Disaster, particularly natural disaster is often a boon to my business. Obviously it’s a boon that most people in my business would happily forgo.
Business in the affected areas has been halted for the foreseeable future. This includes Florida, Louisiana, Mississippi and Alabama. Transactions with those business which are to date not paid, will probably not get paid any time soon. Accounts receivable balances, and DSO for those doing business with the affected area will rise.
We can expect a trickle down effect throughout the economy. If a business that owes you money is doing business with a company destroyed by the hurricane, your rate of recovery will slow.
This is the time to make sure your receivable is on the top of the pile for payment. You can find suggestions for accomplishing that here.
As mercenary as it sounds, you won’t do the affected businesses and their employees any good by going out of business because you can’t collect what is owed to you. The time to get on top of your unpaid receivables is now.
09-02-2005 02:03:35PM – Permalink – Post Reply – Read Comments [0]
Our Missing Commercial Debt Collection Client
Still no word on my New Orleans based client Newton & Associates (link not working). That’s not to say I expected any word. I called their Denver Office yesterday and was told they were “okay” and “trying to get a generator”. That didn’t make any sense to me given what is going on in New Orleans, but I didn’t press the issue. We will protect their interests until they emerge.