A Hunter Valley owned and operated service company to the resources sector has recently become a client of EC Credit Control. The owner and management knew measures were required as the obvious decline in their service orders is only part of the issue created by the slowdown in the resource sector. â€œIt puts pressure on every business in the region in one way or anotherâ€ the owner stated. â€œLast year we had one company go into liquidation owing us $140k and we received nothing as an unsecured creditor…â€ Implementing current Terms of Trade, Working Documents, PPSR and Veda will ensure our credit management is correct and we are secured, minimising the chance of another big loss that we can't affordâ€.
The services EC Credit Control now provides this client are:
TERMS OF TRADE were created specifically for the clients business and needs. The Terms and Conditions contain all the clauses required to meet current legislation as well as industry specific codes and protection to combat debtors.
WORKING DOCUMENTS including Credit Applications, Directors Guarantees, Quotation, Scope of Works, Variation and Completion of Works forms.
PPSR registration of financial interest for debtors that have material monthly accounts outstanding. Along with those that have possession of their equipment. This ensures they are a secured creditor in a liquidation event, and are not deemed a â€œpreferential paymentâ€ and at risk of clawback from a liquidator.
VEDA subscription taken out to allow the business to run credit reports on new and existing clients, and receive alerts on key details of debtors businesses including any defaults or legal action.
DEBT RECOVERY, a process was instigated for a number of delinquent debtors. The client was very happy with the results-oriented â€œNo Collection No Commissionâ€ structure.