Debt management for small business, hints

The Private Group Pty Ltd - Mercantile Division - Debt Collection - Queensland Coverage - Tips for the small business on debt management.

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Mercantile Division Debt Collection Repossessions Costs Home
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Small business is often called the powerhouse of the economy (of course, you'd never guess that the way it is treated by governments!).

In an economic downturn it is one of the first area's to feel the pinch.

You MUST manage your debt. This includes having clear terms for credit, and sticking to them. Following up on bad debt. Obtaining directors guarantee's for company debt (this means that if the company folds you can still go after the individual directors), it is far better than being listed as an unsecured creditor to a bankrupt company.

You SHOULD display, and advise, that you WILL charge account keeping fee's and compounding interest on outstanding amounts.

You must be consistent. Otherwise a fraudster with a sob story will sting you every time!

If you find that collecting your own debts is distastful, or too hard, CALL US.

Time is of the essence with debt collection. Acting early increases your chances of success.

exposure to partnerships and sole traders means that should the transfer assets and declare themselves bankrupt (or shift the company to another name before declaring bankrupcy) you will not be paid. MANAGE YOUR DEBT WISELY. The credirt you extend costs you money.

Many businesses have folded because their debtors have declared themselves bankrupt, and the outstanding money has been lost. Having lots of invoices is not the same as having been paid. It's not yours until it's in your account.

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