Most businesses plan for bad debts and certainly factor in they will have write offs every year. As a general rule, your 90+ day debtors should represent a maximum 5% of your total aged debtors. Blackbird Recoveries (BBR) can assist in implementing best practice credit management and internal policies for you whilst re-educating your customers to pay within trading terms.

A lot of bad debts are avoidable; you need to identify the early warning signs. BBR manage the collections processes for most industry leaders. We will already have a precedent of best practice recovery from your peers across all industries. Our area of specialty is in business to business debt collection and we need to understand your business and how the bad debt problem occurred.

Our assessment will begin before the point of sale. We need to understand your policies and will need to understand your;

  • Credit applications and ensure that all relevant terms and conditions are current including the PPSR;
  • Credit policies – What credit searches you conduct on your clients and how you identify risks in those credit searches;
  • How you set your credit limits and ensure you know when to place clients on “stop credit”;
  • What are your trading terms and invoicing cycle and how they relate to your credit policy;
  • Internal accounts receivable process and internal debt collection model.

BBR commonly see a problem where a client eventually places a debtor on stop credit and then allows future trading on a “cash sale”. Should any of the above interest you, or sound familiar, BBR can assist with implementing change as well as “tricks of the trade” to ensure any bad debts that arise will have the best chance of recovery.