Practical Credit Control
This highly intensive workshop, intended for all those involved
in Credit Control, is an opportunity to enhance existing skills and
knowledge through involvement in a series of specially designed,
practical skills development, workshops. Subjects covered include:
trading terms, terms of payment - making the decision to give credit
- chasing the debt - measuring performance - setting goals and
targets - using the courts - credit agencies - reporting principles
and mechanisms - forming a credit policy. i.e. all the essential
elements of Practical Credit Control.
Introduction and Objectives
- Background to Credit Control
- The implications of granting credit
- Putting together an effective credit and collections strategy
What is Credit Control?
- Why have credit control?
- The role and responsibilities of credit control
- How the credit function fits into the bigger picture
- Business objectives and the importance of cash flow
Payment Terms
- What to include in your conditions of sale to ensure maximum protection of your financial investment in
the sale
- Retention of Title
Pre Sale Activity
- What is the point & purpose of risk control/vetting
- Can you establish if your customers are ABLE to pay?
- Can you establish if your customers are WILLING to pay?
- The need for credit limits
- Data sources - getting the information you want
- Analysing the data available
- Making the credit decision
Credit Measures - Measuring Performance
- DSO/Debtor Days - calculations and definitions
- Aged Debt
- Goals, targets and priorities
- Monitoring personal/team performance and effectiveness
- Measuring/calculating cash and cash flows
Appreciation of Debt Collection Methods
- Collection tools available
- Collection strategies
- Call planning
- Principles of good telephone technique
- Managing the collection process
- Prioritising techniques
- Escalation procedures
- Customer visits/meetings: preparation etc
The Courts - Legal Collections
- An appreciation of the legal system
- The Woolf reforms
- Making the decision to sue
- Brief overview of procedures: Preparation, Issue and Service
- Judgement and Enforcement - getting paid
Liquidations: Receiverships: Bankruptcy
- The legal trading entity
- Factors leading to liquidations etc
- Your rights
- Definitions and procedures
Credit Policy
- A Charter and Philosophy for Credit Control
- Understanding credit procedures/credit policy
- An effective working policy
- Liaising with Sales and Administration - a team solution
- Content and extent
- Purpose, applicability, provisions and responsibilities
Conclusion
- Analysis - questions - discussion
