Cash is King so good credit control is imperative
We all know and understand the value of good cash flow in a business. Whether times are good or bad, having a consistent approach to credit control is important and should become part of your brand experience. Your clients should know, from day one, the value of your service or product and the way in which you like to work where payment is concerned. Equally, you should develop the same understanding with your suppliers so they can trust you and so you are in a stronger position to negotiate with them.
If you provide an ad-hoc or inconsistent approach to credit control you will find that some people take advantage of this and squeeze extra days. By being inconsistent, you are actually feeding their cash flow, potentially at the cost of your own.
However, all this is very easily said, but we understand that finding the time to chase customers on a frequent basis can be hard. Also there is a fine line between chasing and demanding, and good credit control should not come at the cost of repeat business.
Good credit control starts with good bookkeeping and so you can be sure that we know a thing or two about this. Before you can start to manage your debtors, you need to know who they are and what, if any, special terms may exist. Working with you we can create a regular debtors report, by day, week, or month and keep this under constant review for you. We can manipulate standard reports to reflect alternative terms and ensure you have all the information you require to accurately chase down money owed to you. If resource is the issue, we can help with the calls, statements and letters too.
On the other side, we can manage your cash flow and work with you to create a standard for dealing with your suppliers, ensuring that you meet your obligations without jeopardising your trading relationship.
Getting credit control right is not an easy task but we can help you put the processes into place which deliver a fair, even handed experience for your clients and suppliers, which in turn delivers a positive cash flow to support your business.