Five steps to streamline debtor management

Inefficient debtor management can hurt your business by causing irregular cash flow, increased bad debt and strained relationships. CreditorWatch has compiled a list of steps to improve your debtor management:

 1. Reduce manual tasks: Minimising manual tasks will save you time and can reduce the room for human error.

 2. Centralise your systems: Controlling your accounts in one central location allows you to quickly assess the state of your accounts and pursue payment where necessary.

 3. Prioritise differently: Focus your debt collection based on risk and the value of the debt, not just how old the debt is.

 4. Send consistent reminders: Ensure you are communicating with your debtors regularly across all stages of their debt.

 5. Stay efficient: Make sure you do not allow accounts to drag on for too long. Invoice on time and regularly follow up.


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