It is critical for every Company to have suitable Trading Terms in place to clearly outline your position in regards to default penalties, disputes and clear trading conditions. Effectively drafted and used correctly Trading Terms can afford your business protection in disputed cases, avoid bad debt problems and help recover out of pocket expenses.

Suggestions on Terms and Conditions

If you currently do not use Trading Terms, you are leaving your business wide open to problems. Trading Terms govern dealings with your customers to clearly outline any penalties you may apply to overdue accounts, how disputes must be handled, legal notices, representations and warranties. Without correct Trading Terms you have no formal agreement in place which can leave many options open to interpretation and severely impact on costs, viability of debt recovery and litigation.

Concise terms regarding overdue payment, charges and interest

Every business suffers from slow payers and overdue accounts. Download and adopt our generic Trading Terms to clearly outline the conditions customers must adhere to whenever credit is requested. Perfect for informing customers of penalties associated with late payment thus protecting your business so that collection and litigation costs are recoverable.

Overhaul of current Terms and Conditions

Many businesses do not review their Trading Terms, despite changes in legislation and general trading practices. Marshall Freeman Collections periodically updates our generic Trading Terms to reflect changing laws and credit risks.

Correct use of Guarantees

A guarantee is required to further secure a debt and spread the liability if the original party defaults. We always recommend the use of Director/Personal guarantees when extending credit to Incorporated Companies and Business Partnerships. When used correctly this provides another avenue for collection should a company not pay its debts or become insolvent. Our generic Guarantee forms are provided as a guide should you require the use of a Guarantee.

Credit Applications

Do you know who you are about to extend credit to? Credit Applications allow you to formally identify and assess applications for credit and enforce your Trading Terms should the applicant not adhere to the Terms.

Credit Applications show:

• Who you are dealing with? (Consumer, Sole Trader, Partnership, Incorporated Company)
• Personal Details of the business operators, including home address and phone number
• Trade references to support the applicants good credit history
• Requires the applicant to acknowledge and agree to be bound by your Trading Terms