Confident Cashflow

Credit control often lands on the desk of someone already wearing several hats, usually the business owner or a trusted admin. Automation can look like the answer: automatic reminders, real-time alerts, and slick dashboards promising to take the hassle out of chasing payments.

However, while tech can save time, it can’t build trust. In small businesses, relationships matter. Automating the wrong things can damage those relationships, and your chances of getting paid.

We’ve all experienced it: the chatbot that doesn’t understand what you’re asking, the call centre menu that goes round in circles, the automated email that misses the point. When you’re on the receiving end, it’s frustrating. When you’re the one sending it, especially in credit control, it can damage more than your reputation.

So, how do you use automation without losing what makes credit control effective in the first place? Here’s what we’ve seen work well.

Where automation genuinely helps

Used well, automation keeps things moving without needing constant oversight. It’s particularly good for catching the low-effort wins, missed payments caused by admin errors, holidays or simple forgetfulness. A gentle reminder is usually enough to get things back on track.

• Pre-due reminders: A gentle nudge before the due date can help ensure the invoice isn’t overlooked.
• Overdue alerts: Automatically flagging invoices as overdue allows you to follow up before issues escalate.
• Post-due reminders: For those who just need a prompt, a short, polite message can do the trick.
• Reporting and trends: Dashboards make it easy to track who owes what, spot delays and plan your follow-ups.
• Credit checking and limits: Some platforms can help pre-approve low-risk customers automatically, while flagging higher-risk ones for a manual review.
• Onboarding processes: Automating direct debit or card payment set-up during onboarding saves time and smooths the path to payment.
• Reconciliation tools: Automated matching of incoming payments to invoices can reduce errors and speed up account updates.

In short, automation covers the routine bits, helps avoid simple mistakes, and gives you space to handle the parts that need judgement, context, or a personal touch.

That said, automation has its limits. It can’t resolve underlying issues or build trust. Some clients simply won’t take action until a real person gets in touch. Others may have concerns, such as cash flow challenges or disputes, that only surface when someone picks up the phone.

This is where the human side of credit control earns its place.

Where humans still do it better

Credit control is about communication, judgement and tone. When things go wrong, people want to feel heard. That’s something software can’t replicate. A tactful call or a thoughtful email can shift the dynamic in ways no automated message can.

The human touch matters when:

• Setting payment terms: A conversation at the start helps build trust and ensures everyone’s clear on expectations.
• Chasing overdue payments: A polite but direct call can uncover what’s really going on, whether that’s a missed invoice, a cash flow issue, or something more sensitive.
• Handling disputes: Judging when to challenge, when to listen, and when to escalate requires emotional intelligence.
• Deciding what comes next: Sometimes, the issue isn’t the invoice itself but a shift in the working relationship. These are decisions no algorithm can make.

Human-led credit control also helps protect long-term relationships. A well-judged message can keep the tone constructive, even when the conversation is uncomfortable.

If you’re unsure how to approach tricky payment conversations, this guide on what to say when chasing payments might help.

Ask these questions before automating

Before plugging in a new tool, it’s worth asking:

• Does this help us stay on top of overdue invoices, or just look efficient?
• Will clients find this impersonal or irritating?
• Are we still having the right conversations, or are we hiding behind email?

If in doubt, test it with a few accounts before rolling it out more widely.

Automation isn’t a set-and-forget solution. It’s easy to get distracted by software that promises to ‘do it all’, but in reality, the best results come when tools are tailored to fit the way you already work. Start small, stay personal, and keep the customer experience in mind.

If you’re looking into how automation might support your accounts receivable process, Wise offers a useful overview, just bear in mind it’s no substitute for good judgement and timely conversations.

Tech should support your team, not replace it

In a small team, credit control often relies on relationships and judgement. Automation should free up time so you can focus on those things, not cut them out.

If credit control feels like another spinning plate, the right tools can help. Just make sure they’re doing the background work so you can focus on what matters: the conversations that keep cash coming in and relationships intact.

For more on getting paid faster without harming your client relationships, take a look at our credit control training services.

Want to make your credit control more efficient without losing the personal touch? Let’s talk.