The 2023 guide to improved credit risk and cash flow for Recruitment Agencies
Recruitment agency business leaders and Finance Directors are looking forwards into 2023 and beyond as the sector – and the wider economy – emerges from the turbulence of the last two years. Uncertainty remains, which means managing risk and protecting cashflow continues to be a top priority.
Improving credit risk management to give your business the confidence to grow
It’s still a challenging time to be in the recruitment business. Skilled labour shortages continue unabated; legislative changes resulting from Brexit and IR35 are still having an impact; and the rocky path ahead is affecting margins, cash flow and profitability. Many firms have struggled, and in the process been forced to deplete their cash reserves. And in addition to all of this, the gradual return to the office is being welcomed by some but resisted by others – which in turn can result in productivity and retention issues which can be expensive to resolve.
This combined set of unique circumstances creates an environment where Finance Directors must tighten up their processes and build resilience into the business. Improving credit risk management is a crucial strategy. It not only protects cash flow in the short term, but it will also help give your business the confidence it needs to grow.
What's covered in the guide:
This guide covers the key steps to follow for an effective strategy for managing credit risk and protecting margin:
- Credit risk management – the basics
- Discover the factors driving poor risk management and cashflow
- Take action
- Spread the word
- Become data democratic
- Build consultant awareness of risk management
- Tighten and speed up accounts processes
- Next steps
