You could be putting your business at risk by failing to carry out routine credit checks before extending a line of credit to customers.
Any time you conduct work on behalf of a client, or supply goods to them without demanding payment upfront, you are effectively creating a line of credit - and increasing the total degree of risk to which your own company is exposed.
Simple credit control measures could help one in ten businesses nationwide to stay operational in the face of delayed payments.
According to figures from Yorkshire Bank and its north-of-the-border equivalent, Clydesdale Bank, 10% of companies would not be able to survive if their clients took over 90 days to pay their invoices.
Business loans have been making the headlines recently, but it's not all bad news - particularly for companies that have improved debt collection over the past year or so.
There's a perception in the media that businesses need loans in order to succeed. And in some cases, yes, that's true - an injection of cash can be useful for all kinds of reasons, from setting up a new firm to undergoing expansion or a change of direction.
Easter weekend is traditionally a time to think about finances, with Maundy Thursday in particular famous for its centuries-old ceremony in which the British monarch gives alms to specially selected individuals.
But this year, a new CIFAS report highlights the prevalence of financial fraud throughout the UK, and hints at why making use of professional credit control and debt recovery services can help your company avoid losing money to fraudulent transactions.
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?
A former West Yorkshire Police Detective Sergeant has been convicted of money laundering after standing accused of operating or being involved in the operation of fraudulent debt elimination companies and escort agencies.
DS Christopher Taylor ran Wakefield-based First Debt Recovery, established in 2008 and supposedly drawing on his experience with the CID and Fraud Squad.
However, it was later alleged that First Debt Recovery had been laundering money for several businesses operated by Anthony Muldoon, including five bogus debt elimination firms and a total of 28 escort agencies.
SMEs in the north-east are stop-gapping their cash flow problems by turning to pawnbrokers, according to a report in local news publication The Journal.
With bank lending hard to come by and many other conventional forms of finance also suffering during the downturn, sole traders and SMEs are taking desperate measures to cover costs.
Overdue payments by British businesses have been improving steadily over the past two years, and are now settled two days faster than in 2011, according to analyst D&B.
Two years ago, the average late payment was made 17 days beyond agreed terms, a figure that has now improved to 15 days, but has as far to go again if it is to match 2006's average of just 13 days.
As a fully licensed debt collection company that has been incorporated since 1984, we have a long history in providing advice on how to choose an ethical and trustworthy debt collection partner. But unfortunately sometimes this message doesn't get through to those that really need it and many businesses up and down the country can find themselves unwittingly in bed with unlicensed, unregulated and unethical 'debt recovery' companies.
Remember Dodgy Dave, the debt collector you don't want to meet? Well, we described that article as "a work of fiction" but warned "this kind of person is out there".
Now it seems Slippery Stu - or, to use his real name, Stuart Paul Cooper - is a real-world example of the kinds of debt collecting 'methods' we outlined in our Dodgy Dave article.