Accountants Reference Page

Do you know what the credit control policy of your company is? Do they have credit policies? It is sometimes revealing to ask these questions. Firstly many companies do not have any written credit control policies – apart from the need to be paid as quickly as possible. Often companies that do have credit polices do not disseminate them through the company, as often sales as well as credit departments need to know what these are. Again management often think that they have good credit control policies in place, but when junior staff are asked they tell that they are not allowed to follow the polices or that they are unworkable.

Collecting Accounts Receivable is one of those jobs that no one wants, but it's a necessary part of doing business. Anyone running a business knows that if you don't get paid, you can't pay your employees or vendors, and that's not good.