A headline-grabbing report from the Forum of Private Business and Graydon reveals that formal credit control processes are in place at fewer than half of the UK's small businesses.
The survey looked at 500 companies across the UK, and just 44% said they had formal credit control procedures to fall back on if they are not paid promptly by debtors. However, many others admitted to making use of a spur-of-the-moment approach to payments, with 16% juggling payments as they go along and 38% mixing formal credit control processes with informal payment-chasing.
After Monarch went bankrupt and left thousands of passengers stranded, it looks like Air Berlin, the second largest German airline, looks likely to be the next carrier to close down operations.
While Air Berlin is fizzing out slowly, in contrast to Monarch’s overnight collapse, as many as 9,000 redundancies are expected once it finally winds up with many small and medium sized suppliers braced for significant losses.
When you work with a company in the same country, you have a common legal framework that links you and its a relatively simple process to track down errant debtors if payment problems occur. Dealing with clients overseas is more hazardous, and the risks can catch out many small businesses. Here are some practical tips that can prevent significant problems when dealing with overseas clients.
Greece's government has imposed capital controls and closed banks until after a July 5 referendum on a deal with European creditors.
The following information is provided for any company concerned about customers based in Greece and the impact the capital controls will have on their cashflow in the short term. This guide covers basic credit control information, if you have customers already behind on payment arrangements allowing further credit is at best ill-advised.
Research from the Bank of Cyprus UK reveals the extent to which British business owners are worried about their cash flow - even in the face of decent sales figures, and to a greater degree than they are concerned about the wider economy.
The findings fly in the face of recent headlines in the mainstream media, where you might be forgiven for thinking the state of the nation's finances as a whole is the biggest obstacle facing small to medium-sized businesses.
Web designer Frank Jonen has taken extreme action against his late-paying client, San Francisco-based gym chain Fitness SF.
Mr Jonen's web design firm has been working on the new Fitness SF website and brand identity for over six months; but he ultimately took the decision to replace their homepage with a simple text statement.
Ireland has announced the wording of its Code of Conduct on Prompt Payments, a voluntary charter similar to that in place in the UK.
Small business minister John Perry announced the Code on July 1st; it is supported by the Department of Jobs, Enterprise and Innovation.
Small firms in Ireland are waiting an average of 62 days for their invoices to be settled, but when it comes to debt collection Ireland's entrepreneurs are still reluctant to take action.
These are the findings of the Small Firms Association's Late Payment Survey, published in early January, which looks at the issues affecting the credit control and debt recovery Ireland's small businesses use to keep their accounts - and their non-paying customers - in check.
Late payments are a pain for all of us, clapping the irons on our cashflow, disrupting client relationships and generally causing a world of stress until they're resolved either directly or through the intervention of a debt collections specialist like Safe Collections.
But on an international scale, late payments cause even bigger headaches for economies across the EU, leading to an annual debt of €23.6 billion (£19 billion) according to European Commission figures.
Continuing our series of articles on debt collection in the USA, this article covers the Statute of Limitations and Interest Rates on a state by state basis. This article is based on a recent review conducted by our American Debt Collection partner via their network of state based debt collection attorneys.
Before considering legal proceedings to recover an business debt in America we would recommend you first read the preceding three articles in this series.