Collecting Commercial debts

Collecting commercial debts – are you wasting your time?

In the modern business world, collecting commercial debts can be challenging at the best of times. Coupled with a possible deepened recession and the banks, despite all their bailouts, continually refusing to lend money to SMEs, then your company is likely to suffer cashflow issues right now, or soon will. But there are certain methods you can use to save time when collecting commercial debts, because time is the key to improving cashflow – the less time you spend on phoning your customers, writing to them, threatening to sue them, emailing them to gain payment – the more time you have on growing your business from new sales and spending your time doing what you are good at, and that is running your business.

We have found the biggest reason any clients of ours find our services useful as an outsourced credit control function is: time. Time is crucial in business and by outsourcing duties from your day-to-day activities you can save huge amounts of all important time and energy. For SMEs who want to stay on top of their cashflow, not have the expensive operation of employing a member of staff, and operating on a no win – no fee basis, a collection agency for collecting commercial debts can be extremely cost and time efficient.

Next time you find yourself wasting mornings, afternoons and early evenings trying to call back your customers for that all important payment promise that never arrives, think about instructing a collection agency because your customers will know you are serious about collecting commercial debts.

Top tips:
1. Place an account for collection the earlier the better – our client’s best chances of successful collection is when an account is placed with us as early as possible, usually around 60-70 days after the invoice date. There is more chance your customer is still where they were when they were Invoiced originally, and all contact details are the same.

2. Keep in touch with customers – do not just invoice and then expect them to pay. Reminders need to be sent every week, and phone calls in between which gives a progressive level of seriousness.

3. If you threaten legal, ALWAYS follow through – once you have advised your customer you will progress to legal stage then you must go through with it. If you keep extending the deadline week after week, the debtor will never take you seriously.

Above are just a few tips to remember when collecting commercial debts and should provide a good base for improving your cashflow, or for deciding whether to utilise a 3rd party debt collection agency. If you require any help with your overdue accounts, or simply would like a no obligation chat, please don’t hesitate to contact us

Collecting Money owed

Collecting money owed is survival for your business

After recent government figures showed us in the news just last week, the economy is continuing to struggle. All signs point toward a difficult 2012 for many businesses and collecting money owed from customers you have already supplied will be crucial to SMEs survival across the UK this year.

Whether you are considering outsourcing your overdue accounts to a 3rd party collection agency, or employing a full-time credit controller, or indeed have one, or a team, in place, only business owners who prioritise collecting money owed will be the ones who are most likely to survive another 12 months of decreased cashflow in the UK’s commercial markets.

Time is crucial to all businesses and having an effective collections operation in your business will save you time. In this sense, time really is money. When you push collecting money owed from customers to the top of your weekly schedule, you will not only see a sizeable improvement in your bottom line, cashflow will be increased, bad debt reduced, DSO kept to a minimum, allowing your company to re-invest and increase marketing expenditure with freed-up cash from old sales and grow from within.

Our philosophy at Taurus Collections is to be firm but fair with your customers. If they are struggling, then collecting money owed from them may be drawn out, but treat
your customers with fairness and keep talking to them through the bad times because
if we all dig together in these deep recessionary times we can all come out the other side successful together.

How to collect business debt efficiently and without the hassle

Most of our clients ask us the same questions about how they can collect business debt quickly and what procedures they can put in place to prevent late payments in future. What is the most cost effective solution to collect business debt? Our answers are always the same. Your business needs a credit policy. Whether small, medium or large sized, every business must have set procedures in place when collecting money from their customers that you have privileged with payment terms.

Listed below are 4 key points on how a credit policy can assist your business to collect business debt through pre-emptive action:

1) Credit checking – a first action for all new business should be to credit check the customer. Credit reports are very cheaply priced and start from £4 for a basic assessment which is a small price to pay to give you a good piece of mind.

2) References – find out who they have done business with in the past. Did they pay on time? Contact their previous creditors and ask what their attitude was like and if they lived up to their promises when it came to payments.

3) Payment terms – consider lowering your payment terms if you are not 100% happy with a customer’s credit score. 7 or 14 days is acceptable and you may even want to take 50% upfront before any work is commenced to protect your financial position.

4) Follow up quickly – should a debtors terms be exceeded and you need to collect business debt, it is essential you follow up with slow payers immediately, as once they spot a weakness in your collection processes, some debtors will exploit it without much remorse.

To collect business debt with speed and efficiency you first have to put in place the correct policies and procedures to protect your business. Although you may be excited about a new business opportunity, if you are only wasting time further down the line trying to collect business debt, then you are effectively working for free. In that time you could have concentrated on trying to attract more worthy credit-trusted customers.

If you are struggling to collect business debt, please don’t hesitate to give us a call on 01332 565 350 for a no obligation assessment of how we can help your business.

Collecting overdue invoices

Collecting overdue invoices in a fragile economy

This year the UK economy in 2012 has seen a flatline of trading conditions and, despite all the optimism of some banks beginning to open up their wallets to lend to small businesses again, it is crucial that you are more pro-active than ever before about collecting overdue invoices.

Being pro-active with your debtors is the number 1 route to ensuring your bills are paid as quickly as possible, once you are actively on top of your debts, and your debtors know this, you will be the one to be paid first every time.

I have put together a brief list of my best practical tips for collecting overdue invoices from my years dealing with SMEs and I hope you find these useful to your in-house debt collection:

1) Be Pro-active – Plan your debt collection steps on the day you invoice your client. Diarise calls after 14 days – to make sure your customer has received a copy okay. 21 days – to make sure your customer has no disputes. 28 days – to request a payment date for the coming month. These are all pro-active steps which you can take BEFORE your invoices become overdue, ensuring no excuses can be used for payment much beyond your 30 day terms.

2) Be flexible – remember collecting overdue invoices in today’s economy can be difficult when there is no money to collect. In other words, work with your customer to ensure payment over a period of time if they cannot pay in full. Many debtors do not pay because they believe they have to pay in full in one go. Spread payments over 3-4 weeks, or more, to help their cashflow and you will reap the benefits when trading conditions improve and the grass is greener the other side of the downward turn of cashflow your customer is experiencing.

3) Be confident – if you don’t ask you don’t get. Many businesses will happily take on new customers, perform a satisfactory service, send out an Invoice and presume payment bang on 30 days. The business world doesn’t always work out that simplified. Ask confidently for payment in 30 days’ time in your email to your customer when you send the invoice. Ask confidently when you call your customer to chase payment that you want to be paid in 7 days’ time. State confidently, if they continue to delay payment that you will be handing the account over to a 3rd party collection agency and Interest and Late Payment Compensation will be added to the balance. You have done the work; do not be afraid to ask for what you are owed.

It is always important to remember when collecting overdue invoices that a change in personality is required sometimes to effectively collect the money you are owed. If you take the above tips into your next debtor situation you won’t be far from increasing your cashflow and growing your business in 2012, despite the economies downturn.

If you need any help collecting overdue invoices, or would like some free advice regarding a particular debtor, please don’t hesitate to drop us a line 01332 565 350 or email to discuss your options for recovery.

Account collection services – how can a small business benefit from fast debt recovery

Most businesses in the UK rely heavily on customers paying on time and would never normally consider account collection services to assist their business. However the reality is that, in a fragile economy, account collection services can provide crucial support for a business’s credit control department – or better still become your credit control department.

Cost maybe an issue for some businesses in utilising account collection services but offset this against an increased cashflow & debtor days and a reduction of bad debt for clients, and many businesses wouldn’t think twice. Invoice factoring is another alternative but this can be expensive and even that does not guarantee you payment, often the Invoice factored will hand the debt back if it is not collected. Account collection services want you to get paid as it is their focus – there is no loaning of money – it is pure collections and it is crucial the company you choose is passionate about it.

It is more important than ever for businesses in 2012 to focus on key areas of their business as only the strongest will survive in a flatlining economy – an account collection services focus is to put you to the top of the creditors list for your customer, and ensure payment is prompt.

Cashflow is the lifeblood of a business and we can help you with fast recovery of your debts. For more information email us or call 01332 565 350 today for a no obligation chat about how we can help you get paid fast!

Invoice Collections

Invoice collections – top 3 tips to get paid on time

A business’s priority is sales and new business. I think most entrepreneurs would agree with that, however should your business neglect a duty of invoice collections then cashflow issues will never be too far around the corner. Getting people to pay you on time is crucial to small businesses, after all as I always tell clients; if you are not getting paid you are working for free!

Invoice collections should be no.1 priority for all businesses, whether start-up or Industry leader. We often find that suppliers will respect you for having well-oiled procedures in place to collect debts as this portrays a sense of organised capability and no-nonsense business approach.

When looking to improve invoice collections, consider these 3 tips to help you get the most out of your credit control:

1) Have a strict procedure of calling. Invoice collections should be an automated procedure and set-reminders for when an invoice falls due. Call 4-7 days before your payment terms expire to make sure there are no problems with the invoice. Disputing an invoice is the no.1 “tactic” used to delay payment.

2) Use email to get the message across. If a company delays payment to +60 days without explanation, always try and find the highest ranking person in the company you are chasing for payment and email them so you have a record of the communication. Letters may be useless as they can get lost in the mail system, or the company may be forwarding crucial correspondence to the wrong department.

3) Be firm but fair. Invoice collections should be communication between two businesses. Never let the conversation get personal, and always provide a deadline for a response. You should never wait more than 7 days for a reply.

I have always found that Invoice Collections is the heart-beat of business and, to turn a positive spin, should be integrated into the customer service side of your business. If a supplier feels their query has been handled quickly, expertly and efficiently they are more likely to do more business with you.

Our expertise is in Invoice collections and dealing with slow-payers, if you would like to chat to our team to see if we can help your business with increased cash-flow, please don’t hesitate to call us on 01332 565350 or email

12 Month Aged Debt

No Collection No Fee Debt collection – a cost-effective solution for your business?

Our clients find our No Collection No Fee service a key part of their credit control procedures as they look to maximise the cash collected from bad debts, whilst also saving time, resources and energy of their business by oursourcing the collections to a 3rd party.

No Collection No Fee provides this solution, with a simple fee structure of between 3-10% on most recent debts, the idea that we will commit ourselves to recovering 90% of a debt, usually within 4-21 days, is a very effective one for a small business owner.

Below are 3 reasons business-owners contact us to help them out on a No Collection No Fee basis:

Time – chasing the debts for months and getting nowhere, the debtor has stopped answering their phone, and they are not replying to emails. How much more time will you spend chasing until giving up?

Money – continually chasing bad debts through use of a business’s resources (a credit controllers time) or through cashflow (suppliers are demanding payment for their invoices)

Hassle – the debtor is making excuses for non-payment and delaying matters every week as they continue to promise payment but nothing arrives. Our actions can focus the mind of a debtor and ensure payment is fast, and in full.

So above are a few reasons why our clients choose a No Collection No fee solution by a 3rd party. In addition to the above, we can provide credit reports which are crucial to prevent repeating late-payments, or make a sales-judgement on any new customers that you want to check out before doing business. In this sense prevention is the best cure, and we always promote healthier cashflow ideas with all our clients.

If you do want any help collecting debts on a No Collection No Fee basis, please don’t hesitate to give us a call on 0843 309 1633 or for a no obligation chat about how we can assist you.

Chasing unpaid invoices

Chasing unpaid invoices – how to get results in 2013

Our clients often tell us that chasing unpaid invoices is their biggest time-consumer of their working days. Many customers can delay payment of Invoices for work done without valid reason and this can have a negative impact on your business cashflow. Chasing unpaid invoices is a necessary evil in business, but it doesn’t have to be an endless journey and then a brick wall.

Here are some tips for chasing unpaid invoices effectively, and improving your cashflow in 2013:

Be organised – have a timeline of calls made and letters/ emails sent. This will set you in good position when your customer says they are not aware of your debt, or that they cannot remember what the work was for.

Be punctual – send Invoices as soon as the work is complete, not at the end of the month. You want to get paid quick, so invoice quick.

Be pre-emptive – always email a copy of an Invoice when you send it in the post as this cannot get lost in the post! Also CC email it to the buyer AND the Accounts Department, that way the work can get approved and paid in one go.
Above are just some of the methods you can use for chasing unpaid invoices and I urge you to always stay on top of your debts.

If you don’t get paid you are working for FREE.

For a no obligation chat about your debts and how we can help you with chasing unpaid invoices, please don’t hesitate to call our Debt Recovery Team on 01332 565 350 or email

Collecting invoices

Collecting Invoices – an essential part of your business

Many of our clients see collecting invoices as crucial to their business operations whether it be using preventative measures, or just practical changes to their credit control procedures. Customers that pay on time allow your business to operate efficiently – should late payments begin to impact your business, then it could be your business survival at stake.

Collecting invoices in these economic times is certainly a tough task, but the risks of non-payment can be mitigated with a few simple procedures in your business.

1) Awareness – send your customers monthly statements which will speed up collecting invoices as many business customers will “only” pay on statements

2) Clarity – include all company details on your Invoices, and ways to pay. They need to know where to send a cheque to, if they can pay by phone, or your bank details to send a BACS

3) Customer service – try not to think of collecting invoices as a bad thing. Calling your customers to make sure they are happy with the service can be followed with a “check on your invoice” to make sure there are no problems with it (remember this is not chasing, you are making sure they are happy – see the difference?)

There are many ways collecting invoices can be effected by your actions and we urge all our clients and business-owners to follow strict procedures for collection of debts. There has to be consistency and fairness to your customers and our results speak for themselves.

If you have a problem with late-payers or bad debts or would like a no-obligation chat to see how we can help your business, please call us on 01332 565 350 or email

Collection of UK Debts

Collection of UK debts – are you in control?

Many of our clients tell us before they use our help for collection of UK debts, that they feel their business is not in their control. Often held ransom to the bigger customers who delay payments 60, 90 and even 120 days beyond invoice date. For smaller businesses this is a constant problem, and collection of UK debts is an inherent problem for the UK SME market.

Our clients also worry about customers they have dealt with of an unstable nature that these companies may go bust and thus miss out on payment before administrators move-in. Our help with collection of UK debts ensures they are at the top of the queue, minimising the risk of losing out when a company looks like closing the doors on the business.

Here are 3 tips for collection of UK debts to ensure you are in control of getting paid on time:

1) Procedures – ensure you have a policy to chase payments regularly, every 7 days (at least) and always send monthly statements

2) Speed – as soon as you are not getting responses, contact a 3rd party agency to exert extra pressure, and recover your Costs and Interest. No Win No Fee is a risk-free proposition as you only pay on success.

3) Legal – if all avenues pre-legally are exhausted, and no disputes rose, it is important to move to Court Action quickly to secure your debt and then enforcement action can be undertaken.

In a touch economic climate, collection of UK debts is a primary concern for many business owners, of all sizes, and it is a recurring theme. But it is a curable problem – with fast, professional action collection of UK debts need not be the long-lasting worry to UK business-owners.

If you need any help collecting debts, or would like a FREE no obligation chat to see if we can help you out, please call us on 01332 565 350 or

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