- You run a Before and After School Care Programme.
- You want to (or are thinking about) taking payments in Advance (Prepayments).
You have a clear understanding of the business rhythm necessary to manage Before and After School care programmes where payment is requested in advance
- The accounting processes associated with taking prepayments.
What is a prepayment request?
Prepayment Requests give you the option to request a Prepayment before the service is given. BASC providers often use this facility, as it allows them the opportunity to collect payment in advance of the booking.
- This is often used in conjunction with a cancellation policy which identifies the process if paid for bookings are missed.
- It is also a good way to ensure commitment and receive the money in advance.
Please note: Prepayments will be hidden from view for parents once the period that the Prepayment Request is set for has passed. It is assumed that invoices will have been generated by this time or very shortly afterward which makes the prepayment request unnecessary.
For example, a Prepayment Request is made for the four weeks from March 6 to March 30. After March 30 the Prepayment Request will disappear from view for parents and they will no longer be obligated to pay it. Instead, they will be expected to pay any invoices that are created at this time in full.