Poor cash flow is often cited as the primary reason for
You can protect your business by having systems in place that
make collecting unpaid invoices as hassle free as possible.
Here are five top tips from the DebtFast team to help you avoid
being owed money in the first place
Get the correct contract in place
– whether you are trading on your own standard T&Cs or
otherwise, ensure the contract is appropriate for the
Make sure the contract is being used
– when you have gone to the time and trouble of getting an
effective contract ensure that it is actually being used and the
terms govern the relationship with your customer.
Have a strong paper trail –
don't give potential bad payers the opportunity to delay
payment. Common excuses such as "I didn't receive the
contract/terms and conditions" or "I had a conversation
with X who agreed Y" – aren't good enough. This can
all be avoided by a robust paper trail evidencing what was
Be vociferous, have a clear credit
control policy and do not deviate from it. Debts rarely age like
Demonstrate escalation – with
debt collection, like all litigation, it is important to
demonstrate to the debtor that the situation is getting more
critical and you are moving along a clear path (not going round in
If you encounter regular late payments, our fixed fee debt
service, Debt Fast, is tailored to your specific needs and is very
beneficial if you experience high volume debt collection. We act as
an extension of your own credit control and work with you to ensure
that our service integrates with your internal procedures.
Download our DebtFast e-brochure to find out more
about how this service can help you and your business.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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In an important decision last week, the Court of Appeal considered whether or not a company which had committed fraud could nevertheless claim against its own auditors for failing to detect and report that fraud.
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