It’s unlikely that you will be consistently paid on time, every time, if you are lax with your paperwork. Sometimes you may not even get paid at all.

Errors on your part that can lead to you not being paid on time include:

• Setting up your customers details wrongly on your accounting records – common mistakes being name and address/typographical errors.
• Failing to quote order numbers on invoices.
• Unsigned proof of deliveries (or timesheets).
• A failure to make clear and get specific agreement to your credit terms.

Attention to detail is paramount. When did you last check an order received from a regular customer to ensure it was from the exact entity you had set up on your accounting records? Always worth checking regularly!

Don’t fall foul of any unscrupulous practices or ordering systems engineered to have you unwittingly supplying a lesser established company as the ‘Fall Guy’ just in case a project goes wrong. Wherever possible your credit limits and dealings should always be with the company within the group that is financially able to pay out even when a financial problem occurs with their trading division.

Occasionally, you might like to seek cross-company guarantees and/or Directors, personal guarantees where merited.

It’s unlikely that you will be consistently paid on time, every time, if you are lax with your paperwork.

Sometimes you may not even get paid at all.

Errors on your part that can lead to you not being paid on time include.

• Setting up your customers details wrongly on your accounting records – common mistakes being name and address/typographical errors.
• Failing to quote order numbers on invoices.
• Unsigned proof of deliveries (or timesheets).
• A failure to make clear and get specific agreement to your credit terms.

Attention to detail is paramount. When did you last check an order received from a regular customer to ensure it was from the exact entity you had set up on your accounting records? Always worth checking regularly!

Don’t fall foul of any unscrupulous practices or ordering systems engineered to have you unwittingly supplying a lesser established company as the ‘Fall Guy’ just in case a project goes wrong. Wherever possible your credit limits and dealings should always be with the company within the group that is financially able to pay out even when a financial problem occurs with their trading division.

[With many thanks to Ken Brown of Direct Route Collections Limited

Occasionally, you might like to seek cross-company guarantees and/or Directors, personal guarantees where merited.