10 tips for reviewing and implementing your credit control procedures: Revisited
The impact of COVID-19 on businesses continues to be severe, as recent statistics show.
In the UK as a whole the most recent ONS statistics show that nearly 30% of businesses, which have not closed permanently, continue to regard themselves as at moderate or severe risk of insolvency.
Reviewing and implementing your credit control procedures
COVID-19 and the resulting lockdown are having a huge impact on the cashflow of most businesses. 25% of UK businesses have temporarily closed down; 38% of businesses still in operation have reported substantially lower turnover; and 36% of firms have 3 months or less of cash reserves left.
Inevitably this pressure on businesses is set to continue but there is also an opportunity for SMEs to improve your cash position by good housekeeping. The Government is encouraging a culture of forbearance between businesses at present but this should not require you to take an excessively lenient approach to recovering debts that are rightfully due.