We read a great post this week that gives some top tips on how to keep your cashflow on an even keel, establishing an effective payment plan and holding on to your customers and staying in business at the same time.
The author highlights some tips for successful payment arrangement:
Specific steps for successful payment arrangements are:
- Ask for payment in full
- If the customer cannot pay in full, offer to split the balance into two payments with specific due dates
- Gather information on the customer’s financial status
- Ask open-ended questions that allow you to evaluate the situation
- Suggest weekly or bimonthly payments, as opposed to the common monthly payments. This will give you more money per month and allow the debt to be paid off more quickly
- Come to an agreement that is beneficial and realistic for you and your customer
- Get a commitment and document it
- Send the customer a letter reiterating your understanding of the agreement
- Ask for a signature on that agreement
Our expert training programme ‘Getting paid – telephone tactics for debt collection’ may also help to protect your cash flow
In the current economic climate more and more companies are finding that their customers are taking longer to pay – or are not even paying at all. As cash flow is key to the survival of any business, effective debt collection tactics are vital for all businesses.
This workshop concentrates on the telephone skills and techniques you can use to achieve the most positive outcome in any debt collection situation – payment of money owed, as soon as possible, whilst keeping the collection cost as low as possible.
The course will help you:
- Understand your debtors and communicate with them accordingly
- Develop a strategy for more effective debt collection
- Make every call count
- Handle difficult calls
- Reduce the amount of time you need to spend on chasing payment
- Increase your collection rates