In a tense economic context, implementing a collection strategy in Morocco to reduce payment times is more essential than ever to secure the company’s cash flow.
1. Challenges of a recovery strategy in Morocco: freeing up cash
Inter-company credit is the primary source of financing for businesses. For the latter, it is therefore impossible to develop by only offering its partners cash payment .
However, granting payment deadlines must not conversely lead to cash retention or excessive recovery costs . Because one in four business failures is caused by late payment , the creditor company must:
- monitor customer outstandings ;
- implement a balanced recovery strategy in Morocco.
2. Collection strategy: anticipate late payment
An anticipatory , transversal and sustainable recovery strategy optimizes the recovery of receivables ahead of the due date, even before unpaid debt becomes apparent. This is pre-covering.
Managing customer risk involves several actions:
- study of the solvency of prospects and customers;
- negotiation of dissuasive commercial clauses ;
- quality control of the invoicing process ;
- early management of disputes .
Far from deteriorating customer relations , getting customers used to a sales process that is both firm and open to dialogue will in fact project the image of a good manager and serious partner. Trying to facilitate compliance with the schedule in advance is a solution that is too often neglected.
In the event of proven payment default , the recovery strategy in Morocco aims to obtain a payment commitment from the defaulting customer, without sacrificing the commercial relationship .
3. Gradual recovery strategy: from amicable recovery to legal recovery
The pre-litigation phase aims to understand and resolve the reasons for non-payment :
- management of possible disputes;
- establishment of a payment schedule ;
- etc.
The final stage of amicable recovery after telephone and written reminders and any visits, will be the formal notice .
Finally, if no solution emerges, the company will engage in a legal recovery process. Due to their cost, so-called long procedures will nevertheless only concern large debts.
Certain accelerated avenues of action, such as an order for payment , will be possible for debts not giving rise to any serious dispute, that is to say whose existence is incontestable. These legal actions will aim to obtain from the judge an enforceable payment title which must itself be followed up by a bailiff.
4. Recovery strategy and outsourcing of customer risk management
The company can decide to outsource customer risk management to different players:
- lawyer ;
- bailiff;
- collection companies ;
- credit insurance companies .
And this, from the amicable recovery phase or during the legal phase. Outsourcing recovery will prove particularly interesting in the case of foreign debtors .
Alternative solutions such as the mobilization of receivables will make it possible to transfer the customer risk associated with a receivable to a third party, while optimizing its cash flow.
Factoring also constitutes an essential short-term financing solution for certain companies.
Although invoicing software allows you to track the payment of your invoices and customer reminders , they are insufficient when a payment is unpaid . In this case it is necessary to resort to a finance and accounting solution or a collection agency . In the first case, you will be completely independent in recovering your debts, your invoices, or your unpaid rent . In the event of difficulty, specialized lawyers control the legal stages to speed up the proceedings.
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