Cash flow is more important than ever right now and you really need to accelerate your cash collections. You have to make sure you get paid for every single job you do. You simply can’t afford to be complacent. The most important thing right now is to be clear with your customers about how and when you will get paid. This is more important than the price of the job right now!
You need to review your Terms of Trade/Terms and Conditions and your Payment Processes to make sure they are tight enough.
If you don’t have any written Terms of Trade you need to get some NOW! How else do you expect to get paid for the work if you have no enforceable contract with your customers?
There are a number of different ways to ensure that you have a better chance of getting paid. Read all the details on the Rise Legal e-guide below:
NOTE: at the time of writing this article (April 2020) the Australian Government has put in place Temporary relief for financially distressed businesses. A temporary increase in the threshold at which creditors can issue a statutory demand on a company (from $2,000 to $20,000) and the time companies have to respond to statutory demands they receive (from 21 days to six months). Similar changes in relation to bankruptcy proceedings. If you need help with your Terms and Conditions, with recovering debts or any other commercial legal issue please do not hesitate to contact me.