Your repayment plan ignores upcoming business costs.
A repayment schedule needs to include costs that do not arrive every week. Add the known renewals, seasonal bills and committed purchases before choosing an instalment amount.
Corporate Recovery Partners
01 / 06
The plan forgets next month’s insurance
A pest-control business agrees to repay a supplier from its usual weekly surplus. The forecast looks comfortable until annual insurance, vehicle registration and a scheduled equipment service fall due together. Those costs were predictable, but the payment proposal treated an ordinary week as the whole year.
Review prior statements, renewal notices, service bookings and contracts. List payments that recur annually, quarterly or at another interval. Include commitments already approved but not yet invoiced.
Check the amount and date with the responsible person. Do not insert last year’s cost without considering changed cover, equipment or trading activity. Mark uncertain estimates for follow-up.
Business.gov.au cash-flow guidance asks businesses to consider the costs of operating and when they will be paid. Add the irregular bills before testing the creditor instalments.
Show which money must accumulate ahead of the payment date. A bank balance that looks spare today may already be needed for a known bill, even though the bookkeeping system has not recorded its invoice.
Calculate an instalment the complete forecast can support and discuss any necessary revision with the creditor early. Explain the omitted cost accurately rather than inventing a sudden emergency.
Keep the original agreement visible until a change is accepted. Sending a revised spreadsheet does not itself alter the payment obligation or stop any formal response timetable.
Assign ownership of the renewal calendar and connect it to purchasing and accounts. Ask managers to report new commitments when approved, not only when an invoice arrives.
Review the plan after a major change to operations or costs. If including ordinary upcoming bills makes every repayment option unaffordable, obtain advice about the underlying debt position rather than deleting the difficult items again.
