Outsourced Credit Control Services

A credit controller, not a collection agency

Collection agencies step in when a relationship has already broken down. A credit controller works earlier, keeping customers paying on time so it rarely gets that far. Your StaffLink credit controller is part of your team: they use your email address, your phone scripts and your tone, and your customers deal with your business throughout.

Because they work only for you, they get to know your customers: who pays on the last Friday of the month, who needs a purchase order number on every invoice, who goes quiet before a problem.

What your credit controller does

• Sends statements and reminders on a fixed schedule, before and after due dates
• Calls overdue accounts and records every promise to pay
• Chases missing purchase orders, remittances and proof of delivery
• Logs disputes and gets them to the person who can resolve them
• Sets up payment plans within limits you approve
• Checks new customers before credit is granted and reviews limits on existing ones
• Flags accounts to stop supply once they pass your agreed limits
• Reports debtor days, aged debt and cash collected every week

Checking customers before you give credit

Good credit control starts before the first invoice. Your controller checks a new customer’s filed accounts on Companies House and, if you subscribe to one, a credit reference service such as Experian or Creditsafe. They recommend a credit limit and terms for you to approve and review limits when a customer’s payment pattern changes.

When an account needs formal action

Most overdue invoices are paid after a reminder and a phone call. For the few that aren’t, your controller prepares everything you need to escalate: statements, invoices, proof of delivery and a record of every contact.

You can add statutory interest under the Late Payment of Commercial Debts (Interest) Act 1998, at 8% above the Bank of England base rate, plus fixed compensation of £40 to £100 per invoice. If the customer is a sole trader, the Pre-Action Protocol for Debt Claims applies in England and Wales, which means a formal letter and 30 days to respond before court action. Your controller can draft that letter for you to send.

The effect on cash flow

Every day you knock off debtor days is cash you no longer need to borrow. A business with £2 million of annual credit sales that cuts debtor days from 60 to 45 releases roughly £80,000 of cash. Your controller’s weekly report shows the movement, and the figures feed straight into your cash flow forecast.