Monitor your cash flow with lettings management software to reduce bad debt accumulating.
- How do you manage your cash flow?
- Find it stressful?
- Is your list of tenant arrears growing? Is it turning into bad debt?
Managing money is a skill, kids are now being taught about it in school but with years in business you will have no doubt picked up some tips but it doesn’t get any easier.
Your revenue stream comes from your tenants, they pay you for the service you provide, a roof over their heads and an environment suitable to live in. If you give them that, then the least you can expect is to be paid on time (maybe a box of chocolates at Christmas if you are lucky) however, some tenants aren’t as reasonable as others. For those who have been in the industry for many years it is likely that you have come across tenants who pay when they want to. Dealing with them requires tact and subtly, the last thing you want to do is go yelling and demanding, scaring them off, running away whilst owing you money.
The landlord/tenant relationship needs to remain tight at all times during a tenancy to ensure that both parties stay true to their agreements throughout their tenancies and when it comes to its end. Money is an awkward conversion to bring up, especially if somebody owes it to you, and that could be for many different reasons, not always intentional. If you can sort this out before it gets out of hand not only will you have money in your account sooner but you will also remain on good terms with your tenants. Making your life easier and your bank balance healthier.
Decorus’ integration with Sage provides in-depth financial analysis and allows users to easily monitor the financial situation for your business. It also alerts you when a tenant is in arrears allowing you to act quickly, give them a quick call/e-mail/letter/text to remind them that they have an invoice overdue. Hopefully they act quickly and pay it.
To take this up a level the additional credit control module for Decorus takes the work out of your hands with automated rules that can be set to your requirements. Reminders can be created based on behaviour patterns of your tenants, serial late payers can have communication set to be sent prior to the deadline then messages continue until payment has been made. The set-up is simple and once it has been implemented you will no longer need to worry about making those awkward phone calls as the software will take care of it for you. You will notice that your debtor days dramatically reduce, your cash flow improves and the chance of unpaid invoices becoming bad debt is rare.
Are you looking for a stress-free life?
Complete our contact form to request an online demonstration of our lettings management software, based around your requirements.