From Dodgy Debt Collector to Convicted Fraudster

Back in March of 2013 we ran an article called "Dodgy Debt Collection Agencies Liquidated" that featured the story of how the Insolvency Service had liquidated two companies run by a Mr Stuart Paul Cooper of Topping Street, Blackpool.

Then it all went quiet and we heard no mention of the name Stuart Paul Cooper until an eagle eyed reader contacted us this week.  They informed us that the infamous Mr Stuart Paul Cooper is now serving a three year jail sentence for fraud. So what happened?

The limited company system is broken

It's good to know that, when a dodgy dealer makes off with client money and there's no record of where it's gone, they will face prosecution to the fullest extent of the law.

New figures from the Department of Business, Innovation and Skills show that the BIS Criminal Enforcement Team achieved 198 successful prosecutions in the 2012-13 financial year.

Going Dutch: Contractor Debt Recovery in the Netherlands

Working for overseas clients is either a gamble, or a logical expansion, depending on which way you look at it - but as a self-employed contractor, you need to be confident that you will be paid promptly, as international debts can be more difficult to pursue.

A recent client handled by Safe Collections demonstrates this well; Alex Tucker had every reason to expect prompt settlement of his invoices by his Dutch client. He had worked with the company, both as a self-employed individual and as temporary staff, since 2005, as well as supplying services via a third-party limited company.

PCG suggest anonymous 'name and shame' hotline for late payment

The Professional Contractors Group have called for an anonymous hotline to be created, allowing small business owners to 'name and shame' large companies that pay late or otherwise try to use their 'brand power' to manipulate payment terms.

While the PCG are calling it a 'witness protection' hotline, we prefer to call it Slimeshoppers, as it doesn't get much lower than a big business trying to use their size as an excuse to withhold payment to small suppliers.

Counting the financial cost of poor credit control

The world of credit control brings to mind the infamous Donald Rumsfeld quote:

"There are known knowns; there are things we know that we know. There are known unknowns; that is to say, there are things that we now know we don't know. But there are also unknown unknowns - there are things we do not know we don't know."

Admittedly he was talking about weapons of mass destruction, but the same applies to your customers' financial situations, and effective credit control eliminates as much of the 'unknown' as possible, and maximises the 'known knowns'.

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