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Debt collection improves cash flow
by Lulu BM BM Many companies faces issues with cash flow and this is because of bad debts by debtors. We are a marketing agency and we have lots of clients in Singapore and offering services like Search Engine Optimization and Internet Marketing. Our clients take up our seo services in Singapore and in many various countries.This article or case study is something which we have gone through before and would like to comment on it for people who are thinking of improving your cash flow.
In 2013 when we first started our Branding and Marketing company, it was not an easy task. But we manage to pull through it with customers engaging us for SEO Singapore. This was the beginning of the journey and we move into a office where it is conveniently accessible in Singapore where customers can come and relax like a lounge. But this did not last long due to some bad paymasters (customers). These bad paymasters are debtors to us and they owe us money.
Not convenient to name the companies here but they include electronics companies (Singapore Brand) and also Medical Companies (Singapore Listed Company). It is ridiculous how these 2 companies can be of so large scale and listed in SGX and yet do not have the money to pay us back. They opt for installment payment and so we agreed as our SEO work is based on payment on performance and we stick to our KPI as a KPI driven company which does best practices SEO for our customers.
After ranking them for they keywords on the #1 position on Google for several of the choosen and high competition keywords, They got ungrateful and delayed on the payment. We could not operate a business with no funds coming in and we have dedicated 5 singaporean staff to do the SEO works for them.
In a result we have come across this debt collection company in Singapore. They were reasonable priced and does not charge anything unless the debts are collected. We have engage the collection agency to do debt recovery for us for these 2 customers/debtros. The results was good i feel as the customer paid up to us in just 30 days time.
This improves cash flow for us and thus we now also outsource our accounts receivable to them as another part of their businessis business process outsourcing.
In order to get good cash flow, we need good customers, but not so lucky all the time.
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About Lulu BM 
BM
18 connections, 0 recommendations, 59 honor points.Joined APSense since, October 18th, 2015, From Singapore, Singapore.
Created on Dec 31st 1969 18:00. Viewed 0 times.
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