One of the most important aspects to get right for a business of this type, is to make sure every single customer is well aware of the terms of sale and what happens when those terms have been broken. If the invoices provided clearly state how long they have to pay and the fees incurred for late paying, there can be little argument from the debtor when those terms are not met.
If you also have a keen system of sending reminders, phone calls and eventually letters of intent to recover owed monies and this says in no uncertain terms that the invoices must be paid. Tradesmen are very busy people and dates can get forgotten, so a reminder is often all that is needed to resolve the issue.
You can be the best Timber Merchants or Building Supplier in the UK but if you are not being paid then this is a real problem that needs addressing.
Prevention Better than Cure
Being clear about this kind of thing goes a long way to preventing accounts getting to the point when legal action is being considered. There are, of course, times when even the most patient and reasonable requests are going to be met with silence and this is when a professional debt collection agency can be a very useful ally to have.
Unfortunately, even the most stringent credit control cannot legislate for those who simply want to freeload your good will.
No Collection – No Commission service
A decent and Professional Debt Collection Agency will operate on a ‘no collection – no commission’ basis, so you can be sure of exactly how much it will cost you to recover a debt. Your success is their success, so no one is going to be more motivated to resolve your issues than these guys and girls.
A reputable, accredited debt collection firm will not only save your business money, but will also save you time and minimise stress. Agencies that specialise in recovering debt in the builders merchant sphere will have all the savvy and know-how to get the matter resolved in a timely manner with as little fuss and cost as possible.
Often, the type of clients that use builders merchants and electrical wholesalers are wealthy people and the amounts owed can be in the thousands, which is what can be so frustrating for a company with outstanding overdue debt to recover. Longstanding relationships are built up between tradesmen and trade vendor such as these and there is often a loathing to upset the balance.
Firms providing debt collection for wholesalers operate as part of the company they are working for and will fairly but firmly contact the debtor to resolve the issue, always mindful of the need to protect the company’s reputation.
The Impact of late payment to trade suppliers can be significant and will ultimately result in the demise of the wholesaler in question if left unchecked. The first step to the peace of mind that comes with knowing these matters are in hand when they arise is to contact your accredited debt collection partner
It could be the best move you make all year and take one of the biggest bugbears of any company trying to survive, right out of the equation. Timber Merchants and Building Suppliers need to be very aware of the perils that come with non payment over time.
Recovering debt quickly
Federal Management have a long successful history of recovering debts for Builders Merchants and Timbers Merchants. Since the company was founded in 2004, hundreds of Merchants across the United Kingdom have used and still continue to use our Award Winning services.
So regardless of if you are seeking a Debt Collection for Builders Merchants or Debt Collection for Timber Merchants or simply just Debt Collection for any sector within the Construction industry, you need professional expert advice from our Small Business Debt Collection specialists.
If your business is suffering with late or non payers, give our friendly, specialist New Business Team a call today. Alec Warburton is our key point of contact for the Building and Construction sector and can be reached by calling 0333 043 4420