I’ve learnt from experience.
After a 20-year career in credit control and collections, I moved countries and started my own specialist recruitment company.
6 months after starting my new business I was in trouble. Totally focused on sales, I hadn’t chased my overdue invoices. My main client owed me $100,000 and was taken over by a company who froze their bank account. If I couldn’t recover that money, my business was finished.
The thought that I was about to lose my business was frightening, but I didn’t want to just demand payment and risk losing my biggest client.
Luckily, I found a way to negotiate with the new company and got paid. But I never wanted to feel so desperate again. I quickly devised a simple 5-step process that guaranteed every customer paid us on time, every time in future.
As well as always being paid on time, I never lost a client! With great cash-flow self-funded expansion I grew the business to a $12million turnover with an ‘industry best’ profit of 24%. 15 years later I sold that business to an ASX listed company and retired to SW France.