Why Terms of Trade Contracts Are Important for Tradies

Don’t let bad debtors steal your hard earned money!

We have all heard or used sayings like: prevention is better than a cure; a stitch in time saves nine; and it’s better to have a fence at the top of a cliff than an ambulance at the bottom.

For many years Credit Management, or Debt Collection companies, have focused solely on collecting overdue accounts not on preventing them, the apparent logic being, why prevent something that makes you money?

EC Credit Control is a Credit Management company with a different focus, not only do we collect overdue accounts we also work with Tradies to implement effective systems to protect the business and its cash flow. Creating customised and industry specific Terms of Trade (including Credit Applications, Quote Forms, Variation Forms, Domestic Building Contracts etc) that fit in with how your business transacts with clients, giving you access to credit checking, a credit monitoring facility through their strategic partnership with credit bureau, Veda.

With recent and important legislation changes which now see the PPSA (Personal Property Securities Act) in place, it is now easy for any business to become a secured creditor instead of being unsecured and maybe losing “the lot” in a liquidation scenario.  This new legislation is simple to understand and easy to register your interest to ensure your protection. Having compliant terms in place and registering all your regular account customers on the PPSR (which EC Credit Control will do for a minimum fee) for 7 years is a “Set and Forget” peace of mind of ensuring all your credit is secured!!

EC Credit Control Area Managers have strong reputations for providing solutions to Tradies.  They are seen as subject matter experts in Credit Management issues and are often called upon to consult with Tradies in order to ensure they are running a “best practice” business to protect their cash flow in an ever changing and often volatile economy. Recent changes to Government Legislation, such as the introduction of the PPSA will have an affect on your business.