Commercial Collections Strategy with Tactical Intent

Today, we are going to talk about your collections strategy and ensuring your collections treatment is effective and efficient.

Payment Terms

This is the net terms on the account that you can expect to receive payment from your customer. This is an area glossed over far too often in the customer onboarding process. Historically, businesses have used "default" net 30 payment terms: 30 days from the date of the invoice, payment is due. This was the standard for most businesses prior to the recession in 2008. Many businesses tightened their default terms and how they extended credit. In my collections strategy workshop, I talk a lot about the art of collections. After attending our strategy workshop, I'm confident that you will look at the collections department and processes entirely differently. You will learn how to run credit and collections in a strong economy and how to quickly adapt to a weaker economy. Payment terms are the key ingredient to a successful collection strategy and here is why.