Our Top Credit Control Tips: Minimise Debt, Maximise Cash

Published on 23^rd October 2025

Credit management isn’t just about collecting money — it’s about building great business relationships that support long-term growth and stability.

For businesses in today’s fast-paced environment, especially across the construction and trade sectors, effective credit control is key to maintaining healthy cash flow. The best businesses understand it’s not simply about chasing payments; it’s about trust, communication, and professionalism.

You Shouldn’t Ever Have to Chase a Client for Payment

In an ideal world, every client would pay on time.

Sadly, we don’t live in that world.

There are countless reasons and excuses for late payment, but only some are genuinely out of your control. The good news? Many can be avoided with a proactive approach.

• Payment disputes should be ironed out before you deliver goods or services.
  
• “Invoice not received” excuses disappear when you confirm who invoices should go to and follow up to ensure they’ve been received.
  
• “Already paid” responses can be prevented by keeping your bank reconciliations up to date.
  
• “Invoice under query” situations reduce when you respond quickly and learn from previous issues.
  
• Clients unable to pay can often be identified early through regular credit monitoring and risk checks.
  

Of course, things don’t always go to plan — but the more you can do before invoicing or delivery, the fewer headaches you’ll have after.

A little time and effort spent on how you grant, monitor, and control credit will help keep your cash where it should be — in your bank account, more quickly.

1. Set Clear Credit Terms from the Start

Transparency builds trust. Always confirm your payment terms upfront — including due dates, late payment fees, and any early settlement incentives. Clarity prevents confusion and sets professional expectations.

2. Know Your Customers

Take time to understand who you’re doing business with. Run credit checks, monitor payment behaviour, and watch for early signs of financial strain. Good credit information helps you minimise risk and maximise cash.

3. Communicate Early and Often

Don’t wait for problems to arise. Send reminders before invoices are due and follow up promptly when payments are late. Staying polite, consistent, and professional protects relationships while ensuring accountability.

4. Build Relationships, Not Barriers

Good credit control is as much about people as it is about process. Strong, respectful relationships encourage honesty and loyalty — and loyal customers pay faster. Work collaboratively to solve issues rather than letting them escalate.

5. Review and Refine Regularly

Credit control isn’t a one-off task — it’s an ongoing process. Regularly review your systems, credit policies, and communication methods to make sure they’re still effective and aligned with your business goals.

The Bottom Line

Good credit control isn’t about chasing — it’s about consistency, clarity, and communication. By building trust and managing risk effectively, you’ll strengthen your customer relationships, protect your cash flow, and help your business — and your customers — thrive.

Because when you minimise debt, you maximise cash.