Three of five companies that fail do so while showing a profit. The problem is simply access to cash resources, which is usually tied up in receivables – or worse – written off to bad debts.

This is the very reason for the existence of DEBTSOURCE – a company specifically created to assist your business in managing the entire credit extension process. DEBTSOURCE has the resources, skills and sophisticated systems principally designed to increase your cash flow and minimise bad debt, simultaneously turning your credit processes into a competitive advantage.

The DEBTSOURCE services below acts as an indication of the service offering – all designed to improve your company’s liquidity and ultimately your profitability.


Strategic Decisioning

Risk Prevention

Self Insurance
Traditional Credit Insurance
Securities & Guarantees


Risk Management Consulting
Health Check
Stand-by agreements


Legal Recoveries
Consumer and Commercial Collection Services

Data Services

Debt Management Software
Pre- and Post Vet Credit Data


The purpose of entering into an outsourced agreement is to gain access to sophisticated credit systems and management expertise at a cost far below a comparative implementation within your own company.
Usually outsource arrangements bring businesses either improved expertise or cost-savings, but seldom are these two factors combined in an outsourcing agreement.
Yet the Debtsource solution does just that – saves you costs while providing you with a level of expertise and sophisticated systems that makes granting credit to your customer base a profitable and pleasurable experience.

The outsource process includes:

  • Setting appropriate policies – our experts will create a policy that spells out exactly how credit should be extended. This policy document covers critically important issues such as profiling your customer base; credit limit setting; handling ‘cash’ customers; information gathering; management reporting, overdue account processes – to name but a few.
  • Gathering information and profiling your customers according to their risk and industry categories is the next step. Once this process is completed you will gain an insight into your customer base you never thought possible. Debtsource is contracted to leading information houses both locally and internationally and this together with our own in-house research mechanisms translates into powerful decisioning capabilities.
  • Setting appropriate credit limits on all customers. . Once information has been gathered on your debtor, Debtsource will recommend an appropriate credit limit for every customer and review these credit limits on an ongoing basis. All customers are graded into specific categories and every category managed individually.
  • Obtaining securities – Debtsource employs highly skilled negotiators that can either obtain such securities directly from the debtor or the process can be handled by your own sales or other staff.
  • Contacting Customers for the purpose of collecting due and/or overdue payments is next step. In instances where a customer refuses or neglects to settle their account Debtsource will send in absolute experts to negotiate swift payment.
  • Management reports – Debtsource generates a number of customer specific management reports critical in the analysis of your accounts receivables. These reports are presented and discussed to ensure a thorough understanding of what is probably your largest asset.
  • Credit insurance on your debtors is also an option. Based on your specific requirements Debtsource will recommend a credit insurance policy that makes sense for your business and is structured according to your needs. Debtsource works together with South Africa’s leading insurers as well as selected international insurers to ensure that the solution is tailor-made to your requirements.

Risk Prevention

Risk is a factor of doing business in today’s modern economy. While the majority of credit risks can be reduced through the implementation of effective extension strategies, there are circumstances and company failures that are nigh impossible to predict. For this very reason DEBTSOURCE provides your business with cover against unforeseen risk. Whether you choose the Self-Insurance route; Traditional Credit Insurance options; securing risks via the more conventional obtaining of Securities and Guarantees directly from your debtor, or even a combination of these three, DEBTSOURCE has the solution to fit your business, needs and pocket.

Traditional Credit Insurance

Credit insurance is a risk management tool that helps protect your company’s commercial account receivables from the devastating effects of loss caused by the insolvency or protracted default of your buyers. As a financial tool it provides security for lending, as bankers know that the solvency of customers can jeopardize the ability to repay a loan.


To minimise credit insurance costs many companies prefer to set up their own self-insurance scheme. These schemes either work in combination with a traditional credit insurance policy that provides only disaster cover, or where the entire risk is managed through self-insurance.

Securities and Guarantees

Obtaining securities and guarantees directly from customers can prove to be an absolute minefield if not managed by credit professionals. As Credit Management experts we will assist you in making the appropriate security decision, taking into account all factors relating to a specific transaction or transactions. If required, DEBTSOURCE can even negotiate the security on your behalf, thereby eliminating the possibility that unqualified staff have to make qualified decisions.

Risk Management Consulting

Few companies recognize that credit extension sits at the heart of their business – that it is more than just a necessary evil and that it can add significant strategic advantage to the business. Whether you choose our unique outsourcing arrangement, our Health Check or our Stand-By arrangement, Debtsource has the proven methodology to turn your credit granting process into a strategic decision – and help you gain significant competitive advantage.

Health Check

Investing sufficient resources in effective credit management strategies is always a critical element for business success. The problem that arises for most entities is in knowing where to invest such resources. Debtsource can assist your business by providing a complete re-assessment of your existing credit management strategies. DEBTSOURCE achieves this by doing an analysis of your existing methods and recommends best practice.

Stand-By Arrangements

A Stand-By arrangement is ideal for companies whom already employ effective credit management strategies, however require experts to assist in making key decisions – while being on permanent “stand-by”. Regular meetings are held to provide expert advice and recommended actions on areas such as non-paying accounts; best organising your credit department; and input and recommendations to your sales and credit staff for dealing with credit-related issues. In addition the service includes immediate assistance on matters relating to credit extension. This service is DEBTSOURCE’s most cost-effective solution for employing a credit expert in your organisation.


Debt Recovery

As a registered and licensed debt recovery agent, DEBTSOURCE can provide your company with a variety of collection services to suit your particular requirements. Our service offering extends to traditional pre-legal recovery services, an outsourced handover process and legal recoveries on particular debtors in conjunction with a firm of attorneys that are specialised in the legal collections field.

Pre-legal debt recovery

Our pre-legal collections service is ideal for managing one-off accounts that have failed to make payment via your internal processes. DEBTSOURCE will issue final demands, contact debtors for payment, and on larger handovers even visit the company in questions in order to solicit payment, or to structure some payment plan. Matters are usually completed within 30 days of hand over, at which time a detailed report of our actions will be submitted.

Outsourced handover process

The basis of our outsourced handover service differs to that of traditional debt collection mechanisms, as it attempts to provide a more holistic approach to the collection of your receivables. By handing over all accounts that are overdue at a pre-defined time (typically 45 days, 60 days or even 90 days) DEBTSOURCE is able to aggregate the cost of a pre-legal collection service coupled to a legal collection process and provide you with a low-cost, fixed fee service that will manage an outstanding debt through the entire collection cycle – up to the point where a warrant of execution is issued to recover assets for payment against outstandings. This DEBTSOURCE solution brings together aspects of traditional debt collection, effective tracing mechanisms, credit data and legal collections in order to provide you with a holistic approach to recovering your money.

Legal Debt Recovery

It is not uncommon for business owners to resist handing unpaid accounts over to attorneys, fearing exorbitant costs and lack of results. DEBTSOURCE works closely together with attorneys that specialise in legal-credit matters, and are therefore ideally placed to quote legal recoveries on a lower than market fixed fee basis as well as ensuring results. From the moment your account is handed over, DEBTSOURCE assists you by managing the process on your behalf and by providing ongoing reporting – all designed to cap the costs of legal debt recovery, while at the same time ensuring effective service.

Data Services

Any decision made in business is only as good as the information on which it is based. This is especially the case in your credit department, as one poor decision can literally cost you your company. The DEBTSOURCE Data Services solutions encompass not only traditional credit information sources, but makes the paradigm shift of combining this with billing records, thereby laying the foundation for automated and decisioning mechanisms that truly revolutionise the credit process.

Debt Management Software

Closely allied to effective receivables management lies the efficiency of the credit management department. The Debtsource “DebtMan” system was specifically designed to make your company’s credit management department more effective when outsourcing your debtors portfolio. DebtMan acts as a central repository of customer and accounting data; applies pre-set grading and credit control rules to these records; automates the collection process by notifying customers electronically when payments are due or overdue; alerts internal staff to crucial changes on an account and provides detailed management reports including a complete event register. The system also incorporates advanced document management tools – all designed to effectively control and manage every aspect of your receivables. DebtMan is the ultimate answer in Credit Risk Management.

Pre- and Post-Vet Credit Data

While there are a number of sources from which an entity may correlate credit worthiness data, few combine the unique process of correlating these sources and using credit experts to interpret the data. The difference may sound simple, yet it could have an immense impact on the final decision. Debtsource is one of only a few entities in South Africa that are uniquely placed to provide such a solution and this forms an especially critical part of our outsourced service offering. Information is power!