Reduce the Risk of Non-Payment

Non-payment represents a loss and costs the company dearly. Systematic follow-up can prevent this situation. However, sometimes it is not enough and procedures must be initiated.

1. Non-payment represents a direct loss and costs the company dearly.

Example:
A company with a profit margin of 2% finds itself with an unpaid invoice of XOF 1,000,000. To cover this loss, it will have to generate additional revenue of XOF 50,000,000, which will yield 1,000,000 (50,000,000 x 2% = 1,000,000).

2. The customer is experiencing financial difficulties

If your efforts to receive payment remain unsuccessful (after sending several written reminders, followed by a formal notice), you can resort to the payment order procedure.

3. The Payment Order Procedure

This is a simple legal operation that obliges your client to pay. Normally, you recover the amounts due, but you risk losing your client.

How to proceed?

You simply need to submit a request to the president of the commercial court where your client is located. The documents to be sent are as follows:

• The supporting documents related to the outstanding receivable: purchase order, delivery note, invoice.

The Court then issues a payment order for the amount claimed.