Posted: 06 July 2016

SME Operators – Accountants can Help you with Debtors’ Management

Issue 0050

Do you know that, in survey after survey over the last 15 years, you and your peers have identified that small/medium enterprises want to receive additional commercial services?

One of the services that would benefit most small/medium enterprises is assistance with debtors’ management.

Accountants/advisors who are offering business advisory services, other than taxation, can assist you to manage your debtors.

At ESS Small Business, we provide a debtors’ management service that many accountants/advisors use, to provide specialised advice to small/medium enterprises. These services will help you:

Identify ways to welcome your new customers but ensure that, first of all, you’ve undertaken appropriate due diligence reviews on your potential new customer.
Identify ways to reduce debtors’ days outstanding – an area where a lot of money can be tied up in your business.
Improve debtors collections.
Provide a debtors’ reduction checklist to help with the identification of particular debtors that needed to be approached for above normal payments to be made by them.
Identify one of the key business risk areas for small/medium enterprises, which is the PPSR and how it operates. The PPSR does affect debtors and you can receive liquidators preferential payment claim letters. A way of significantly reducing this is to implement an appropriate PPSR strategy in your debtors’ system.
Have a written debtors’ system for your business.

In fact, the SME Debtors’ System Manual, developed by ESS Small Business, gives you a customisable manual that will suit your business requirements, to assist a person who has the difficult job of managing debtors within any small/medium enterprise. The manual will also help to keep debtors’ days outstanding to a reasonable figure, which will benefit your cashflow.

SME Operators – Accountants can Help you with Debtors’ Management

Issue 0050

Past Posts

Log-In