Whose transfer is this?
A bank transfer for a round sum lands with the reference 'ring'. It could be the deposit for the platinum solitaire, the stone payment for the sapphire cluster, or the balance on the wedding bands. You message two customers to ask. One replies the next day.
Meanwhile the till has taken a card deposit for another commission and put it in as a sale of 'misc bespoke', because that is the only button that fits. At month end, your bookkeeper asks why there is a large unexplained sale and a matching lump of stock that does not exist yet.
Why bespoke money is hard to follow
Bespoke jewellery is often paid in stages that follow the work: a design fee or deposit, a payment when the stone is bought, and a balance at collection. Some customers pay more up front. Some ask to pay in instalments. A few change the design halfway, and the price moves.
Your till was built for selling stock, not for holding money against something that does not exist yet. Your bank account knows only the amount and whatever the customer typed. Your accounts software treats deposits differently from sales, as it should, but somebody has to code them properly, and that somebody only has a vague reference.
Metal prices add another layer. If your quotes allow the metal cost to be updated at the time of ordering, the final balance can differ from the first quote, and the customer needs to see why.
What unmatched payments cost
| Symptom | Consequence |
|---|---|
| Unidentified transfers | Time spent chasing customers to ask what they paid for |
| Deposits coded as sales | Accounts that do not match the work actually done |
| Stage payments not requested | Buying stones and metal before the customer has paid |
| Balance unclear at collection | Awkward conversations at the counter |
| Price changes not recorded | Disputes about the final figure |
How deposits and advance payments should be treated in your books is for your accountant. What we can fix is the information gap that makes their job, and yours, harder.
Stones make the timing more awkward still. When you reserve a diamond or sapphire with a dealer for a customer, the dealer may want paying within their own terms, whether or not your customer has paid the stone stage yet. If the stage payment request goes out late, or the transfer cannot be identified, you end up funding the stone from the shop's own money, sometimes for weeks, on a piece that the customer could still change their mind about.
How we tie payments to the commission
- Each commission holds a payment plan: the agreed total, the stages at which money is due and how much, all set from your own terms.
- The customer gets a payment request with a unique reference, or a payment link through a provider such as Stripe, so money arrives already identified.
- Card payments at the till are recorded against the commission number, rather than as a general sale.
- Bank transfers are matched automatically where the reference is right. Anything unclear goes to a short list for a person to match, with suggestions based on amounts owed.
- When the work reaches a payment stage, for example the stone is ready to order, the next request goes out and the stage cannot be marked done until you override it.
- Payments are pushed to Xero, QuickBooks or Sage with the coding your accountant specifies, so the books follow the commission.
If the price changes because of a design change or metal cost, the change is recorded with the reason and the customer is shown the new balance before they are asked for it.
Month end without the mystery transfer
Every payment on a commission is visible on the commission itself, with the stage it belongs to. At collection, the counter sees the balance and takes it. At month end, your bookkeeper sees payments already matched.
- Deposits and stage payments linked to the right piece
- Stage payments requested at the right moment
- A clear balance at handover
- Accounts coded consistently with fewer queries
Do payments on bespoke work look like this?
- You regularly receive transfers you cannot immediately identify.
- The till has no proper way to record commission deposits.
- You have bought stones before the customer paid the stage payment.
- Balances are worked out by hand at collection.
- Your bookkeeper asks about bespoke payments every month.