This club provides a series of detailed debt
collection performance benchmarks:
Debtor daysValue of debt collectedOutstanding debtsAmounts written off
Nb. The last three are all compared in relation to
the annual debit.
For this purpose, separate comparisons are
provided for sundry and periodic debts, and
for a number of more specific types of debt
such as charges for residential care and benefit
overpayments. The cost benchmark here is
as creditors, the cost per invoice, and the core
function is defined on similar lines to creditors,
though starting after data is input.
Collection and enforcement is clearly part
of the core debtors’ function, and has to be
included whether undertaken centrally, locally
or externally. We also look at the cost per £1,000
of debt raised, as a measure of the proportion of
income taken up by the collection process.
November 2009
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Debtors Benchmarking Club
