Tuesday, September 30, 2008

Please pay in time

If you are doing business, I think your biggest concern will be the credit term given to your customer. Some customers are good payment master but some are not. You have to send them many gentle reminders, and then only they will reply you or pay you. My previous company never pays their invoice within payment term. Sometimes I will feel bad too whenever the supplier call up ask for cheque, I will have to give all sort of excuses. During Chinese New Year time more worst coz everyone need cash to row their financial. I will receive more phone calls during this period too.

I was telling my hubby that if I ever own a business, I will make sure my money collection is on time and I will not let my customer owe my money for more than 3 months, like what my previous company did. But he commented that I cannot too strict with my customer. If too strict, they may not come back to me later. Perhaps he is right too. but if given them too much flexibility, then my cash flow will in big trouble too. worst come to worst, I hire Collection Agency to assist me in doing the collection matter. Less headache for me too!