PALO ALTO, CA, July 31, 2018 -- Bill.com, the leading U.S. digital business payments service, today announced the results of a survey revealing that freelancers are ardent supporters of digital payments, with 86 percent of freelancers wishing - and 41 percent requiring - to receive payments electronically in an effort to combat late payments.
The gig economy continues to grow as a critical and influential segment of the U.S. workforce, but getting paid remains a sore spot among this group. According to the survey of over 1,400 U.S. freelancers and contractors:
Over 50% are still being paid by check
54% say it takes too long to get their money
45% say clients don’t pay them on time
30% say dealing with payment processing fees such as those charged by credit cards or consumer payment services, such as PayPal, are a problem
“All small businesses struggle with cash flow, and self-employed professionals are no exception,” said Liz Steblay, founder and CEO of the Professional Independent Consultants of America (PICA). “Most corporations have payment terms of 45 days or even 60, which is brutal when you’re self-employed. To add insult to injury, it’s surprising how many clients still pay by hard-copy check which can easily add another week to the payment process. With more and more professionals becoming self-employed, the companies that offer faster, more reliable payments will win the best talent.”
Being paid digitally provides several benefits for freelancers and the companies that hire them. According to the findings, 81 percent of those surveyed say that customers who pay electronically tend to pay on time. Furthermore, 63 percent admitted to feeling more valued when they are paid digitally, which impacts the overall quality relationship between freelancers and their clients. The survey results also reveal that digital payments are so important to this workforce that nine percent of freelancers have lost potential customers because they cannot support their preferred payment method.
“The gig workforce and their influence is poised to continue to grow each year as companies look to expand their workforce and Americans embrace a more flexible lifestyle,” said René Lacerte, founder and CEO, Bill.com. “Digital payments not only meet the needs of both parties, but they do it quickly and with less hassle.”
With freelance work being the primary source of income for much of this workforce, many (41 percent) agree that the top priority for payment from a client is quick processing, followed by no-fees (24 percent) and hassle-free (16 percent). However, despite the ease of going digital to expedite payments, many U.S. companies still have a ways to go.
To help close this gap, Bill.com provides digital business payment solutions so businesses can meet the timely and ease-of-payment needs of the freelance workforce.
For more information on digital business payments, please visit www.bill.com.
Bill.com is the leading business payments service with 3 million members processing over $52 billion per year in payment volume. Bill.com helps businesses connect and do business by saving them more than 50 percent of the time typically spent on financial back-office operations. Bill.com partners with four of the top 10 largest U.S. banks, more than 60 of the top 100 accounting firms, major accounting software providers including Netsuite, Intacct, Intuit and Xero, and is the preferred provider of digital payments solutions for CPA.com, the technology arm of the American Institute of CPAs (AICPA). Recognized as one of San Francisco Business Times’ and Silicon Valley Business Journal’s “2018 Best Places to Work,” Bill.com has over $200 million in funding with the most recent investment round led by Temasek and JP Morgan Chase.