systems were aligned. The key outcomes of these sessions were:
- As there are no ongoing subscription fees Direct Debit would be offered to clients
- The sign up option needed to be delivered in such a way that clients could selfserve
- Needed to make it super easy for the Direct Debits to be allocated against specific invoices. A subscription type Direct Debit would not work as it is no different to the issues with Standing Orders
- Each person dealing with the sales invoice process and cash collection knew how to access and use the new systems
As we knew the systems being used well we knew what would be a good fit and could deploy a solution pretty quickly. We tested, implemented and trained key staff. Procedure documents were written and provided to the client.
- Can now offer payment methods to clients including Direct Debit
- No ongoing fees or subscriptions as products pay as you go on as little as 1% of transaction capped at £2
- Improved cash collections and debtor days whilst decreasing bookkeeping and credit control resource
- Repeating invoices generated from Xero for monthly retainers
- Bank Reconciliation automation enabling accurate allocation to Direct Debits.
- Automated email reminders can be emailed from Xero
