DUE2PAY

Credit Crunch name and shame

2010-02-11T06:55:00.000-08:00

Sir Richard Branson and other businessmen will be warning the Government that a new oil crisis forecast to hit in the next 5 years needs to be managed carefully. The crisis is expected to have a bigger impact than the credit crunch. Branson will be saying that The following five years will see us face another crunch – the oil crunch. This time, we do have the chance to prepare and that we do have the time to prepare in advance. preparation in advance and forward planning is the key for all businesses, large and small. Being aware of future markets in terms of supplies and new technologies can help to prepare a business in planning its future.
This approach will give an insight into the actions of customers and into their future health. Firms with reasonable Debt Recovery cash flow can benefit a great deal from not paying invoices on time. Spare money in their bank offsets their interest. Managing their money to use the credit of their suppliers means they can fund their business using someone else's money. It is essentially in most cases an interest free loan. The cash outflow temporarily saved can be employed to meet operational funding requirements. It is also commonly used to pay down debt on interest bearing loans and to reduce the monthly or daily balance on which interest is calculated and business debt collection.
Stretching the accounts payable, a firm effectively extends the period of this interest free loan thereby increasing the value of the benefits it receives from the use of Company Credit Check trade credit.
www.due2pay.co.uk is a 'must use' tool for Limited Companies suffering from late payment in the UK. It is a reference site like no other as it is unique in emailing members when a company has been listed as a late payer ( as we know late payments can force a supplier to the wall) and allows those same i to talk to each other.

New Name and Shame for Late business Payers

2009-09-21T08:35:00.000-07:00

Medium to small businesses are at risk of being paid slowly by larger clients. Really bad late payment can even lead to insolvency in the worst cases. It has come to the point that after many years that the chasing of late payment and managing debtors is a day-to-day task for many small businesses.

In an attempt to help businesses overcome the threat of late payment the Government introduced the Late Payment of Commercial Debts (Interest) Act 1998. This gives small firms with 50 or less employees a statutory right to interest for the late payment of commercial debts. This statutory right to interest and other new entitlements are available to all businesses and public sector bodies from 7 August 2002.

You can many things to avoid the dangers of late payment:-

1. Clearly print your terms and conditions for payment on any contracts (or order confirmations) signed with an end-client. These terms should clearly state the payment period for any invoice - quite often you would expect payment within 30 days, but this could be shorter or longer depending on your type of business. Company Credit Checks are a way of checking your new customers and existing customers

2. You could offer an early payment discount, or a discount for upfront payment of several installments. For example, you could charge £500 + VAT for a service/product if the amount is settled within your agreed payment period, and £475 + VAT if payment is made within 10 days. This is likely to encourage many clients to pay early, although you will of course make less money on each deal.

3. If a client has not paid on time, it is essential to follow up on the invoice. Always try to obtain a point of contact in the accounts department since this will save time. Politely ask for the payment to be made and if the problem persists, you can consider charging interest on the overdue amount, or in the worst case, threaten the late payer with legal action.

4. The Late Payment of Commercial Debts (Interest) Act 1998 allows small businesses to claim interest on overdue payments from other companies. Originally drawn up to help small businesses claim against larger businesses, the law now extends this rule to claim debt recovery against other small businesses. Even if you did not state a payment period in the initial agreement with a client, the Act states that a payment becomes 'late' after 30 days. You are entitled to claim interest at 8% above the prevailing Bank of England base rate. It is worth quoting the Act on any invoices sent to clients.

5. Clearly many small businesses feel vulnerable in demanding payment from larger companies, this is very understandable. For this reason, it is essential to follow the initial steps mentioned above when doing business with clients. If late payment occurs, always try to politely obtain settlement for overdue invoices before taking further action.

There are many ways to use the internet to help combat late payment. One of the newest is a name and shame web site offering membership services.

Name and Shame your business late payers NOW

2009-08-25T08:33:00.001-07:00

It has long been said that UK companies have a reputation of being the worst of the European late payers. Legislation to reduce payment delays and add interest to overdue invoices has been in place for a long time with little sign that it is being adopted.
A major factor for UK companies taking longer to pay invoices was the increase in interest rates. In times of high interest rates it was natural to look on suppliers as a cheap form of loan. Extending payment for 1 month means that you do not have to borrow and pay interest to a bank to fund that loan for 1 month. With banks tightening their belts it is harder to get loans and coupled with a reduction in interest rates the delaying of payment still continues as a method of managing cash flow.
Industry late payment figures have shocked industry observers who fear that late payment is likely to get worse with the rise in interest rates and the economy taking a downturn, factors that make retaining cash for as long as possible even more attractive. This level of late payment comes despite legislation phased in since 1998 that was designed to encourage better payment practice by allowing firms to claim interest on Invoices that were not paid on time.
The UK culture of late payment damages business, employment and international trade.The two main factors agreed by many to be the greatest challenge to business growth is restricted financial lending and late payment. The two go hand in hand. Banks will not lend money so where else can a business be funded ? For many it is the unfortunate supplier and it is the less vigilant or commercially aware supplier which suffers.
This is the point at which companies have to be aware of the other tools available to them. For new accounts a company credit check is essential, whilst these are historical they provide useful information. The use of other methods such as http://www.due2pay.co.uk/ , business debt collection and solicitor’s letters may seem extreme but are essential in this day and age. DUE2PAY’s approach to late payment takes the company credit check to a much needed area. Companies have been wanting a central register of late payers for a long time. With DUE2PAY a company can list a late payer and other members have sight of this information, simple.
Where late payment is traditionally one sided in favour of the late payer, DUE2PAY redresses the balance by giving the late payer the opportunity to flag up a reason for late payment of a specific invoice or invoices. All members have sight of this information and all members can contact the late payer or other members. Court action or solicitor’s letters do not offer this service. Debt recovery has now been taken to a new level with DUE2PAY.

how to manage late payment in business

2009-07-24T00:34:00.000-07:00

Tips for getting late payments paid earlier or on time
Don’t listen to the excuses
You may already know most of them, “Can you resend the invoice”, “it’s passed for payment” and ‘the cheque is in the post’. Get invoices paid directly into your account. Your customer can't them use the excuse that the cheque may be lost or that it is waiting for signature. You can also now list a late payer on sites which offer company credit check services, websites which are cheap and cost effective.
Work at it
Don’t think that businesses will pay you on time. You need to build relationships with people who hold the purse strings in companies which are slow in paying. Phone them, talk to them, smile on the phone to them, get them on your side. Be like a rat up a drain pipe and pester them in a nice way. Before you know it you will be the first to be paid. A phone call in advance of the payment date confirming that you will receive payment puts your contact on the spot and he might not want to let you down. Paying direct into your bank is good, meet with your customers and press them into this
Ask for interest and ask for prompt payment
It is possible and legal to ask for interest on late paid invoices.
Encourage prompt payment, if your pricing allows , hard in today’s climate, offer a prompt payment discount and link it in with Bacs electronic payment. You will see a positive cash flow with money going into your account quickly. Not waiting for money to clear means that you can use it immediately and don’t have to rely on costly loans.
Do as you ask
Don’t get a bad reputation yourself as a bad payer news travels fast so pay your suppliers on time.
Is a business a bad risk ?
Check them out through debt recovery companies or associations they may be in, check out Companies House which can provide reports on line to you. Prevent risk by doing a credit risk check on all new potential customers. risk by performing a credit check on all new customers. Beware of companies which give may give referees which provide a big proportion of their supplies, ask what percentage they are responsible for. That supplier may be paid on time every month because not to do so could influence deliveries. Business debt collection is hard, one needs to be tough to make it work.

Internal Cost of Late Payment
Some companies are paying for dedicated staff to chase late payment others are not so fortunate. On average the internal cost for those not able to afford dedicated staff can be up to 20 lost working days per year.

Ways to recover late business debt payment

2009-07-20T14:01:00.000-07:00

More and more businesses are finding that they are spending more on debt recovery collection than ever before. The cost of funding staff to chase late payment is spiralling. Those companies which don't chase late payment find themselves getting deeper into debt and possibly closing when they failed to pick up on the fact that a customer was on it's last legs

Work at it
Don’t think that businesses will pay you on time. You need to build relationships with people who hold the purse strings in companies which are slow in paying. Phone them, talk to them, smile on the phone to them, get them on your side. Be like a rat up a drain pipe and pester them in a nice way. Before you know it you will be the first to be paid. A phone call in advance of the payment date confirming that you will receive payment puts your contact on the spot and he might not want to let you down. Paying direct into your bank is good, meet with your customers and press them into this

Is a business a bad risk ?
Check them out through any associations they may be in, check out Companies House which can provide reports on line to you. Prevent risk by doing a credit risk check on all new potential customers. risk by performing a credit check on all new customers. Beware of companies which give may give referees which provide a big proportion of their supplies, ask what percentage they are responsible for. That supplier may be paid on time every month because not to do so could influence deliveries.

Ask for interest and ask for prompt payment
It is possible and legal to ask for interest on late paid invoices.
Encourage prompt payment, if your pricing allows , hard in today’s climate, offer a prompt payment discount and link it in with Bacs electronic payment. Threaten to put the matter in the hands of professional debt collection agencies. You will see a positive cash flow with money going into your account quickly. Not waiting for money to clear means that you can use it immediately and don’t have to rely on costly loans.
Do as you ask
Don’t get a bad reputation yourself as a bad payer news travels fast so pay your suppliers on time.

Don’t listen to the excuses
You already know most of them, “Can you resend the invoice”, “it’s passed for payment” and ‘the cheque is in the post’. Get invoices paid directly into your account. Your customer can not themn use the excuse that the cheque may be lost or that it is waiting for signature.

a better way to control late payment

2009-07-12T02:00:00.000-07:00

It has long been said that UK companies have a reputation of being the worst of the European late payers. Legislation to reduce payment delays and add interest to overdue invoices has been in place for a long time with little sign that it is being adopted.
Industry late payment figures have shocked industry observers who fear that late payment is likely to get worse with the rise in interest rates and the economy taking a downturn, factors that make retaining cash for as long as possible even more attractive. This level of late payment comes despite legislation phased in since 1998 that was designed to encourage better payment practice by allowing firms to claim interest on Invoices that were not paid on time.
A major factor for UK companies taking longer to pay invoices was the increase in interest rates. In times of high interest rates it was natural to look on suppliers as a cheap form of loan. Extending payment for 1 month means that you do not have to borrow and pay interest to a bank to fund that loan for 1 month. With banks tightening their belts it is harder to get loans and coupled with a reduction in interest rates the delaying of payment still continues as a method of managing cash flow.
With DUE2PAY a company can list a late payer and other members have sight of this information. Find more out here.
Where late payment is traditionally one sided in favour of the late payer, DUE2PAY redresses the balance by giving the late payer the opportunity to flag up a reason for late payment of a specific invoice or invoices. All members have sight of this information and all members can contact the late payer or other members. Court action or solicitor’s letters do not offer this service. Debt recovery has now been taken to a new level with DUE2PAY.
The UK culture of late payment damages business, employment and international trade.The two main factors agreed by many to be the greatest challenge to business growth is restricted financial lending and late payment. The two go hand in hand. Banks will not lend money so where else can a business be funded ? For many it is the unfortunate supplier and it is the less vigilant or commercially aware supplier which suffers.
This is the point at which companies have to be aware of the other tools available to them. For new accounts a company credit check is essential, whilst these are historical they provide useful information. The use of other methods such as due2pay.co.uk , business debt collection and solicitor’s letters may seem extreme but are essential in this day and age. DUE2PAY’s approach to late payment takes the company credit check to a much needed area. Companies have been wanting a central register of late payers for a long time.

new late payer website, free trial

2009-04-30T13:34:00.000-07:00

DUE2PAY is a web site aimed at bringing common sense back to the problem of late invoice payments, by tackling debt recovery in a new way. Late invoice payment is now regarded as an acceptable practice for late payers and an addition to business debt collection . In some cases the practice is an effort save a business from closing, for other companies the philosophy is to dot it as and acceptable to fund an already profitable business. Consider www.due2pay.co.uk as an early warning system, an alarm which if triggered can save you a lot of money for a fraction of the cost of the interest you are paying in funding your customers' businesses. Or a fraction of the cost of phone calls to chase payment and of solicitor's letters.
The Forum of Private Business in the UK says that late payments of invoices are having a serious impact on 70% of firms, with nearly 60% reporting that the situation had worsened over the past year. It is apparent that this scenario of late payment is being used as a form of free credit for businesses. Delaying payment to many customers funds a business and reduces bank borrowings. Any surplus cash held by a customer will in turn earn interest. Depending on the size of firm, late payments can have a major impact with a third of firms losing between £1,000 and £5,000 a year as a result and 15% losing between £5,000 and £50,000. On a daily basis we are hearing of companies forcing firms to accept mandatory discounts, longer payment times, and payment delays.
You can use www.due2pay.co.uk along side a company credit check. In fact it can work well alongside other traditional methods such as business debt collection and company recovery of debts through outside agencies which take a more hands on approach. UK government introduced the right to charge interest on late payments but this rarely happens in practice. www.due2pay.co.uk has two interesting powerful strings to its bow.
1) Where the website sends an email and fax to a customer asking them to pay an invoice within 14 days. If it remains unpaid, then the supplier is revealed on the site as a late payer. A nice addition which shows it is not all one sided is that the late payer is given the opportunity to 'dispute an invoice' and potential suppliers can enter into discussions with them and also the aggrieved supplier.
2) The 'Watch List'. Put a company on your Watch List and when it is listed as a late payer you will be informed by email.Large companies are using various methods to keep more money in their accounts. For example increasing the time it takes to settle suppliers' bills from 30 days to 75 days and imposing a 2.5% ' settlement' charge on payments. Cutting payments to suppliers by two per cent, despite one company almost doubling its annual profits.
The FPB says that it wants to see the Government 'leading by example' by committing to paying its suppliers on time, as well as introducing a code of conduct for itself and big companies. Chief Executive of the FPB, Phil Orford, said: 'Protecting cash flow, which is the lifeblood of any small business, has become even more important because of the credit crunch. We would like to see non-statutory measures implemented to enable businesses to hold late-payers to account without fear of losing customers and contracts.' Join www.due2pay.co.uk now and take advantage of the free trial

DUE2PAY addresses late payment, what businesses want

2009-02-24T10:43:00.000-08:00

Never before has the need for businesses to pull together been as important as now. For many a day UK companies have been regarded as ruthless and with a reputation as being the latest of the late with regard to being late payers. The government has put in place legislation over the years to stop payment delays and with the extra bonus of adding interest to overdue invoices. There has been no indication that take up has been popular

One of the main reasons that businesses in the UK have taken to increase their payment times was the increase in interest rates. During periods of high interest rates businesses naturally resorted to using their suppliers as a bank able to give low interest loans but in their case, it is interest free. When a company extends paying an invoice by 1 month, that business will not have to fund the equivalent amount with their bank, it also means that they do not have to approach the bank for a loan for that amount. We now know that banks are more reluctant than ever to advance loans. Even today even considering the reduced interest rates the delay of paying continues as a way of managing cash flow.
Industry late payment figures have surprised observers of industry trends, they fear that the uncertainty in the economy will make things worse for those who supply the late payers. The downturn in the economy, the heavy discounting by retailers is getting worse and with the global economic conditions and anything that a company can do to retain cash for as long as possible will be even more attractive. This trend to late payment is in spite of the legislation phased in since 1998 which was designed to develop a better payment practice by letting businesses ask for or claim interest on Invoices that have not been paid on time.
The UK dependency on late payment is detrimental to business, jobs and also global trading. It is thought that one of the biggest challenges to increasing the growth of business is late payment and lack of bank loans. They go hand in hand. If a bank is not lending to businesses, the supplier will be put under pressure and will suffer.

All businesses which supply others have to be aware of tools which can help them be more successful. When considering new business, a company credit check is usually the first port of call, although giving historical information they are extremely good to use. Other methods which are available such as http://www.due2pay.co.uk/ , business debt collection and solicitor’s letters may be thought to be aggressive but can be essential today. DUE2PAY has a novel way which to tackle late payment taking the company credit check to a new level. Companies have been wanting a central register of late payers for a long time. These businesses can now list a late paying company and other members have sight of this information, simple.
Late payment has traditionally been very one sided in favour of the late payer, DUE2PAY addresses this in giving the late payer the chance to flag up a reason for his late payment of a specific invoice or invoices. Every member of DUE2PAY can access this information and all members can contact the late payer or other members. Court action or solicitor’s letters do not offer this service. Debt recovery now has a meaningful alternative with DUE2PAY.

Try DUE2PAY and the on stop accounts will start again

2009-02-04T09:39:00.000-08:00

From www.due2pay.co.uk, the easy way to manage late payment and debt recovery. Follow the link to find a 60 day free trial and a low monthly membership for features to help your business.

The business world is a two way affair between Customers and Suppliers. Whilst things look gloomy on the payment front, customers will look at legitimate ways to delay payment.
Legitimate ? ? Yes, they may ask for extended terms. They will want to do this to create a buffer in their business. They don't want to be subjected to business debt collection agencies knocking on their door. They don't want to have a company credit check show them as a bad risk. Many suppliers will put their customers on stop, an onstop system is fine until pressure is placed on the supplier, it may be the threat of losing business to a competitr or being held responsible for their customer ceasing to trade.

Banks have been concentrating on quantity of loans and will look closely at the quality of loans with their accounts. A move could may take place to change interest only loans to another style, perhapes those which show more payment off to the capital other types certainly ones which show payment to the capital. Some banks may not be concerned about losing customers as other banks will not want to pick up the business.
The credit cycle is forever ightening, it’s a knock on effect throughout industry.
One business starts to tighten its terms and it cascades right down the supply chain.

Make sure you and your staff are on the watch out for the tell tale signs of late payment. These are numerous, amongst them are late delivery of cheques, bouncing cheques and excuses over the telephone.

Look at your existing businesses now, any which are showing signs of slowing their payment should be monitored regularly. Overdue Accounts which are allowed to stay that way are difficult to turn round. Don’t forget that if customer has problems now in paying outstanding debts, then it will be hard to catch up unless his customers start to pay monies owed to him on time.

Debt recovery from a company on the slide is a hard thing especially if they have been with you for a long time. Tough decisions need to be made especially if you have developed close personal times with the key players.

New customers need to be subjected to a normal company credit check there is no harm in vetting them using other industry sources. Information can be gleaned from Companies House and any of the other credit referencing companies which use their information.

Business debt collection and debt recovery

2009-01-22T04:25:00.000-08:00

The commercial world is tightening its belt. Major Banks are reporting a growing number of British firms have fallen behind with their repayments. Business debt collection is more important than ever to prevent cash flow issues. This has led to larger companies getting more aggressive and

1) forcing extended credit terms on suppliers
2) demanding discounts on already agreed prices
3) demanding settlement discounts for just paying on time
4) Imposing retrospective rebates for goods already delivered.
5) Using late payment as an easy way of funding their own cash flows.

These are extremely worrying developments for the whole business community.

It is now more important than ever for small businesses to protect themselves and ensure invoices are paid on time ensuring a company credit check is carried out.This will help them avoid potential cash flow problems, which, if not addressed quickly could result in the ultimate closure of their business.
An internet based service to help victims of late payments called DUE2PAY LIMITED has been specifically designed to help these companies recover their overdue invoices, without the need to go to court or traditional debt recovery methods. It acts to share information on companies identified as late payers by fellow members, giving them the opportunity to make more informed decisions in dealing with a particular company.

The service is offered free on a 60 day trial, after which, normal membership fees will apply. If you are interested please contact DUE2PAY.CO.UK

.....late payment of invoices no more

2009-01-05T04:56:00.000-08:00

DUE2PAY is offering a totally unique service which is a valuable addition to the credit referencing services provided by companies such as Experian and Equifax. DUE2PAY has been described as being more punchy with more debt recovery than a Solicitor's Letter. It was conceived in the first place as a bolt on to exisiting credit referencing, business debt collection and credit checking. DUE2PAY is an important tool for Companies which want to check the credit worthiness of potential customers and who want to keep track of their customers which may start to pay their bills late. It is an excellent resource for checking on companies you may wish to do business with.

Many companies do not to think how much time and money is spent on phone calls, faxes, visits and solicitor letters. One late payer can cost you well over £100 which is near enough the annual cost of being a member of DUE2PAY. For this, members of DUE2PAY get an array of services which goes far beyond the benefits of traditional credit checks and the costs of traditional debt collection such as solicitors letters and the associated costs of court action.

Vetting of new customers with traditional company credit check can be slow. Companies will rely on commercially available reports which can be over year old. Hasty decisions to do business in the current economic climate can give payment problems in the future. Recovery of invoices owed and their collection can be handed over to a third party though this still involves the supplier in a lot of work. There is nowhere else that you can turn to find up to date information on Late Payers.

As long as there is no dispute over your invoices or transactions, you can let your supplier know that you want your money on time. DUE2PAY's simple interface allows you to take control.

If you do not have any overdue accounts, you can still join up and use the Watch List feature which will keep you informed whenever a company is listed as a late payer.

read on if you have invoices owing ...............

2008-12-28T01:42:00.000-08:00

Things are undoubtedly tough for business with the retail sector suffering and major banks are tightening their belts as their customers fall behind with their repayments.
This has led to larger companies getting more aggressive and

1) forcing extended credit terms on suppliers
2) demanding discounts on already agreed prices
3) demanding settlement discounts for just paying on time
4) Imposing retrospective rebates for goods already delivered.
5) Using late payment as an easy way of funding their own cash flows.

These are extremely worrying developments for the whole business community.

It is now more important than ever for small businesses to protect themselves and ensure invoices are paid on time.This will help them avoid potential cash flow problems, which, if not addressed quickly could result in the ultimate closure of their business.
The internet based service helping vivtims of late payments launched by DUE2PAY LIMITED has been specifically designed to help these companies recover their overdue invoices, without the need to go to court, also to share information on companies identified as late payers by fellow members, giving them the opportunity to make more informed decisions in dealing with a particular company.

Quote 'DUE2PAY has some unique features which are worth their weight in Gold'
Try it now with their free 60 day trial. The monthly payments of £15 are excellent value.

Defeat the late invoice payers

2008-12-23T06:00:00.000-08:00

All UK Limited companies can join www.due2pay.co.uk to stay one step ahead in the invoice payment stakes. The closure of firms in the retail sector is making things tougher for all suppliers. What happens at corporate level impacts on the consumer. The employees of Woolworths, MFI and other retailers will be tightening their belts and will not have the disposable income to spend as in previous years. The knock on effect is not only within the retail market but also the supply industry to those firms. These will involve contracts for cleaning, security and shop fitting. All will feel the pinch more in a declining market. Costs and overheads will be looked at more closely, credit will be pushed to the limit and companies may ask for extended credit or take it without asking. Companies which are less financially aware will not realise that giving an extra month credit is the same as giving an interest free bank loan. Imagine going to your bank and ask for £10,000 on a 0% free loan for 1 month. This is where debt recovery along with business debt collection comes in to play.
Longevity in the retail trade is no guarantee for continued survival, Woolworths has been around for almost 100 years. The winter of 2009 is being described as a High Street Bloodbath triggered in part by the biggest decline in consumer spending for 13 years.
All UK Limited companies can join www.due2pay.co.uk to stay one step ahead in the invoice payment stakes. To describe DUE2PAY in a few words is hard as the service provided is unique. It is a members club which allows members to find out who is paying late in GREAT BRITAIN Limited. Company credit checks are important for deciding on doing business with a new customer. DUE2PAY goes a few steps further by making information on late payers available, something which has not been done to this extent before.
The Watch List feature at DUE2PAY is available to all members. Any member can create a list of companies which they want to keep an eye on. When a watched company is listed on DUE2PAY the member is sent an email advising them of this. The member can log onto the site and immediately contact the supplier which made the listing. Consider it to be a UK wide breakfast club. The members details are confidential on the site but are encouraged to exchange contact details.

2008-12-18T02:44:00.000-08:00

Late payment of invoices is a hot potato now and has always been around. http://www.due2pay.co.uk/ has been set up to tackle the problem of late payment and Debt Recovery by levelling the playing field where at the moment it is stacked in favour of the customer. The difference today is that ruthless management fired by profitability has been replaced by the distinct need to use a supplier’s money in order to fund operating costs and wages. Many new start ups are by people who are enthusiasts in their chosen field, design, engineering, gardening, wood working. These businesses are at the mercy of today’s business environment. Many of them don't realise the effect of giving a company an extra few months of credit. Only when the supplier goes to thebank themselves for credit to find out what it costs to borrow £10,000 for a month will they realise why they themselves have cashflow problems and need to resort to Business Debt collection. A well known statistic is going round that 1 in 10 businesses are in danger of collapse due to cash flow problems. SMEs need to be alert to those that will take advantage, they also need to hand over the handling of finances to their staff who deal with it on a daily basis. They need to ask their staff to be on the ball on their behalf. A Company Credit Check is always an important starter but companies should not ignore their own gut feelings

........describe DUE2PAY as the must have business membership

2008-12-07T01:10:00.000-08:00

........describe DUE2PAY as the must have business membership for all Limited Companies as necessary to financial well being as your normal credit checks. DUE2PAY goes much further than telling you if a business is credit worthy. It lets you speak with other business which are having trouble getting paid by any company you find listed as as a late payer on their site. Businesses are facing increasing problems with late invoice payments, bad debts and Debt Recovery. DUE2PAY is a website which encourages late payers to pay the bills they own. The view is that instead of the headache of court action or a solicitor’s letter, you can list a company as a late payer with www.due2pay.co.uk and share that information with other members. Dispensing with solicitor’s letters and court action. DUE2PAY can be thought of as a UK wide business club, bringing members together over the internet to discuss business in the same way that they would if they were members of a local club having breakfast meetings.

The best thing about DUE2PAY is the incredible low cost for such a needed service. Free membership for the first two months, this is followed by only £15 a month. Compare this with the high costs of sending a solicitor’s letter, the interest you pay your bank or the costs of factoring.The success of local business clubs and networking is recognised by those who join them. Late payment is a common topic. In some industries is recognised that the longer you wait to chase a late invoice debt it is less likely the invoice will be paid. Add to this the interest you are paying out to fund the product or service supplied, the internal costs of employing someone to make the chasing phone calls, to write letters or the cost of taking legal action the overall cost is usually hidden. The warning signs are easily read but companies choose to take a positive point of view expecting to receive payment soon. However it is common to discover that your debtor is also a debtor to other companies. If you delay in recovering monies owed, your debtor may be wound up or made bankrupt before you get the money you are owed.The government has introduced legislation allowing companies to add late payment interest into their invoicing structure. Take up has been slow and is considered to be an administrative obstacle for small businesses which just want to be paid for the goods or services supplied. Using www.due2pay.co.uk will highlight to your customer that you expect payment. If he is doing the same with his other suppliers, they will soon find out through the site. In addition, other companies which he approaches will be forewarned with the site’s Watch List. This is a useful feature which allows members to list companies and as soon as that company is registered as a late payer they receive an email letting them know that their Watch List has been ‘triggered’.DUE2PAY is up there with other traditional methods of business vetting such as business debt collection and company credit checks. It has an advantage of alerting members to things which are happening recently. The historical or traditional check methods should not be ignored as they are valuable indicators of how a company trades, their profitability and ability to weather hard times.

Google DUE2PAY now for better cash flow

2008-11-23T08:48:00.000-08:00

Late payment is a problem for many UK businesses and can lead to serious cash flow problems, it reduces profits and can threaten commercial survival. If a business is continually paid late it can have no option but to raise its prices, if it can, to reflect the costs of the finance required, or going into liquidation is another option.

The act of raising prices in the current climate can cause their customers to change their supplier. There are and always will be businesses which have no qualms about using the the ‘protection’ of using Limited Company status to avoid payment and debts which they have no intention of paying. Debt Recovery initiatives are often too late and sometimes the late payer themselves are so near the line that the Business Debt Collection alternatives have no effect.

Early use of DUE2PAY can serve as an early warning device for all UK limited companies and as a Business Debt Collection method in it’s own right.
In today’s climate, companies which are living hand to mouth, being short of work sometimes ignore normal business precautions and accept orders without making good credit checks.
Google DUE2PAY and you will find a simple tool to help defend yourself against unscrupulous companies which sacrifice their suppliers in pursuit of their own profitability.
DUE2PAY is a novel approach which has been wanting in the UK commercial world for many years. It addresses late payment by using the internet to make it possible to put companies who suffer late payment in touch with each other. For the first time you can list a company as a late payer on a web site and other companies which are dealing with that company are able to contact you. Members are anonymous on the site but can if they wish exchange details and join forces to combat the problems caused by a specific company.
Another feature of the site is the ability to create a WATCH LIST of companies which you want to keep an eye on. As soon as a company is listed as a late payer, all members with that company on their WATCHLIST will receive an email saying that company has been listed.
DUE2PAY is giving teeth to the supplier, enabling them to take action on companies which could drive them under.

.... accepted practice for Companies to pay bills late ? ?

2008-11-14T09:28:00.000-08:00

Late Payers say it is accepted practice ......
Late payers have over the years paid bills when it has suited them. Without being challenged, and many of us are guilty of this it has grown into accepted practice. In the current economic downturn, it is common for big companies to delay payments to smaller suppliers and use bullying tactics to legitimise this practice. Pressure is on the larger companies but it is their smaller suppliers which can help stop late payments happening. Many small suppliers are finding themselves pushed to the wall and closing down because of this impossible cash flow situation. A company credit check gives information from a historical perspective it is a valid form of credit check management in the same way that debt recovery is used when things start to go pear shaped.
We have set up http://www.due2pay.co.uk/ specifically to help businesses tackle the issue of late payment from their customers. Members are able to register late payments which are affecting their business. An email and fax is sent to the customer letting them know that if the bill is not paid within 14 days, other members will be able to see details of the non or late payer payer.
The beauty of the internet is that we can put members in touch with each other where ever they are in the UK. So if you spot a member is having payment problems with one of your customers or with one of your intended customers, you can get in contact with them.
DUE2PAY can be considered to be an added arm to the business debt collection industry, though we do not handle funds or take a commission. We work to get outstanding monies owed paid on time. The business banking world is tightening its belt with banks closing the doors on many small businesses which need money to pay their staff, overheads and day to day running costs. This is not the fault of the banks, in many cases, if customers paid their bills loans would not be needed from banks. Many companies are being forced into bankruptcy.
To use http://www.due2pay.co.uk/ there must be no dispute over an invoice, if the buyer thinks it is in dispute, he can register that on the site. Members are anonymous on the site but are expected to enter into discussions through the site message system if someone contacts them.
We are trying to level the playing field and avoid the secrecy which late payers have traditionally relied upon. If you are intending going to court or to use a solicitor, try http://www.due2pay.co.uk/ as an alternative and use your experience to help others.

DUE2PAY targets late payers

2008-11-11T09:45:00.000-08:00

Join DUE2PAY now with free 60 day trial

2008-11-10T04:00:00.000-08:00

Businesses are facing increasing problems with late invoice payments, bad debts and Debt Recovery. DUE2PAY is a website which encourages late payers to pay the bills they own. The view is that instead of the headache of court action or a solicitor’s letter, you can list a company as a late payer with www.due2pay.co.uk and share that information with other members. Dispensing with solicitor’s letters and court action. DUE2PAY can be thought of as a UK wide business club, bringing members together over the internet to discuss business in the same way that they would if they were members of a local club having breakfast meetings.

The success of local business clubs and networking is recognised by those who join them. Late payment is a common topic. In some industries is recognised that the longer you wait to chase a late invoice debt it is less likely the invoice will be paid. Add to this the interest you are paying out to fund the product or service supplied, the internal costs of employing someone to make the chasing phone calls, to write letters or the cost of taking legal action the overall cost is usually hidden. The warning signs are easily read but companies choose to take a positive point of view expecting to receive payment soon. However it is common to discover that your debtor is also a debtor to other companies. If you delay in recovering monies owed, your debtor may be wound up or made bankrupt before you get the money you are owed.

The government has introduced legislation allowing companies to add late payment interest into their invoicing structure. Take up has been slow and is considered to be an administrative obstacle for small businesses which just want to be paid for the goods or services supplied.
Using www.due2pay.co.uk will highlight to your customer that you expect payment. If he is doing the same with his other suppliers, they will soon find out through the site. In addition, other companies which he approaches will be forewarned with the site’s Watch List. This is a useful feature which allows members to list companies and as soon as that company is registered as a late payer they receive an email letting them know that their Watch List has been ‘triggered’.

DUE2PAY is up there with other traditional methods of business vetting such as business debt collection and company credit checks. It has an advantage of alerting members to things which are happening recently. The historical or traditional check methods should not be ignored as they are valuable indicators of how a company trades, their profitability and ability to weather hard times.

Firms using www.due2pay.co.uk

2008-11-03T02:10:00.000-08:00

1 in 10 Small Firms in danger of going under, a report from the RSA reveals that more than 500,000 small businesses could close if they do not get urgent help. 11% of the businesses surveyed said they can no longer afford to operate due to the credit crunch and global financial upheaval. The research was conducted in August, conditions since then have deteriorated more.
Firms are under pressure to maintain cash flow due to lack of credit , late payment, increases in costs and a down turn in consumer spending.

Many firms are having to shed staff, some of which have been with companies for many years and in some cases family businesses are shedding members of their own family. Small businesses employ nearly 60% of the private sector workforce.

Despite reassurances to industry, lending restrictions are compounding the problems caused by spiralling costs and payment problems. The government is urging businesses to make use of an EU fighting fund worth up to £4 billion. The high street banks are expected to lend out cheap cash loaned by the European Investment Bank on better terms than the current market rate. These loans are geared to help companies avoid the cash flow debt trap.
Debt recovery for small business is a major part of their lives, the importance of which has grown over the years to a point where now dedicated staff carry out business debt collection or it may be contracted out. The contracting out will go to companies specialising in reclaiming monies owed. These companies may offer simple services but also give advice, perform company credit check, monitor outstanding debts and provide reports on all involvements with debtors.

Smaller firms find it hard to get larger customers to keep to the agreed payment terms. Smaller suppliers rarely make a legal challenge to try to impose interest charges on late payments although they are quite legally able to do this.
Small firms are under pressure from all sides, the banks which lend money and also from larger businesses which they supply. The Credit Management Research Centre (CMRC) at Leeds University Business School has found that companies keen to hang on to their cash as long as possible, are taking longer to settle their bills - particularly if they owe money to small firms. The delay in paying SMEs has worsened since the findings of their report which focused on the second quarter of this year.
So the result of the bank either increasing their interest rates and the buyers taking longer to pay gives companies cash flow problems. It is usually when it is too late that SMEs pay attention to cash flow and turn to debt recovery methods. They are so busy managing other parts of their business that they take their eye off the ball. For this reason, many companies are in danger of going bankrupt even if they have a healthy business

DUE2PAY helps get invoices paid on time

2008-10-27T11:21:00.000-07:00

Smaller firms often find it hard to force their larger customers to keep to agreed payment terms. Smaller suppliers rarely make a legal challenge to try to impose interest charges on late payments although they are quite legally able to do this.
So the result of banks either increasing their interest rates and the buyers taking longer to pay gives companies cash flow problems. It is usually when it is too late that SMEs pay attention to cash flow. They are so busy managing other parts of their business that they take their eye off the ball. For this reason, many companies are in danger of going bankrupt even if they have a healthy business
When cash flow dries up, a business is left drowning, the game is over ! A company credit check can be made during trading with a company as well as being part of the decision making process of deciding if you should trade with a new business. Don’t forget that a business credit check is historical and the information can be over a year old.
http://www.due2pay.co.uk/ is offering a different type of service to UK limited companies. Their web site will take details of late payments, they will email and fax the customer to remind them that monies owed is due. If the invoice remains unpaid, other members will have site of the fact (the amount of the invoice is not shown). The other members will then be able to contact the supplier and the customer if they wish. The Watch List of DUE2PAY is proving popular. Members can create a WATCHLIST of companies which they want to keep an eye on. As soon as a company is listed as a late payer, members with that company on their watch list will receive an email telling them that that a company they are watching has been listed on DUE2PAY.
It is common to find that your debtor is also in debt to other companies, if you delay in addressing any late payments, the debtor may be wound up or go bankrupt before you have the chance to recover monies owed to you.
Liquidity is the key to survival today. There are several methods of managing debt recovery of overdue accounts, a useful way is to factor invoices though the percentage take of those offering the service may be considered high especially in low margin businesses. Solicitor’s letters are almost one off methods which still rely on you and the solicitor to monitor accounts. Some companies are offering a debt collection service for a monthly fee, they will chase your invoices for you.
Managing working capital will give any business with the cash resources to contine to trade.
A bad debt uses valuable internal company resources in chasing the debt.
Less considered methods of improving liquidity is timing of salary payment to the receipt of guaranteed payment of suppliers. Increasing order size from your own suppliers negotiated with a decrease in price and extended payment terms (be careful of overstocking) , taking stock from suppliers and paying for it is when it is used (your supplier is effectively using you as a storage facility), reducing your own stock levels and having suppliers deliver smaller amounts just when you need it.

Late Business Payment

2008-10-23T14:36:00.000-07:00

From www.due2pay.co.uk, the easy way to manage late payment. Follow the link to find a 60 day free trial and a low monthly membership for features to help your business.

The business world is a two way affair between Customers and Suppliers. Whilst things look gloomy on the payment front, customers will look at legitimate ways to delay payment.
Legitimate ? ? Yes, they may ask for extended terms. They will want to do this to create a buffer in their business. They don't want to be subjected to business debt collection agencies knocking on their door. They don't want to have a company credit check show them as a bad risk.

Banks have been concentrating on quantity of loans and will now look closely at the quality of loans with their accounts. A shift may take place to convert interest only loans into other types certainly ones which show payment to the capital. Banks will not be too concerned about losing customers who don’t like it as other banks will not want to pick up the business.
The credit cycle is tightening, it’s a knock on effect.
One business starts to tighten its terms and it cascades right down the supply chain.

Make sure you and your staff are on the watch out for the tell tale signs of late payment. These are numerous, amongst them are late delivery of cheques, bouncing cheques and excuses over the telephone.

Look at your existing businesses now, any which are showing signs of slowing their payment should be monitored regularly. Overdue Accounts which are allowed to stay that way are difficult to turn round. Don’t forget that if customer has problems now in paying outstanding debts, then it will be hard to catch up unless his customers start to pay monies owed to him on time.

Debt recovery from a company on the slide is a hard thing especially if they have been with you for a long time. Tough decisions need to be made especially if you have developed close personal times with the key players.

New customers need to be subjected to a normal company credit check there is no harm in vetting them using other industry sources. Information can be gleaned from Companies House and any of the other credit referencing companies which use their information.

More Features than a Solicitor's Letter

2008-10-14T01:09:00.000-07:00

DUE2PAY's services have been described as being more punchy with more features than a Solicitor's Letter.
Originally conceived as a bolt on to exisiting credit referencing and credit checking, DUE2PAY is an important tool for Companies which want to keep track of their customers which may start to pay their bills late. It is just as important to check on companies you may wish to do business with.

Stop a moment to think how much time and money is spent on your phone calls, faxes, visits and solicitor letters. Just one late payer can cost you well over £100 which is near enough the annual cost of being a member of DUE2PAY.

Vetting of new customers can be a slow tedious affair.
Recovery of monies owed and its collection can be handed over to a third party though this still involves the supplier in a lot of work. There is nowhere else that you can turn to find up to date information on Late Payers.

As long as there is no dispute over your invoices or transactions, you can let your supplier know that you want your money on time. DUE2PAY's simple interface allows you to take control.

If you do not have any overdue accounts, you can still join up and use the Watch List feature which will keep you informed whenever a company is listed as a late payer.

Innovative low cost Debt Management

2008-09-26T07:58:00.000-07:00

A different approach to debt management is seen in due2pay.co.uk.
This company brings an innovative approach to bring suppliers together in order to tackle the issue of late payment debt in industry. It also gives the customer a right to reply. Credit ratings with traditional methods are accepted business management tools.
By opening up the area of late payment and allowing the process to be more visible it is hoped that ethically run businesses will not feel alone. The credit crunch is forcing more companies to watch their costs. Some take the view that it is acceptable to delay payment of invoices as a way of protecting their own business, they have no qualms or feel have no choice but to be a debtor. Some companies are advising suppliers that they are revising the terms on which they do business and extending payment terms on existing invoices. The knock on effect of this is huge. A company taking an extra week credit is in fact enforcing a price decrease. This in turn helps their cash flow, normal business vetting will not bring this to light.
Some small companies are being hit doubly hard.
They are having suppliers increase prices and their customers are extending payment terms without negotiation or demanding price reductions.
The effect of these two demands creates a huge on cost for the supplier.

The Business Credit Crunch

2008-09-04T02:01:00.000-07:00

Things just seem to be getting a little tough for Businesses at the moment. Major Banks are reporting a growing number of British firms have fallen behind with their repayments. This has led to larger companies getting more aggressive and

1) forcing extended credit terms on suppliers
2) demanding discounts on already agreed prices
3) demanding settlement discounts for just paying on time
4) Imposing retrospective rebates for goods already delivered.
5) Using late payment as an easy way of funding their own cash flows.

These are extremely worrying developments for the whole business community.

It is now more important than ever for small businesses to protect themselves and ensure invoices are paid on time.This will help them avoid potential cash flow problems, which, if not addressed quickly could result in the ultimate closure of their business.

A new internet based service to help victims of late payments has been launched by DUE2PAY LIMITED which has been specifically designed to help these companies recover their overdue invoices, without the need to go to court, also to share information on companies identified as late payers by fellow members, giving them the opportunity to make more informed decisions in dealing with a particular company.

The service is being offered free on a 60 day trial, after which, normal membership fees will apply. If you are interested please contact DUE2PAY.CO.UK