Slow Paying of Bills...

It is very frustrating when clients are really slow about paying, especially when it takes a lot of chasing to get them to pay up.

It is interesting how some businesses respond by themselves being poor and slow at paying to 'even things up' whilst others stick to the principle of paying all their bills when due as the 'fair thing' to do...

Would be interested to hear which of these is the best/right approach? Personally I always prefer to pay on time...

Sasha

Re : Slow Paying of Bills

It's even worse when they don't pay, and it seems there is precious little protection for businesses when clients don't play ball with regard to paying up...

Tim

Re : Slow Paying of Bills

Basically the rules of the game are that larger businesses screw smaller businesses - they know that you need the money more than them, that they have more power than you - and will delay and delay on their payments. That the government does nothing about it is pretty scandalous really - even when you have clearly contracted payment terms they often turn a blind eye!

Re : Slow Paying of Bills

Thomas - Whilst that may be true is there any practical things one can do to help speed things up?

Re : Slow Paying of Bills

A legal letter can speed things up if they think you are serious about following it up.

Re : Slow Paying of Bills

Yes a letter can help with ditherers...

Re : Slow Paying of Bills

... and of course there is also debt collection

Re : Slow Paying of Bills

Of course if you watch Watchdog then it seems as though companies that don't want to play by the rules get away with it - for instance those that are ordered to pay but even then don't!

Thomas

Re : Slow Paying of Bills

Thomas - don't watch Watchdog, you will only end up getting depressed!

Chris

Re : Slow Paying of Bills

These days any sales ledger programme programme has a 'stop' function built into it. You should firstly set this at a period which you are prepared and capable of tolerating. If this period is breached and your system advises a 'stop' on the account, don't override it.

This will affect sales, but it's absolutely pointless building up good sales if you are either going to devote huge and continuous resources in trying to get paid, or worse still if you end up not getting paid at all.

Joe
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