Earlier this month, we exhibited at our first trade show for 2019 at Executive Hire Show, Coventry. We were overwhelmed by the warm welcome we received by our members who  took the time to tell us how valuable their membership with us is to their business. We were especially pleased to meet some of our members who have been with us since we started more than 25 years ago. It was great to meet our 41st member company KB HANDLEY PLANT HIRE LTD and JACKSON & GOCHER LTD who have been with us since 1994. 

We are now looking forward to our next event at Vertikal Days, Donington Park 15th and 16th May 2019 Stand MP14. Vertikal Days is a specialist event centred around access platforms, cranes, tele handlers and associated lifting equipment.  For more information and to register for the event visit www.vertikaldays.net 

We hope to see you there!

A County Court Judgment in England, Wales and Northern Ireland is a type  of court order which you can enforce against a debtor should they fail to pay what they owe.

Once you have secured judgment against a debtor this will remain on the debtors credit file for 6 years, having an impact on their ability to obtain credit from elsewhere. 

If the judgment amount is paid (including any claims for interest and court fee’s and / or solicitors fee’s) then the judgment will remain on the credit file marked as satisfied. If the payment is made within 28 days of the judgment being registered then the judgment can be set aside, being removed from the credit file without any trace. 

When the judgment remains unpaid you may want to consider your enforcement options. There are a number of different options to consider and a decision should be made on which one you move forward with based on the value of the debt, the costs incurred so far and the potential costs of enforcement . You should also consider what you know about the debtor and seek expert advice before making any decisions. 

One of the most used enforcement methods is to instruct a Bailiff or High Court Enforcement Officer. The purpose of this is that the Bailiff or HCEO will make visits to the debtor and attempt to take control of goods or take payment of the debt. 

You should consider the addresses you have for the debtor. If your debt is with a Ltd company and the only address you have is the registered office, try and establish if this is an office that will have goods owned by Ltd company. Or does the address belong to the Ltd company’s accountant? 

If you chose to instruct the Bailiff / HCEO then the more information you can provide at the time of instruction the better. 

Other options include securing your debt against property or land owned by the debtor. Whilst this doesn’t automatically release funds owed to you, having a secured debt certainly helps you if the debtor / debtor company becomes insolvent. Once you have secured your debt you can always look at another enforcement method to try and elicit payment. 

There of course many options when you decide to take legal action to recover a debt. Information is key, the more information you can provide and consider the better. Consider your local knowledge, previous customer activity, credit information and information gathered through the collection process, the more information you have can only improve your chances of a successful collection through legal action.

If you require enforcement advice or more information on the options available to you, please contact our helpdesk by calling 01527 518800 or email helpdesk@top-service.co.uk.

Executive Hire Show is the national exhibition for the tools, equipment and plant hire industry. To be held on Wednesday 6 – Thursday 7 February 2019, Executive Hire Show is a trade-only event open to hire executives throughout the UK and Ireland, and it has also attracted hire industry visitors from Europe and beyond. 

We will be on hand to answer any of your questions. Pop along and introduce a friend and you will receive a discount to your subscription fee. For more information and to register for the event visit www.exechireshow.com

We make it our mission to ensure our members receive the most up to date credit information and company trading experiences available which, can make a real difference between profit and painful write-offs. City Tool Hire recognises the importance of monitoring company trading experiences and taking action to prevent company loss. 

Recently, they raised their concerns with us about a company which owed them more than £30k and held their machinery on site.  With access to up to the minute credit data we were able to respond immediately and confirmed a Notice of Intent had been filed by the company. This information enabled City Tool Hire to act quickly and retrieve their machines and so limit the financial impact to their business. 

“I am grateful to Top Service for informing us so quickly that the company had closed which enabled us to act swiftly and recall our machinery. Access to trading experience information is vitally important to our business and we value the level of customer support Top Service has shown us, the financial impact could have been far worse if they had not acted so fast on our behalf.” Kalpesh Davdra, Finance Manager for City Tool Hire

For more information on how we can support your business with our debt prevention services visit:

https://top-service.co.uk/our-services/prevention/index.php

Telesales Consultant

We are looking for applicants with the following skills to join our existing Telesales team:

• Excellent telephone skills including negotiation, objection handling and closing.
• Ability to spot and react to buying signals
• A ‘can do’ and motivated approach to work
• Good PC skills including knowledge of using internet and email.

Our Telesales Consultant is a telephone-based role, making outbound calls to prospects and working with a steady stream of incoming leads. We are a service-based company and your role will be to sell our credit information and debt collection service to companies within the construction industry, in the form of a monthly subscription.

In return we offer:

• A competitive salary with un-capped commission.
• A motivated and target driven environment .
• An excellent training programme with ongoing support and recognition
• Healthcare Cash Plan

For further information about this job role and how to apply, please telephone: 

Jo Carby 01527 518800 

Each year, construction businesses write-off thousands of pounds because of bad debt caused by late and non-payment. According to a study carried out by specialist financial services provider Bibby Financial Services (BFS) and industry experts, The Vinden Partnership (TVP) ‘Sub-Contracting Growth’ 2018 reveals that three-fifths of subcontractors working in the construction industry (60%) have suffered from bad debt in the last 12 months, with the average firm writing-off £16,149 each year*.

So, how do you mitigate the risks associated with bad debt and are you claiming everything you are entitled to?

Emma Miller, Company Director for Top Service has the following advice;

“The construction industry continues to be hampered by bad debt, the overall risk to your business is great given the complex nature of build projects and their reliance on a fluid supply -chain.  Ideally for the best chance of collection a debt should be no longer than four weeks overdue before passing to a third party. At Top Service we would suggest no more than three letters are sent in-house before you refer. If your customer has not responded to your requests, then they are most likely ignoring you and it will be prudent to refer swiftly into the next stage of your pre-litigation collection process. 

Where an invoice is not paid or is paid late, the Late Payment of Commercial Debts (Interest) Act 1998 allows you to claim interest and compensation and the Late Payment of Commercial Debts Regulations 2013 allows you to claim recovery charges above the compensation amount awarded. ” 

Are you claiming everything you are entitled to for bad debts?

“Interest claims for non-payment are split into two categories, contractual and statutory. Contractual interest must be stated in the terms & conditions and / or contract and agreed with the customer before the product / service is provided. 

The majority of construction businesses who are providing trade credit to customers will turn to the statutory interest legislation to ensure they are being compensated for late payment. 

The statutory legislation (Late Payment of Commercial Debts (Interest) Act 1998) allows for interest to be claimed at 8% above base rate and also a compensation claim of either £40, £70 or £100.00 depending on the value of the debt. 

The statutory legislation can be applied to business debts that are ‘late’ the Government outlines ‘late’ as being 30 days after either the customer receives the invoice or you deliver the goods/provide the service (if this is later than the customer receiving the invoice). Unless you have agreed longer terms to pay with your customer. In these cases, the debt would be ‘late’ after those agreed terms have passed.

In terms of raising invoices for these late payment charges, there is no need. You claim your interest and compensation on the gross amount of the invoice. Your customer should treat the payment of interest to you as they would bank charges. There is no need to raise a separate invoice for these charges. 

To enable your customer to process payments for interest and to ensure you are covering any required pre-action protocol should the need for legal action be necessary it is advisable to confirm you claim for interest within your chasing letters. If you are passing your case to a 3^rd party for recovery, then your nominated 3^rd party should do this for you. 

Can you pass the debt collection cost onto your customer? 

Any claims for your debt collection costs not claimed under the statutory legislation should be agreed within your terms & conditions and / or contract with your customer.  Under the Late Payment of Commercial Debts (Interest) Act 1998 you can claim a compensation figure, depending on the value of the debt you are collecting:

If your collections costs are more than the compensation figure you are claiming, you can claim the surplus under the late Payment of Commercial Debts regulations 2013. 

To help improve your chances of a successful collection for interest and / or charges and to meet any pre-action protocol required for legal action you should ensure any claims for interest, compensation and charges are ‘reasonable”.

For more information on debt prevention and recovery contact our expert team.

*https://www.bibbyfinancialservices.com/about-us/news-and-insights/news/2018/subcontractors-write-off-2,-d-,8bn-in-bad-debt-each-year

Top Service is proud to announce our continued support for the Lighthouse Club Charity. The Lighthouse Club is the only charity that provides financial and emotional support to the construction community and their families who have suffered an injury or long-term illness or simply need a helping hand. They receive no public funding and rely on the generosity of those within the industry to continue their vital work.

Bill Hill CEO of the Lighthouse Club Charity said, “Without support from organisations such as Top Service we would be unable to provide a vital lifeline to our construction workers in need. With two construction workers taking their own life every working day, we desperately need to make a difference and Top Service have contributed to that huge effort by pledging an annual donation and becoming a company supporter. “

Please visit the Lighthouse Club Charity website to find out more about the fantastic work they do http://www.lighthouseclub.org

In an industry which relies heavily on supply chain and excellent customer relations, having to deal with overdue invoices, repeated late and non-payments can not only affect immediate cash flow but the opportunity for repeat business and client referral.  Partnering with a professional, industry specific debt collection agency can mean the difference between profit and write-offs. In the event that an account moves into dispute having the time and right approach to work towards a resolution without damaging customer relationships or causing negative impact to your projects can be a never-ending cycle. 

But how do you select a collection agency that integrates with and best represents your company?

When choosing a credit reference and debt collection agency, there are several important factors to consider:

1. Is your business sector the agency’s core competency? 

Debt recovery in any sector requires industry insight to understand not only the cause of the debt but the wider issues affecting the trade.  The construction industry is no different, if you have been involved in Credit Management and litigation for construction, you’ll know that construction debts can be ‘challenging’ to collect and requires specialist, expertise to get to the bottom of complex construction contracts. Collecting the payments owed to your business, on time, or recovering finance is one of the biggest issues for construction.

2. Is the collection agency certified with a qualified accreditation organisation?

The Credit Services Association are the only national UK trade association for companies active in the debt collection and debt purchase industry. Full members must adhere to their Code of Practice. This provides a benchmark for industry best practice, assuring quality and professionalism. 

• The Financial Conduct Authority (FCA) requires members to provide a declaration of compliance with statutory legislation covering the finance industry. 
• Top Service Ltd is an approved signatory of the Prompt Payment Code
• Top Service Executive Directors are all members of the Institute of Credit Management (ICM) and abide by the code of professional conduct set down by the ICM.

3. Does the commercial collection agency have highly skilled and trained staff?

A collection agency’s front line staff will be interacting with your clients and therefore representing your company. It is important that they have the training and qualifications to manage your instruction. Top Service operates a rigorous training programme based on 25 years experience of working in the built environment. Qualifications and standards training can be far reaching but look for those holding current certification in collection strategies, techniques, and compliance. For example all Top Service Executive Directors undertake a City & Guilds accredited Diploma in Debt Recovery and all collections staff undertake a Collection Accreditation Initiative Test on an annual basis.  This test is run by the Credit Services Association. All Executive Directors and Managers of the company hold management qualifications at the equivalent of NVQ level 4 or higher and all supervisors are required to undertake supervisory management qualifications. Experience counts!

4. Is my company information secure and the data collected protected?

In order to protect your business and customers, the professional collection agency you choose needs to operate under strict data protection and data management protocol. The General Data Protection Regulation forms part of the new Data Protection Act 2018 (DPA 2018) of which the main provisions of GDPR applied from 25 May 2018 and provides legislation for tighter control on information safeguarding. Top Service also ensures the data held by the company on removable drives is encrypted using advanced encryption standard algorithms validated by the National Institute of Standards and Technology. The Directors carry out regular compliance reviews to ensure that the company is trading within current legislation, rules and regulations.

5. Is the collection agency recognised by industry and referred by recommendation?

The collection agency you choose is an extension of your company. When considering a debt collection agency, it’s important to determine the processes and manner in which they conduct their collections activity and if it is in line with your own company values. Top Service is customer focused and their collections activity is carried out seamlessly in a legal and ethical manner. Recently Top Service was instructed by SAEMA to recover four debts, two of which were over a year old and within one month they had credited a significant sum of the outstanding accounts directly back to SAEMA. 

“Our decision to instruct Top Service to manage our collections was based on our need for a personal, industry specific service with a high regard for our customers.   As the only credit reference and collections agency working within the construction industry and a reputable company, we can rely on their discretion, ability to take the time to understand the background of our claims, and the reasons behind non-payments to achieve a successful result.” Tony Seddon, Company Secretary, SAEMA 

Top Service provides a debt recovery consulting service, specialising in the construction industry. Our team delivers an industry specific service from pre-legal, litigation to enforcement and operates a no win-no-fee basis. Our service is tailored to our customer needs and is available to our members regardless of the size or age of debt.  

SAEMA is the trade association and training body for the access cradle and façade maintenance equipment industry.  SAEMA has a membership comprising contractors, manufacturers and trainers who work collectively to create free access to guidance on good working practices, industry understanding and health and safety assessment schemes.

‘Insider’ Insight

As a specialist trade association setting standards for the construction industry, SAEMA needs to ensure its operational systems are as robust as its service provision. SAEMA prides itself on excellent industry reputation and strong business relationships, which directly affect the quality of their customer support, guidance and governing practices. As a member of Top Service they have access to construction firm and industry insights to reassure them that the business relationships they enter into are financially low risk. 

Debt Recovery and Collections

On occasion an account may need to be instructed to our debt recovery and dispute resolution service for swift handling. We understand SAEMA’s need to maintain positive relationships with customers as a reputation based business. Our communications and collections activity is customer focused and carried out seamlessly in a legal and ethical manner. 

We worked with SAEMA to recover four debts, two of which were over a year old and within one month we had credited a significant sum of the outstanding accounts directly back to SAEMA.

 “Our decision to instruct Top Service to manage our collections was based on our need for a personal, industry specific service with a high regard for our customers.   As the only credit reference and collections agency working within the construction industry and a reputable company, we can rely on their discretion, ability to take the time to understand the background of our claims, and the reasons behind non-payments to achieve a successful result. Top Service actioned a number of our debt recovery accounts for us resulting in significant payments being received, within a short period of time, exceeding our expectations across the board. I recommend their services highly.”Tony Seddon, Company Secretary, SAEMA.

Top Service provides a debt recovery consulting service, specialising in the construction industry. Our team delivers an industry specific service from pre-legal, litigation to enforcement and operate a no win-no-fee basis. Our service is tailored to our customer needs and is available to our members regardless of the size or age of debt.  

Vertikal Days is the biggest European crane, access and telehandler event. Taking place over two great days at Silverstone there are Association and Company meetings, seminars and workshops. With the sun shining and the cranes and lifts looking amazing, this years event was the best ever.

Top Service were situated in the Marketplace and it was great to catchup with many of our members and the perfect chance to meet new businesses from across the UK.

We look forward to next years event with anticipation.