Turning sales into money.
WHY IT DESERVES SEPARATE ATTENTION
A sale is not revenue until it is collected.
WHAT TO ESTABLISH
Who is responsible for collection When contact is made What escalation follows
WHAT TO DO AT INVOICE
Issue it immediately, accurately, with terms stated.
WHY ACCURACY
Disputed invoices are not paid, and disputes are frequently manufactured to delay.
WHAT TO ENSURE
That every delivery is signed for, by someone authorised.
WHY
Undelivered goods are claimed, and proof of delivery ends it.
WHAT TO DO BEFORE THE DUE DATE
Contact the customer to confirm the invoice is in order.
WHY BEFORE
It removes the excuses that appear afterwards.
WHAT TO DO ON THE DUE DATE
Contact, if payment has not arrived.
WHY THAT DAY
Waiting establishes that terms are flexible.
WHAT TO ESCALATE TO
A written demand Suspension of supply Personal visit Formal recovery
WHAT SUSPENSION ACHIEVES
It is the strongest lever a distributor has.
WHY
Customers who need your products pay to continue receiving them.
WHAT TO ESTABLISH
That suspension is applied consistently.
WHY CONSISTENTLY
Selective enforcement teaches customers who can delay.
WHAT TO DO ABOUT CASH COLLECTION IN THE FIELD
Reconcile daily Issue receipts for everything Bank promptly Limit what any individual carries
WHY
Cash collected by representatives is a substantial exposure.
WHAT TO TRACK
Days sales outstanding Bad debt as a proportion of sales
