A credit agreement is a legally binding contract between borrower and lender, outlining the terms of the loan or credit agreement in place. A credit agreement will be provided to the borrower as part of their credit application, and agreements can vary from creditor to creditor, so it’s important to check these and, from the […]
A credit application is a document that formally requests an extension of credit from the lender to the borrower over a set agreed time period. Credit applications can be made verbally, written, or even applied for online, so long as the loan application contains all the lender’s required information and fair treatment of all is […]
Are you aware of a company that is beyond rescue? Maybe you’re a director of an insolvent company where there is no successful turnaround available, and you’re currently looking at the next steps. If you know of or are faced with this situation, then you may be looking at a creditor voluntary liquidation. A creditor’s […]
Receiving timely payments is crucial to a business’s cash flow. Why? Because late payments can not only disrupt your business operations but can also put additional stress and strain on the business. The good news is that in the digital age we’re living in, AI can help with chasing overdue invoices, so late payment can […]
It’s important to understand the difference between solvent and insolvent and how this affects company liquidation – if this is an avenue that business owners and shareholders opt to go down. In its simplest form, when a business is solvent, it can meet its debt obligations (including interest). When a company can no longer cover […]
Not getting paid on time is stressful. Late payments negatively affect your cash flow, and you can spend more time chasing outstanding invoices than working on the business. Trust us, it can be incredibly draining and time consuming. As debt collection services specialists, we know the importance of nurturing relationships, especially for small- to medium-sized […]
We all like to think that when we issue an invoice, it will be immediately paid with no qualms, no questions, and no delays. This might happen 99% of the time, but there is still 1% where you will experience a customer not paying. This is where negotiation and robust credit control processes come into […]
One of the worst parts of freelancing is chasing late payment of invoices. There’s no accountancy team behind you, no one to take those uncomfortable conversations off your plate, and no one to ensure that robust processes and procedures are followed to avoid even more invoices slipping through the net. There’s only you. And with […]
PO numbers are a vital piece of information that ensures goods and services are as agreed, prices are correct, and, most importantly, invoices are paid on time. Specifying the products and services a buyer would like to purchase, it’s important to include as much detail as possible in your purchase order document to ensure the […]
Net 30 is a financial credit term that businesses use and include in the payment terms of an invoice. It is a term that indicates when a business wants to be paid for the services or goods they have provided. At Direct Route, as part of our credit control processes and services to our clients, […]