A profitable business can still run into serious trouble if cash doesn’t hit the bank on time.

Step 18 is all about debtors, and how tightening your credit control process can have a massive impact on your cashflow and financial stability.

Unpaid invoices? That’s your money sitting in someone else’s bank when it should be sitting in yours.

Unpaid Invoices = Hidden Risk

Even if sales are strong, outstanding invoices can quietly strangle your ability to:

• Pay suppliers
• Cover wages
• Invest in growth
• Sleep at night

The problem? Many business owners are too busy delivering work to keep chasing overdue payments or they feel uncomfortable sending reminders.

But the truth is: you’ve already earned that money. It’s yours.

Consistency is Key

Late payments usually aren’t personal but they can become habitual if left unchallenged. When clients know you’re consistent with follow-up, they’re more likely to pay on time.

Here’s what good credit control looks like:

• Clear payment terms (14 days is often better than 30)
• Automated reminders scheduled after 7, 14, and 21 days
• Friendly but firm communication
• Rewards for prompt payers, and penalties for late ones

When you set expectations and stick to them, clients respect the boundaries.

Let Tech Do the Heavy Lifting

Chasing debtors doesn’t have to eat into your time or create awkward conversations.

Use your accounting software to:

• Set up automatic reminders
• Send monthly statements
• Track overdue balances
• Flag risky or slow-paying clients

Automation keeps everything on track, removes emotion from the process, and makes sure no unpaid invoice slips through the cracks.

Want Help? Start With Our Checklist

We’ve created a simple Credit Control Checklist to help you review your terms, processes, and tools. It’s designed to help UK business owners like you stay ahead of cashflow problems.

👉 Download the checklist and planner here

Get the Business You Want

Every pound you’re owed but haven’t collected is money that could be growing your business, paying you properly, or reducing financial stress.

Take five minutes today to review your debtor list. If you’d like a second pair of eyes, or want to set up smart, automated reminders, get in touch with the Carthy Accountants team.

We’ll help you get the money in, so you can focus on what’s next.

Start today: Download the planner and take Step 18 now