It might sound familiar. You are busy growing your business. You get a new customer (the biggest one yet). They place a large order and promise to pay you within 30 days. Six months later you are still chasing the debt and all your focus has been taken away from growing your business. It has become a struggle to stay afloat and pay your own creditors. At this stage you need to consider hiring a professional debt collection firm - but what could you have done to prevent this from happening in the first place?
The starting point is to have documented policy and procedures in place for all customers who request a credit facility from you. Ensure that your staff are aware of the policies and procedures as there is no point having them if they are not used.
An essential component of your policy and procedures is to have a credit application form. There are many templates that you can find on the Internet.
To find out what you should include on your credit facility application form visit www.brodiecollectionservices.com.au.