First of all, what is credit control? Well, Credit control is a method of promoting the sale of goods and services. This is done by extending credit towards the customers. Credit control is a fantastic way to promote the sale of goods and services as it means that a customer does not have to pay upfront. The customer can pay in instalments for a slight interest fee or delay the payment for an agreed-upon period of time. The problem comes when there is a default in that payment system.
It can be overwhelming when you have a business to manage and are then forced to chase up missed payments when customers default. You rely on that income, it is an important resource to have as it increases your profit revenue even further, thanks to the interest. So this means that you need to chase up when customers do not pay their instalments.
The first step would be to chase it up through an email or letter. If there is still no response, then try again for maximum additional attempts of two and to impose a threat of legal action. This can mean interacting directly with other businesses or individuals. After this fails, and it hopefully wone, you should then threaten with legal action. This is something that no one wants to do. However, this is something that you may unfortunately face. We can help you through this process with clear and calm communication.
We can offer to make contact with those customers that have overdue payments. It may be a simple reason for it, or it can be something else. We can help make contact with those people and explain that their credit is overdue. We can intercede with planning a repayment schedule that can suit both you and the customer. We can visit those with overdue payments and collect payment and help with tracing missing debtors.
Credit control requires a number of things to work effectively:
Good communication skills
Good interpersonal skills
Familiarity with computer systems and complex databases
Good numeracy skills
Confidence and the ability to place pressure tactfully on individuals and companies who owe money
This is not an easy process, but it is one where we can help you. We at Silver Insolvency are highly capable and skilled in dealing with this sort of situation and can help guide you through the process. It can especially be frustrating if this is the first time that you are dealing with this. Allow us to help you. To find out more, visit our website on www.silverinsolvencysolutions.co.uk, email us on firstname.lastname@example.org or call us on 0203 961 7169.