National Wholesale Distributor

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National Wholesale Distributor 2017-05-30T07:49:33+00:00

Results

  • Average collections on a month to month basis doubled.
  • 90d+ component of the debtor book reduced by over 50% in 2 months.
  • Collection Procedure created to spread the workload and to accomodate further business growth.
  • Over time, all debtors made aware that this businesses debts must to be paid according to trading terms.
  • No customer upset as all new procedures carefully and gently introduced.
  • Management now able to focus on making strategic decisions in the business rather than reactive ones.
  • Factoring facility cancelled, a considerable cost saving.


Original Situation

  • National family business experiencing rapid growth and expansion.
  • No working system in place organised to control debtors.
  • Spasmodic collection efforts extremely UNsuccessful.
  • Large percentage of the Debtors Ledger factored to one of the major banks.
  • Upper management spending time ‘putting out fires” (attempting to control cash-flow).