Why is a thorough ledger review important?
Given the complications that often surround sales ledgers, it is vital for asset based lenders and Insolvency Practitioners to gain an accurate picture of their client’s ledger at the earliest opportunity to ensure recoveries and returns for creditors can be maximised.
Unlike hard assets, for example, sales ledgers often contain hidden dilutions which can significantly and rapidly reduce the collectable value of a ledger and the resulting capacity to recover monies secured against them.
Hilton-Baird’s team are able to conduct thorough collectability and contingency reviews, to examine the nature of the receivable as well as the client’s order-to-cash process, establishing the strength of the paper trail and proof of debts needed to collect in an insolvency situation. This can be coupled with telephone debt verification (TDV). This insight will enable a detailed report to be delivered, as well as recommendations provided to protect exposures and mitigate losses.