FIRSTfactor
FINANCE
0845 643 4611
Working Capital Specialists

TRUE COST OF CREDIT MANAGEMENT CALCULATOR

What is the true cost of your credit management? Would outsourcing be a cost effective option?

Number   Average cost  
Per Item  
  Annualised  
Cost
  % of Total
  Cost

Monthly Administration Costs

How many invoices do you issue per month?
How many credit notes do you issue per month?
How many statements do you issue per month?
How many reminder letters do you send per month?
How many Solicitors letters do you issue per month?
How much do you spend on postage per month?

Monthly Finance & Bank Charges

How many cheque's do you Bank per month?
How many returned cheque's to you have per month?

Monthly Staff Costs

How many hours a week do Senior Management spend chasing debts?
Credit Controller salary per month?
Other staff costs per month?
Monthly telephone/fax charges?
Rent, rates, heat and light per month?

Monthly Credit Management Fees

How many credit checks do you buy per month?
Other costs?

Annual Credit Management Fees

How much do you spend on debtor credit insurance last year?
What bad debt did you incur last year?
How much did you spend on legal action last year?
Other costs?
Total Annualised Costs