A quick-pay discount is a program of discounting an invoice that rewards prompt payment in full by customers, eliminating the need for billing and collection services. Often used with established customers, this can be a modest discount such as 5%. It can also be used as an incentive to prompt to companies who want to extend terms beyond reasonable means.
Make sure that you are clear on the value of this to your customer and don't just offer this to someone because you think it will make they pay faster. Some will say that it is an discount on their regular invoice and should be honored regardless of payment is disbursed.
You can also do the inverse on your invoices and note that a certain percentage late fee will be added to invoices over a set time period, such as a 1.5% late fee will be added to invoices over 30 days.
Cash flow is king, when it comes to ANY business.
You can' t pay anyone on promises.
Therefore, establishing a good quick payment channel is like having water flow when you turn on the tap. This will take the stress out of the fixed expenses of your business.
Another quick-pay discount option, used in the seminar business is to offer a discount for early registration. For example, if your seminar is priced at $1,297 you could offer a price of $897 if you register before X date. Typically 60 days in advance.