Why Working Capital is Central to your Business’s Success
It’s no secret that working capital is one of the most important elements of your business – I mean let’s face it – without it even the most profitable of companies can find themselves in difficulties. Put simply, working capital is the amount of cash that a business can easily get its hands on. As a rule, a business with plenty of working capital is more successful.
With money in the bank, a firm can invest, generate sales and grow the business. Without money in the bank, a business risks running out of cash… Short term, having no cash makes it difficult to pay suppliers on time or to pay staff wages. In the longer term, it means you can’t expand, invest in new equipment or take on more skilled people.
Managing working capital properly generates cash, helps improve profits and reduces risk. This is what makes the function of credit control a crucial component to your business’s operations. Your cash flow can be significantly improved if cash owed is collected faster. After all, getting paid for your product or service is essential to your business’s success.
By making credit control your number one priority, you can greatly increase the number of outstanding payments collected and the speed at which payments are made. Thereby ensuring there’s always enough money in the bank.
What Are the Biggest Credit Control Challenges for Businesses?
• Reducing waste
• Reducing staff overheads
Improving Cash Flow
• Getting paid faster – reducing debtor days
• Reducing long term overdue balances
• Improving access to working capital
• Resolving disputes quicker
• Removing reasons for non-payment
• Reducing dependency on external funding
As your business grows, it gets harder to stay on top of your finances. Unfortunately, when your accounts are managed inefficiently, an enormous amount of your time and energy is wasted on manual governing. Thankfully, Draycir Credit Hound provides an ideal solution to each of the challenges listed above.
Once integrated with Sage 200, Credit Hound shows you where your money is and who you need to chase. It is designed to automate and streamline the processes involved in good credit management. This quickly improves productivity and brings immediate cost savings to a number of key areas within your business.
The Benefits of Using a Credit Control Add-on for your Sage 200
Chase Payments with Ease
With all the information you need on screen to help you chase payments, you can record notes and schedule follow-up calls. And with greater automation of chasing procedures, it’s possible to chase as many as sixty customers in the same time it takes to chase six customers using manual methods.
Save Time & Money
Save time carrying out repetitive tasks by setting up rules and actions to automatically send chase letters, put accounts on stop and schedule phone calls. By e-mailing and faxing credit control correspondence, you can also dramatically reduce your costs, compared to manually printing and posting statements and letters.
Keep Track of Disputed Invoices
Dispute handling features help you keep track of disputed invoices and its comprehensive reporting system gives you a clear overview of your debtor situation.
M2M Technology Can Help
At M2M Technology, we want to help. This is why, if you try Credit Hound today, you’ll get our free 30 day trial and demonstration included. The free trial is a powerful tool which gives you an opportunity to use the software and see for yourself that Credit Hound can work wonders for your business’s credit control. Call 01245 494847 for more information, or email us here.