Eazipay shoulders the risk so that small businesses can reap the benefits
August 21, 2017
If starting a new company is a risky venture, then keeping it afloat once it has been launched is even riskier. So why should larger companies - which are generally seen as more secure - be granted the additional safety net of guaranteed payment collection by Direct Debit, when that same vital cash-flow protection isn’t offered to smaller companies?
If your business has a turnover of less than three million a year and you want to collect customer payments by Direct Debit, the chances are your bank will turn you down because you are seen as too great a risk for the bank to ‘sponsor’ your application to collect payments by Direct Debit.
Enter Eazipay, the Cambridgeshire-based company set up some fifteen years ago which collects and processes Direct Debits on behalf of SMEs and pays the money over to them.
Luisa Grey, a Director with Eazipay, explains: “Let’s say, for example, that you are a holiday park owner and you have rents, service and maintenance fees to collect from your caravan owners two or three times a year. Rather than send out hundreds of invoices with all their associated collection difficulties, life would be much easier if you could collect the payments by Direct Debit.