Theme: Late Payment Has Been One Of The Toughest Challenges The Economic Climate Has Thrown At UK Enterprises, As Customers Delay Settling Bills To Support Weakened Cash Positions.
August 30, 2010This situation is serious in itself, but it is surely exacerbated by the fact that the banks are unwilling to offer financial aid to businesses, so any small company is facing a double whammy on the money front of bills not being cleared and overdraft facilities being turned down. The first move for such a small company would be to get hold of the large company and understand what is going on. If they get a neutral to negative response then it might well be that the customer, perhaps a large company in this case, is guarding their own revenue position. In these situations the minds of the small company might turn to Debt Collection choices to try and force the issue. If such a small company is facing a definite problem with sales then they might not be able to lay out the fees charged by legal practices or Debt Collection companies, which are probably in the range of 10% of the account value plus expenses. Contrast this with