- The importance of sound cash flow
Cash flow is the amount of money that flows in and out of a business. Your business needs money to, not only pay debts owed to others, but also to maintain a cash surplus for ongoing expenses and perhaps further commercial expansion.
Money must come in to enable your business to pay its bills; non-payers and late payers can severely affect your cash flow, even to the point whereby you cannot expand stock levels or even pay your own creditors!
Therefore, a most crucial constituent of any successful business is its ability to maintain tight control over cash flow; i.e. ensuring monies owed to that business are paid or collected on time.
- Time is of the essence
Having smooth cash flow makes for a healthier more efficient business. The problem being that many debtors are slow to pay or worse still have no intention of paying. Whatever their excuses business is business, you have a right to be paid for goods or services you’ve supplied.
All very well except that, debt recovery is in itself an often arduous and fractious task. Time spent trying to recuperate debt could be time spent generating new business. Time is money, your time is precious; chasing money owed takes time and a systematic, well thought through, credit control approach.
It is essential for a business to chase outstanding debt; you could do it yourself, particularly if it your debtors’ are few and far between. However, for many companies the debts may be larger and more numerous. A most unenviable, time wasting state of entrapment.
- Outsourcing credit control
Outsourcing credit control is, for countless companies, a no-brainer. Leaving this, for many, disagreeable task in the hand of others can be an absolute blessing.
Yes, of course outsourcing costs money, but can you really afford not to do it?
Lower stress levels, less work and ultimately more cash in the bank! It just makes for common sense.
- What to look for in a outsourced credit control company
Importantly find a company that is well established and one that does not take an aggressive unacceptable approach to debt collecting.
Remember your ‘customer’ may have his or her own temporary cash flow problems. So, don’t burn bridges, your current debtor could well recover and become your best and most reliable customer.
Therefore look for a company with a sympathetic, polite yet firm approach. You’re seeking a company that will resolve, and not antagonise, the issue.
- A highly recommended credit control company in London
An excellent example of an ethically sound and efficient credit control company in London can be found at the website of Racing Credit Control.
This is a company with an excellent track record and a multitude of glowing reviews. There retrieval rates are high, and their approach morally persistent.
Racing Credit Control resolve the majority of cases without the need for expensive and often lengthy court proceedings.
If you’re having difficulty collecting that which is owed then, as a sure-thing option, speak to Racing Credit Control today!