Making sales, branches and credit control work together

Clarify ownership between sales, branches and credit control as the business grows.

4 questions answered

Questions answered on this page

01Why does credit control often become a problem when sales grow?
02Should salespeople be responsible for collecting debt?
03How do I get branch managers to take credit control seriously?
04How do I improve the relationship between sales and credit control?

Why does credit control often become a problem when sales grow?

Sales growth increases the number and value of decisions that create credit exposure. New accounts may be opened quickly, limits may not keep pace with trading, invoices and proof of delivery can become delayed, and sales teams may agree informal extensions to protect relationships. The resulting debt then appears to be a credit-control problem even though its causes began in account opening, order fulfilment, customer service or commercial negotiation. Review overdue balances by reason, branch and salesperson rather than age alone. Make credit capacity part of the sales decision before volume is won. Growth remains healthy when terms, limits, invoicing, disputes and collection capacity develop at the same pace as turnover.

Should salespeople be responsible for collecting debt?

Salespeople should help prevent and resolve debt, but they should not become the sole collection function. They influence account selection, promised terms, customer expectations and the speed at which commercial disputes are settled. Credit control should retain ownership of the formal collection process, risk assessment and consistent records. Define when a salesperson must become involved, what information they need and who gives the final message to the customer. Avoid parallel conversations in which sales offers reassurance while credit control requests payment. Shared responsibility works when each role is clear. Sales protects the relationship and commercial context, credit control protects process and exposure, and both support one agreed outcome.

How do I get branch managers to take credit control seriously?

Connect credit control to branch performance rather than presenting it as a remote finance requirement. Show the branch manager the value and age of debt, customers over their limits, unresolved credits, missing delivery evidence and orders at risk. Separate issues the branch can prevent or resolve from formal collection activity owned elsewhere. Make the manager accountable for local order-to-cash discipline, including accurate account information, prompt paperwork, dispute resolution and compliance with agreed authority. Review a short set of exceptions in the normal branch routine and record actions with owners and dates. Managers take credit more seriously when the commercial consequence is visible and the expected response is practical, consistent and within their control.

How do I improve the relationship between sales and credit control?

Start with shared facts and a common purpose: profitable sales that convert into cash without damaging sound customer relationships. Agree who owns account approval, limits, exceptions, disputes, collection and decisions about continued supply. Use one current account record so teams do not work from different versions of the truth. Hold regular reviews of material exposure and recurring causes, with sales and branch input focused on evidence and agreed action. Avoid using meetings to assign blame for old debt. Examine where the process allowed risk or delay to grow. Relationships improve when credit control explains decisions clearly, sales does not make unapproved promises, and leaders support the agreed boundary when customer pressure increases.

What you may be seeing

Sales continue to grow while overdue balances, limit breaches and disputed invoices rise behind them.
Customers receive different messages from the salesperson, branch and credit controller.
Credit control is expected to solve debt caused by missing paperwork, unresolved service issues or unapproved promises.
Branch managers see debt as a head-office issue until an important account is placed on stop.
Exceptions are agreed informally and remain in place without an owner or review date.

What good looks like

Sales, branch and credit teams work from the same customer evidence and understand their distinct responsibilities. Commercial terms and credit capacity are considered before business is accepted. Branches complete the transactions and paperwork that support accurate invoicing, salespeople help resolve relationship and service issues, and credit control owns risk assessment and collection discipline. Material exceptions have evidence, authority and a review date. Customers receive one clear message, even when the answer is difficult. Leaders support agreed boundaries rather than undermining them under pressure. Sales growth therefore produces stronger cash and customer relationships instead of a larger collection problem.

What may be happening underneath

Shared measures: Sales, margin, debt and cash are reviewed separately, so teams optimise their own result rather than the whole customer outcome.
Decision rights: Authority for terms, limits, exceptions and continued supply is unclear or applied differently between branches.
Account opening: Commercial promises and credit requirements are not brought together before trading begins.
Order to cash: Invoices, delivery evidence, credits and disputes are not resolved quickly enough to support payment.
Leadership support: Managers reverse agreed credit decisions when a customer or salesperson applies pressure.
Communication: Teams exchange opinions about customers without one reliable account record and agreed next action.

Questions worth asking

01Which overdue balances were caused by customer risk, and which were created by our own process or promises?
02Can sales, branch and credit teams explain the same authority for limits, exceptions and continued supply?
03Where are customers receiving mixed messages, and who should own the next conversation?
04Which branch-controlled actions would prevent debt or resolve it sooner?
05Do our sales measures recognise margin, payment quality and cash as well as turnover?

Where to go next

Strengthen the controls that connect sales, branch activity and cash. BGC finance and commercial resources help merchant leaders clarify authority, improve account discipline and resolve credit issues earlier.

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