Credit Control Services FAQs

Everything You Need to Know About Credit Control Services

Effective credit control is essential for maintaining healthy cash flow and ensuring the financial stability of your business. Whether you're a sole trader, a growing SME, or an established corporation, managing customer payments efficiently can mean the difference between success and stagnation. In today’s economic climate, late payments and bad debts pose serious risks—but with professional credit control, these risks can be significantly reduced.

At Pulse Accountants, we don’t just chase invoices—we partner with you to build a proactive, robust credit control strategy that supports your business growth. Our experienced team offers tailored credit control solutions, along with other services, designed to improve cash flow, reduce debtor days, and protect your revenue—so you can focus on what you do best: running your business.

1. What Is Credit Control?

Credit control refers to the process of managing a business’s outstanding invoices and ensuring timely payment from customers. It includes setting credit limits, monitoring accounts receivable, chasing overdue payments, and resolving disputes.

At Pulse Accountants, we offer comprehensive credit control services tailored to your business. From setting clear credit terms to following up on overdue accounts professionally and persistently, we help reduce the risk of bad debts and improve your overall cash position.

2. Why Does My Business Need Professional Credit Control Services?

Many businesses struggle with late payments and inconsistent cash flow. Professional credit control services ensure:

• Cash Flow Stability: Predictable income and improved liquidity.

• Reduced Debtor Days: Timely payments reduce the average time customers take to settle invoices.

• Fewer Bad Debts: Early action on overdue invoices increases your chances of recovery.

• Professional Follow-Up: Communication is handled politely but firmly, preserving client relationships.

Without dedicated credit control, even profitable businesses can run into cash flow problems. At Pulse, we manage this crucial area on your behalf, so you get paid faster—without the awkward conversations.

3. How Can Credit Control Services Benefit My Business?

Outsourcing your credit control function to Pulse Accountants provides a wide range of tangible benefits that directly impact your business's financial health and operational efficiency:

• Enhanced Cash Flow Management
  At Pulse Accountants, we take a proactive approach to credit control by consistently monitoring and pursuing outstanding invoices. Our proven systems and experienced team work to reduce debtor days, improve payment cycles, and ensure your business maintains a healthy cash flow. With more cash in your business, you’ll have greater flexibility to reinvest, meet operational expenses, and drive growth without relying on costly short-term finance.

• Professional and Consistent Client Communication
  We act as an extension of your team, communicating with your customers in a firm yet professional manner. Our approach maintains positive relationships while reinforcing your credit terms and expectations. This helps avoid awkward conversations internally and ensures your business is seen as well-organised and commercially aware—boosting your professional image.
  
  

• Valuable Time and Resource Savings
  Chasing overdue payments can be time-consuming and distracting for your in-house team. By outsourcing this responsibility to Pulse Accountants, your staff are free to focus on revenue-generating activities such as sales, operations, and customer service. We take care of all communication with late payers, follow-ups, and escalation processes—saving you hours of admin and improving overall productivity.
  
  

• Tailored Credit Control Strategies
  No two businesses are the same, which is why we don’t believe in one-size-fits-all solutions. At Pulse Accountants, we assess your customer base, industry sector, typical payment behaviours, and credit risk profile to design a bespoke credit control strategy that fits your business perfectly. Whether you need temporary support during busy periods or a fully outsourced long-term solution, we adapt our service to meet your needs.
  
  

• Transparent and Insightful Reporting
  We provide clear, comprehensive reports so you can stay fully informed about your accounts receivable. Our regular updates include aged debtor summaries, collections progress, customer payment behaviours, and risk alerts—empowering you to make timely and confident financial decisions. With Pulse Accountants, you’ll never be in the dark about your outstanding balances.
  
  

• Reduced Bad Debts and Risk Exposure
  Our vigilant monitoring and early intervention practices help reduce the risk of bad debts by identifying and addressing potential issues before they escalate. We help you implement best practices around credit checks, customer onboarding, and payment terms—improving your credit control processes from the ground up and safeguarding your business from financial loss.
  
  

• Scalable Solutions to Support Growth
  As your business grows, so do your customer numbers and credit management challenges. Pulse Accountants offers flexible and scalable credit control services that can grow with your business, ensuring you always have the right level of support to keep your receivables under control.

4. What Credit Control Services Does Pulse Accountants Offer?

We offer a full suite of credit control services, including:

• Invoice Monitoring: Tracking due and overdue invoices with real-time updates.

• Customer Communications: Professional reminder letters, emails, and phone calls.

• Dispute Resolution: Identifying and resolving invoice queries to remove payment barriers.

• Debtor Ledger Review: Analysing accounts receivable to prioritise high-risk or high-value debts.

• Credit Policy Review: Advising on terms, credit limits, and risk mitigation strategies.

• Custom Reporting: Providing insights into debtor performance and collections success.

5. When Should I Consider Outsourcing Credit Control?

There are several pivotal moments in your business lifecycle when outsourcing credit control to Pulse Accountants can make a significant impact:

• At Business Start-Up
  Early-stage businesses benefit greatly from putting solid credit control procedures in place from day one. Establishing clear payment terms, credit checks, and invoicing protocols helps avoid late payments and cash flow issues in the future.
  We’ve supported numerous start-ups in setting up robust credit policies, enabling them to grow with confidence and avoid common pitfalls associated with late-paying customers.
  
  

• During Periods of Rapid Growth
  As your business scales, so does the administrative burden of managing more customers and invoices. Credit control becomes increasingly complex and time-consuming.
  We’ve assisted growing companies by implementing structured credit control systems that evolve with their needs, ensuring steady cash flow and reducing debtor days as they expand.
  
  

• In Times of Cash Flow Pressure
  When your business is facing tight cash flow, delayed payments can severely impact operations and hinder growth. Timely debt recovery becomes essential to maintain financial stability.
  We’ve helped clients recover aged debts quickly and efficiently, easing short-term cash flow pressures and reducing reliance on overdrafts or loans.
  
  

• When Chasing Payments Feels Awkward
  Many business owners feel uncomfortable confronting clients about overdue payments, especially where strong relationships exist. This can lead to inconsistent follow-ups and unresolved debts.
  Our professional, third-party approach provides respectful detachment, and we’ve helped many clients maintain positive customer relationships while significantly improving payment timelines.
  
  

• After Experiencing Bad Debts
  Writing off unpaid invoices is not only disheartening but can also damage your financial standing. If your business has experienced significant bad debts, it's time to reassess your credit control process.
  We’ve worked with clients to strengthen their credit management strategies post-loss, helping them recover outstanding sums where possible and prevent future bad debts through better risk assessment and credit checks.

6. How Much Do Credit Control Services Cost?

The cost of credit control services depends on the volume of invoices, the complexity of your accounts receivable, and the level of service you require—from occasional support to full management of your credit function.

At Pulse Accountants, we offer flexible pricing tailored to your needs, with transparent costs and no hidden fees. Whether you need weekly debtor follow-up or strategic credit advice, we’ll provide a cost-effective solution that delivers results.

Get in touch for a no-obligation consultation and personalised quote.

7. Can I Handle Credit Control In-House?

Yes, managing credit control internally is possible. However, it demands significant time, unwavering consistency, and a deep understanding of credit management best practices. Many small businesses find it challenging to balance nurturing customer relationships with the often delicate task of pursuing overdue payments.

Time-Consuming Process
UK small business owners spend an average of 10 hours per month on bookkeeping tasks, including credit control. This equates to 120 hours annually—equivalent to 15 full working days. This substantial time investment could be redirected towards strategic activities that drive business growth.

Emotional Strain
Chasing late payments can be stressful and uncomfortable, especially when maintaining positive client relationships is a priority. The emotional toll of these interactions can impact overall business morale and efficiency.

Risk of Inconsistency
Without a dedicated credit control system, follow-ups on outstanding invoices may become sporadic, leading to increased debtor days and potential cash flow issues.

Benefits of Outsourcing to Pulse Accountants
By outsourcing your credit control to Pulse Accountants, you gain access to a team of experienced professionals who handle your credit management with consistency and professionalism. Our approach ensures:

• Improved Cash Flow: Timely follow-ups and structured credit policies lead to faster payments.

• Preserved Client Relationships: Our courteous yet firm communication maintains your business's reputation.

• Time Savings: Free up internal resources to focus on core business activities.

• Reduced Stress: Let us handle the challenging conversations, reducing the emotional burden on your team.

In fact, a study by Symmetry and Chris Brauer of Goldsmiths, University of London, found that external financial advice significantly boosts business revenues. Surveying 4,000 small and medium-sized businesses, it revealed businesses attributed 11.5% of their increased annual sales to external advisers. Sole traders earned an additional £6,175, those with 10–49 employees an extra £180,156, and those with 100–250 employees generated £553,009 more.

Partnering with Pulse Accountants for your credit control needs not only streamlines your financial processes but also supports sustainable business growth.

8. What Are the Risks of Not Using Credit Control Services?

Failing to implement effective credit control can expose your business to:

• Cash Flow Shortages: Unpaid invoices can lead to delayed supplier payments or payroll issues.

• Increased Bad Debts: The longer a debt goes unpaid, the less likely you are to recover it.

• Damaged Relationships: Inconsistent follow-up can create frustration on both sides.

• Administrative Overload: Chasing payments takes time away from strategic business tasks.

• Missed Warning Signs: Without regular monitoring, high-risk accounts may go unnoticed until it’s too late.

With UK SMEs writing off an average of £20,000 in bad debt annually, proactive credit control is not a luxury—it’s a necessity.

9. What Are the Benefits of Using Professional Credit Control Services?

With Pulse Accountants, you gain:

• Expert Oversight: Access to trained professionals who understand debtor behaviour and collection strategy.

• Faster Payments: Prompt follow-up ensures invoices are prioritised and settled quickly.

• Improved Customer Relationships: We act professionally on your behalf, maintaining a respectful tone that preserves goodwill.

• Reduced Stress: No more chasing payments—leave it to us while you focus on growth.

• Better Forecasting: Real-time insights into your receivables improve cash flow planning and budgeting.

10. How Can I Avoid Credit Control Risks?

To protect your business and reduce the risk of late or unpaid invoices:

1. Set Clear Credit Terms:
   Define payment terms clearly and communicate them from the outset.
   
   
2. Know Your Customers:
   Perform credit checks and monitor changes in customer behaviour.
   
   
3. Act Promptly:
   Chase overdue invoices as soon as they fall due to signal urgency.
   
   
4. Use Technology:
   Leverage systems that track outstanding balances and flag potential issues.
   
   
5. Seek Professional Support:
   At Pulse Accountants, we help clients build and maintain effective credit control systems, reducing debtor days and improving cash reliability.
   
   

11. Why Choose Pulse Accountants for Credit Control Services?

Choosing Pulse Accountants means gaining a credit control partner who:

• Understands Your Business: We tailor our approach to your industry, clients, and cash flow goals.

• Delivers Results: Our proactive approach helps clients reduce overdue balances and strengthen financial performance.

• Offers Flexible Support: From full outsourcing to ad-hoc support, we adapt to what your business needs.

• Protects Your Reputation: We maintain your professional image through every interaction with your customers.

• Keeps You Informed: You’ll always know the status of your receivables, with detailed reports and expert advice.

Ready to Take Control of Your Cash Flow?

Get in touch with Pulse Accountants today to learn how our expert credit control services can help your business thrive. We're here to support you with reliable, effective solutions that make a real difference to your bottom line.

12. Other services we offer

• Accounting
  Accurate, timely financial records are the backbone of any business—our expert-led accounting gives you clarity and confidence to make informed decisions.
  
  
• Tax Relief
  Maximise what you keep. We identify and claim every tax relief you're entitled to, helping you reduce your tax bill and reinvest in growth.
  
  
• Tax Advisory
  Strategic tax planning tailored to your business—our proactive advice helps you stay compliant while making your business as tax-efficient as possible.
  
  
• VAT
  From registration to returns, we manage your VAT processes seamlessly, reducing risk and freeing up your time to focus on operations.
  
  
• Payroll
  Fast, compliant, and completely stress-free—our payroll services ensure your team is paid accurately and on time, with all HMRC obligations handled.
  
  
• Business Advisory
  Our advisory service is like having a financial director on your team—giving you strategic insights and guidance that drive sustainable growth.
  
  
• Credit Control
  Don’t let unpaid invoices hold you back. We streamline your credit control to improve cash flow and reduce debtor days.
  
  
• Management Accounts
  Get real-time visibility into business performance. Our management accounts highlight key trends and risks so you can take action fast.
  
  
• Bookkeeping
  Reliable, accurate bookkeeping is fundamental—and we do it better. With us, your records are always audit-ready and up to date.
  
  
• Tax Investigations
  If HMRC comes knocking, we’re by your side. We manage the entire investigation process, protecting your interests and minimising disruption.
  
  
• Salary Sacrifice
  Boost employee benefits without increasing your costs. We set up and manage salary sacrifice schemes that support staff wellbeing and improve retention.