Credit Control

Tuesday, 30 December 2014 15:05

Make 2015 your year to resist financial risks

Risk is an unavoidable part of business, particularly if you provide credit to your clients - even in the sense of invoicing for work done only once it has been delivered, let alone more complex credit arrangements that involve the lending of money.

The new year is always a good time to take a fresh look at things; for many companies it is the start of a new financial year too, while those whose accounting is aligned with the tax year have the first quarter of the new calendar year to put processes in place.

A fundamental characteristic of late payment legislation so far has been its voluntary nature - nobody forces big businesses to sign up to the Prompt Payment Code, and nobody forces SMEs to charge penalty fees on late payments.

Now one organisation is calling for this to change, with a policy paper that suggests making several aspects of late payment legislation unavoidable for creditors and debtors alike.

Wednesday, 17 December 2014 14:42

Patching up the Prompt Payment Code

It doesn't matter how much you like a bucket; if it won't hold water anymore, it's time to get a new bucket, and that is just what the government needs.

They are now embarking on yet another review of the Prompt Payment Code to try and make it actually work, and their plan to do this is to take advice from organisations like the City of London Corporation, Aviva and Barclays.

Lord Sugar, the artist formerly known as Sir Alan, has made his feelings on late payments very clear - and, like us, he's less than impressed with the government's efforts to tackle the problem.

In particular, during the second reading debate on the Small Business, Enterprise and Employment Bill, he criticised the lack of "practical, common-sense" solutions to the problems faced by small businesses.

Monday, 01 December 2014 15:02

Pay promptly for Small Business Saturday

This Saturday December 6th is Small Business Saturday, an annual initiative to support small businesses throughout the UK, and it's not just about visiting your local independent gift shop.

Much of the focus will be on the nation's high streets and town centres, where free parking and special offers will encourage many people to finish off their Christmas shopping at small independent retailers.

A company called "The Emergency Services (Media Dept) Limited" that falsely claimed to be linked to the emergency services in an attempt to convince small businesses in to placing adverts in its publications has been wound up in the High Court following an investigation by the Insolvency Service.

Telesales operators from the company would cold call small businesses across the country and claim to be "connected" to the Police or other emergency services and then try to sell advertising space in a magazine, with the funds raised allegedly going to support these services. In reality these funds were largely destined for the owners and no one else.

Wednesday, 22 October 2014 11:42

Unpaid Invoice Spammers Insidious New Tactic

We have previously covered how unpaid invoice spammers target credit control failures using an archaic .arj file to spread malicious software, but a new and considerably more dangerous threat has just started to land in inboxes throughout the UK and across the globe.

This latests threat is more insidious as it uses a well known file format to deliver a malicious payload specifically designed to steal sensitive financial data from users.

 

The zombie apocalypse could be coming sooner than you think, with R3, the Association of Business Recovery Professionals, warning that an even greater number of companies are now showing the hallmarks of being 'zombies'.

It's a term that rose to prominence at the height of the recession, and was used to refer to those firms capable of covering their outgoings, but only just - and which would therefore very quickly fall into insolvency if their interest rates rose, or their cash flow was interrupted.

Credit control failures are a worry at the best of times, and none of us want to be left with overdue invoices to chase - or with unpaid invoices of our own that become subject to debt recovery action with interest and penalties added on top.

But a lax approach to credit control has taken a new turn in recent days, as a large number of spam emails have started circulating which claim to be chasing overdue invoices.

Business overdrafts have been called the 'hidden credit crunch' following the news that while traditional bank business loans have fallen 9% in the past two years, the banks have called in 23% of overdrafts in the same period.

The figures come from a report by finance providers LDF, who say traditional bank business loans fell from £187 billion to £170 billion in the two years to March 2014, while overdrafts fell from £18.2 billion to £14.1 billion.

8:00 - 20:00

8:00 - 20:00

Our Opening Hours Mon. - Fri.

+44 (0) 1772 454505

+44 (0) 1772 454505

Got questions? Call us today. No hard sell, guaranteeed. 

© Safe Collections is a trading name of Safe Collections Limited. Incorporated 1984. Company Number: 01815264. VAT Number: GB407358159. All Rights Reserved.