Most accountants produce perfect financial statements, but perfect statements do not keep businesses alive. They show what happened after decisions were made, not why those decisions were taken or whether the business can survive the pressure it is under. Understanding your client’s business is what turns compliance into real value, because you are no longer just reporting numbers, you are guiding people who are trying to keep a business running.

Non-paying debtors are one of the most common reasons small businesses struggle with cash flow, yet they are often ignored until the situation becomes critical. This article shows how a Chartered Business Accountant in Practice can move beyond simply recording overdue balances and instead help clients assess recoverability, apply the correct accounting treatment, manage tax risk, and strengthen credit control processes. When handled properly, bad debts become an opportunity to protect cash flow, improve financial discipline, and support better business decisions before a crisis arises.