At Confident Cashflow, we believe in getting to the root cause of late payment issues. This means reviewing and identifying best practice processes and policies so that our clients can maximise the benefit of cash in their business. This also helps them to avoid the thorny issue of late payment and other cashflow-related stress.

Having a robust credit policy means having control throughout your business. The people involved in the decision-making process understand the parameters and can recognise potential issues even before contracting with prospective clients.

Business is not always clear cut so sometimes it’s important to know when you can step outside the guidelines. A clear credit policy can help with this too, as well as confirming who has the authority to do so.

When you are in the process of conducting due diligence on a new client, your credit policy should carry some of the weight by clearly stating what you are willing to tolerate and what risk profile you want to follow.

Knowing this removes the emotion or scope for debate: you have documented everything clearly and can act quickly and decisively.

We have identified 5 pillars within every business that, between them, cover every process and touchpoint related to credit.

When we carry out our 5 Pillars review, we are checking for gaps in your processes which may weaken your credit management policy. It may be that you have not got a formally documented policy, or that the processes that sit beneath it are not correctly embedded across the business. Whatever gaps you have, we will assess and suggest how you can fill them.

Once any issues are rectified, your 5 pillars will support your business and ensure you are protected against credit risks or late payment issues. You will also have the peace of mind that comes with knowing your credit terms are clear & robust.

Apart from providing you with the obvious peace of mind, we’ll give you a report assessing your business for credit management best practice.

Our review report will highlight where policy is lacking and where there are gaps that need strengthening. We’ll make suggestions for changes, upgrades and 7implementations to ensure you are fully protected and can base future relationships with clients on a solid understanding of credit terms and conditions.

It’s important to note that this isn’t about loans or payment plans. It’s about your policy on credit, which includes the payment terms you are happy to offer and how you can ensure your clients abide by them.

By undertaking a review, you are buying clarity and ease of decision-making, a consistent message about credit which applies across the whole business, better structure around your Ts&Cs and the reliability that comes with all this reassurance.

This service is designed to follow our 5 Pillars of Confident Cashflow Review and is a chance for you to implement the recommendations of your report. We will work closely with you to implement changes highlighted by the report.

As a result, you will embed a best practice credit management solution which enables improved decision making, an appropriate credit policy and predictable cashflow that best suits your business.

You can find out more about the 5 Pillars of Confident Cashflow Project here.