One of the great stigmas of a business is the possibility of having a high delinquency. The fear of a multitude of entrepreneurs is having defaults on the services provided to one or different clients.
Especially, when this ends up leading to a partial or total default, this anomaly will not only affect the liquidity and solvency of your business due to the loss of the commercial margin that justifies the development of your activity, but also the costs associated with the products or Unpaid services will have an indirect impact on your generation of profitability and, consequently, on the stability of your company as a whole.
Consequently, this is one of the aspects of your economic activity that can have a greater effect when it comes to hindering the growth and consolidation of companies in your market, leading to compromising even their survival if this situation is repeated in a generalized way and it affects an entity with less financial capacity, as is the case of SMEs.
It is essential to know how to reduce business delinquency. For this, it will be essential that you have the necessary tools to avoid, or at least reduce, the possibility of delays or non-payment of those people or entities to whom you provide your professional services.
You must take into account that, when there is a delay in the payment of the services provided to one or several clients, or especially when this ends up in a partial or total non-payment, this anomaly will not only affect the liquidity and solvency of your business due to the loss of the commercial margin that justifies the development of your activity, but also the costs associated with unpaid products or services will have an indirect impact on your generation of profitability and, consequently, on the stability of your business. company as a whole.
An interesting method is to resort to using collection management software. This allows us to improve the treatment of past and current customer data, to find out more information about their payment reliability with just a few clicks. It is easy to use and makes tasks easier.
By using a platform that unifies everything related to payment management, we achieve greater efficiency and reduce the risk of making mistakes. In addition, we will be able to better control pending payments and thus be able to actively prevent delinquency.
Knowing at all times what you have to charge daily will allow you to start the claim process as soon as non-payment occurs. And in the claim process, the immediacy in the initiation of actions is crucial to obtain optimal results.
Establishing regular control of balances and movements is essential. In the event that you do not have knowledge of your accounts, you may find yourself with unpleasant surprises of overdraft or insufficient balances to meet our payment commitments.
A daily review of the collection movements, and their comparison with the treasury forecasts, is essential to have control of possible non-payments, and the rapid initiation of claim actions.
It is possible that a person plans to default on the payment, or pay late on a recurring basis, knowing that the company will wait in order to collect.
In order to prevent these unwanted situations from occurring, we can specify clauses with penalties for non-payment or late payments.
Setting a claim protocol with different levels of pressure depending on the time elapsed since expiration is very useful.
Although you should not forget the personal circumstances of the client who has been late in payments: a small and new client is not the same as one that is one of the big ones in the company and that has had an impeccable history of payments with U.S. You must modulate the pressure to perform depending on those personal circumstances.