Debt Recovery and Credit Control Strategies - Ratiobox
                     DEBT RECOVERY & 
CREDIT CONTROL 
STRATEGIES - 
RATIOBOX
Agenda
• Importance of Credit Control
• Common Credit Control 
Challenges
• Ratiobox Debt Recovery 
Strategies
• Legal Compliance in Credit Control
• Measurable Outcomes & Benefits
• Frequently Asked Questions 
(FAQs)
• Conclusion and Next Steps
Importance
Why Credit Control and Cash Collection Matters
Reduced Borrowing Costs Improved Liquidity Risk Mitigation
Improved cash flow lowers the need Having cash readily available allows Proactive credit control reduces 
for short-term borrowing, reducing early payments to suppliers, unlocking exposure to bad debts and manages 
interest payments and fees that discounts and enabling timely high-risk customers early, protecting 
burden business finances. investments in new opportunities. the business from financial losses.
Stronger Stakeholder Role in Cash Flow 
Impact on Business Growth
Relationships Forecasting
Reliable cash flow enhances trust and Consistent cash inflows support Accurate credit control data improves 
negotiation power with suppliers, operational stability and enable cash flow forecasting, helping 
banks, and shareholders, fostering confident expansion and new project businesses plan and allocate resources 
long-term partnerships. investments. efficiently.
Challenges
Common Credit Control Challenges
Complex Invoicing & 
Extended Payment Terms Weak Follow-Up Process
Approval
Customers often request 60–90 day Failure to promptly escalate overdue Multiple approval layers and invoice 
payment terms, increasing receivables invoices leads to delayed collections errors cause disputes and payment 
and delaying cash inflows, which and higher risk of bad debts delays, complicating the collection 
strains business liquidity. accumulating. process.
Inadequate Credit Risk 
Manual Systems & Errors
Assessment
Lack of thorough monitoring of new Reliance on spreadsheets and 
and existing customers’ financial fragmented tools results in errors, 
health increases exposure to bad debt delays, and loss of visibility over 
risks. receivables.
Strategies
Ratiobox Debt Recovery & Credit Control Strategies
Scalable Outsourcing 
Specialist Expertise Tailored Process Design
Solutions
Ratiobox’s dedicated teams bring deep Flexible outsourcing models allow Ratiobox customizes credit control 
knowledge of UK business dynamics businesses to scale credit control systems to fit each client’s unique 
and credit control, going beyond efforts seamlessly, freeing internal operations, avoiding generic templates 
standard accounting to effectively teams to focus on core operations to ensure optimal process alignment 
manage sales ledgers and debt while maintaining cash flow efficiency. and performance.
recovery.
Financial Confidence 
Real-Time Transparency
Rebuilding
Clients receive up-to-date visibility on Beyond cash recovery, Ratiobox helps 
outstanding invoices and recovery businesses rebuild financial confidence 
actions, enabling proactive by stabilizing cash flow and reducing 
management of receivables and timely financing costs, fostering sustainable 
decision-making. growth.
Compliance
Legal Compliance in Credit Control
Late Payment of Commercial Debts 
GDPR Compliance
Act 1998
This act allows businesses to charge interest All credit control activities must comply with 
and compensation on overdue payments, data protection laws to safeguard customer 
providing a legal basis to encourage timely information and ensure lawful communication 
settlements. practices.
7-day Letter & Legal Proceedings Balancing Recovery & Relationships
Sending a formal 7-day letter initiates legal Effective credit control protects cash flow 
action while balancing assertiveness and without damaging customer goodwill, using 
maintaining customer relations, facilitating professional communication and fair legal 
timely debt recovery. measures.
Outcomes
Measurable Outcomes & Benefits
Faster Cash Flow Reduced Financing Costs
Structured credit control systems and frequent By improving cash collection speed, businesses rely 
follow-ups accelerate invoice payments, turning less on costly short-term borrowing, significantly 
slow-moving receivables into steady cash inflows. cutting interest expenses and fees.
Improved Debtor Days Enhanced Business Growth & Stability
Timely debt recovery reduces the average time to Reliable cash flow enables better supplier 
collect receivables, enhancing liquidity and creating negotiations, investment in new opportunities, and 
a healthier sales ledger. stronger relationships with stakeholders, supporting 
sustainable growth.
FAQs and Next Steps
How Ratiobox Improves Cash Unique Credit Control Financing Cost Reduction
Flow Techniques
Ratiobox speeds up receivables Our data-driven, industry-specific By accelerating payment 
through structured credit control, strategies avoid generic templates, collections, businesses reduce 
timely reminders, and real-time focusing on reducing payment reliance on overdrafts and short-
invoice monitoring, ensuring faster delays while maintaining strong term loans, lowering interest 
and more consistent cash inflows. client relationships. expenses and freeing up capital for 
growth.
Next Steps: Book a 
Flexible Outsourcing Options Expected Results Timeline Consultation
Ratiobox offers full or hybrid Clients typically see faster collections, Take control of your business cash 
outsourcing models tailored to improved cash flow, and reduced flow by booking a free consultation 
your internal team’s capacity and financing costs within the first quarter with Ratiobox to audit your current 
receivables volume, providing of implementing Ratiobox’s credit setup and design a bespoke credit 
control strategies.
scalable credit control support. control strategy.