Businesses are under pressure and keeping the cash flowing is becoming more critical than ever.
Gerald Irwin of Sutton Coldfield based licensed insolvency practitioners and business advisers, Irwin Insolvency has some timely advice for small businesses.
Said, Mr. Irwin, “Know the customer. Knowledge is power and should be used wisely. Businesses should be checking and verifying details of their customers. It is amazing just how many small firms do not agree payment terms before making a purchase. To assume is extremely dangerous so it is necessary to be clear from the outset how business is to be conducted by setting out payment terms in writing. Also it is imperative to invoice customers accurately, clearly and promptly. Attention to detail can make all the difference in getting paid on time.”
“In our experience, many businesses are reluctant to ask for payment lest they upset an important customer. But, it is their money and, certainly in the case of large amounts, it is a good ruse to telephone before the due date to ensure there are no problems. Should payment not arrive, make immediate contact and be assertive. After all, faint heart never won fair lady but attention to detail is the real key to combating problems,” added Mr. Irwin.