A sale is a gift until it’s paid for, which is why credit control is so important for any business that has to wait to be paid.
You’re not a bank so don’t let your customers borrow from you, which is what they’re doing if they delay payment.
Good credit control starts with your marketing and new customer acquisition processes. Try not to target and sell to bad credit risks and demand to get paid upfront for a while until a new customer relationship beds in.
Make the most of technology. In recent years GoCardless has opened up the world of direct debits for businesses of all sizes. It’s so easy to sign up your customers to a direct debit service and get paid without either party having to do anything. Efficient accounting workflow makes for time savings.
There also credit management apps, such as Chaser, which automatically send chasing emails according to a pattern you set so you don’t have to. However, check out what your accounting software can already do to help chase invoices.
And if some of your customers are too slow to pay then stop working with them and be prepared to take legal action against them.
We help business owners stay on top of credit control from start to finish:
- credit checking prospects and ongoing customers
- invoicing accurately, electronically, punctually
- chasing for payment – phone is best!
- taking action against slow payers
Put credit control front and centre in your business – you can’t afford not to!