In today’s marketplace, financial challenges are more relevant than ever. Buyers have more financial constraints, and often, more signatures are needed in order to close a deal that would have been simple even five years ago. Financial constraints can affect companies of all sizes. Whether it’s due to market shifts, economic downturns, or unexpected costs, many businesses will find themselves under financial pressure at some point, even with excellent strategic management. As a service provider and vendor, it's important to recognize when your clients are struggling financially—and to respond with proactive support strategies that not only help them weather the storm but also strengthen your relationship with them in the long term.
Signs that a customer may be facing financial constraints
Some customers are willing to be open with their vendors and alert them to financial issues as they arise, but many customers show subtler signs, including:
- Late payments
- Missed payments
- Partial payments
If your customer exhibits atypical payment behavior, this might be a sign to reach out and see how you can support them while they work to improve their financial status. Proactively offering support can strengthen your relationship with your customer and increase long-term loyalty.
Here’s how you can implement proactive strategies to support clients under financial pressure while keeping your partnership strong and ready to go the distance.
1. Review and Customize Services to Fit Their Budget
Sometimes, clients under financial pressure may need to scale back on the services they’re receiving. Rather than having them cut back on their subscription or service entirely (which could lead to churn), work with them to customize a package that fits their current budget.
- Audit their needs: Conduct a quick review of their current usage. Are there features or services they’re no longer using? You can suggest downgrading or removing certain aspects that aren’t essential, reducing their costs without losing the entire contract.
- Offer alternative solutions: If certain premium features are too expensive, suggest lower-cost alternatives that still meet their needs. Being creative about what you offer can show clients that you’re invested in their success, not just their wallet.
2. Be Empathetic and Patient
Sometimes, the best thing you can do when a client is struggling financially is simply to show empathy. They’re probably going through a tough time and might be feeling overwhelmed. A little kindness can go a long way in preserving the relationship.
- Listen carefully: Take the time to really listen to your clients’ concerns. Sometimes, they just need someone to understand their situation and offer reassurance.
- Offer moral support: Let them know you’re in their corner. Phrases like “We understand how challenging things are right now, and we’re here to support you” can make a big difference.
- Avoid being too pushy: If they’re not ready to commit to a solution or a new payment plan, give them the space to breathe. Pushing too hard can damage the relationship, so let them come to you when they’re ready.
Showing understanding, flexibility, and compassion can turn a challenging situation into an opportunity for growth and trust-building.
3. Offer flexible payment terms
One of the best ways to support clients facing financial challenges is by offering more flexible payment terms. If your client is struggling to pay bills, sticking to rigid payment deadlines can add more stress. Consider offering:
- Extended payment deadlines: Give clients a little more time to pay their invoices. This can be especially helpful for clients dealing with cash flow issues.
- Installment plans: Rather than expecting full payment upfront, break down the total cost into manageable installments.
- Discounts for early payment: For clients who can pay but need an incentive, offer small discounts for paying their bills ahead of time. This shows that you’re willing to work with them while encouraging timely payment.
Payment platforms such as Capchase Pay make it easy to offer flexible payment terms at checkout. Some companies are reluctant to offer flexible payment options because it means waiting to receive full ARR, but Capchase Pay gives vendors 100% of ARR upfront, allowing sellers to power growth with cash and to meet customers’ financial needs.
Most importantly, Capchase Pay’s proprietary underwriting process lets vendors have confidence in the long-term success of their flexible payment offerings.
4. Provide Access to Self-Service Resources
When budgets are tight, clients often want to minimize costs and manage things on their own. Providing easy access to self-service resources can help clients resolve issues without needing to reach out for support, saving both of you time and money.
- Knowledge base and FAQs: Make sure your knowledge base is comprehensive, up-to-date, and easy to navigate. The more questions clients can answer themselves, the less they’ll need to contact you for support.
- Video tutorials: A lot of clients prefer to learn visually. Create short, actionable videos that walk through common issues or how-to guides for your service. This not only reduces support tickets but empowers clients to handle issues independently.
- Automated chatbots: Set up a chatbot to answer basic queries on your website or app. For simple questions like "How do I reset my password?" or "Where can I find billing information?", a bot can handle it instantly.
When clients are under financial stress, they often prefer to get things done quickly and without additional costs. Offering them the tools to do so can enhance their experience and strengthen their trust in you.
5. Communicate More Frequently and Transparently
When clients are facing financial pressure, they often feel like they’re in the dark. They might be unsure about where things stand with your service, and that lack of clarity can cause additional stress.
To ease these worries, proactive communication is key.
- Check in regularly: Schedule regular check-ins, even if they’re brief, to ask how they’re doing and if there’s anything you can do to help. A quick email or message showing that you’re available for support can go a long way.
- Be transparent about costs: If there are upcoming price increases or changes in your services, give clients plenty of notice. The more transparent you are, the more trusted you’ll become, even if the news isn’t great.
- Offer solutions, not just problems: If there’s an issue that might impact the client’s experience or budget, approach the conversation with solutions in hand. Clients will appreciate that you’re not just bringing problems to the table—you’re also offering ways to work through them together.
6. Help Them Focus on ROI
When clients are under financial pressure, they need to justify every penny they’re spending. A great way to help them feel more comfortable with your services is to show them the return on investment (ROI) they’re getting from working with you.
- Provide detailed reports: Regularly provide metrics and data that show how your service is benefiting them—whether that’s increased sales, time savings, or operational efficiency. Highlight the tangible benefits so that your client feels confident they’re making the right investment.
- Consult on cost-saving measures: If there are ways your service can help them save money in other areas, offer these insights. For example, if your SaaS tool could automate a task they were doing manually, highlight how this could reduce labor costs.
Being able to clearly demonstrate how your service adds value will reassure your clients that they’re getting their money’s worth, especially when their budgets are tight.
Improving the Customer Experience with Capchase Pay
Capchase Pay was created for B2B SaaS vendors with customers of all ARR sizes and payment abilities. Our goal is to help you meet clients where they are, and to close more deals at higher ACV. Unlike other “buy-now-pay-later” solutions, Capchase Pay is backed by a robust proprietary underwriting process that allows buyers in good standing to take advantage of customer flexible payment terms
At the same time, Capchase pays sellers full Annual Contract Value upfront, allowing your company to invest in key growth levers, product development, and marketing endeavors. Capchase manages billing and collections behind-the-scenes, freeing up your Finance team to focus on more important things.
Customers that have the option to pay in installments are more likely to close on annual deals, and at higher ACV, making it a win-win for both vendors and buyers.
Meeting the Needs of Clients Under Financial Pressure
Supporting clients under financial pressure doesn’t just help them—it can also help strengthen your business relationships and lead to long-term loyalty. By offering flexibility, customizing services, providing self-service resources, communicating proactively, and focusing on value, you can create a win-win situation for both you and your clients.
Remember, clients will remember how you treated them in their time of need. When you take a proactive approach to supporting clients under financial pressure, you’re not just preserving a contract—you’re building a foundation for future success together.
