Every business dreams of landing a major client — the kind with a big brand name and even bigger orders. But what happens when they ask for generous credit terms before you’ve built any trust?
Too many businesses get lured in by the prestige or promise of large volume. They offer extended terms without proper checks, and before long, they’re chasing payments, losing sleep, and watching cash flow dry up.
Here’s the hard truth:
One unpaid invoice from a large customer can hurt more than ten smaller ones combined.
So, how do you say “no” to risky credit requests — especially from high-value prospects — without blowing up the relationship?
Let’s break it down.
The Hidden Danger of Special Treatment
It’s tempting to make exceptions for big players. But when you start bending the rules, you open the door to inconsistency — and that’s where credit control starts to fall apart.
You might think, “This company’s huge, they’ll definitely pay.”
But the size of a business doesn’t guarantee reliability. In fact, big companies are often slower payers — they have rigid processes, long approval chains and suppliers are usually the last to get paid.
If you allow one client to stretch the rules, you may be tempted to let others do the same. Suddenly, your once-tight credit process is riddled with exceptions and risk.
No company is too large or important to follow your terms.
Why Boundaries Build Trust
Contrary to what many business owners fear, saying “no” won’t necessarily damage a relationship — if you do it right.
Professionalism isn’t about giving in. It’s about consistency, transparency and standing by your systems. Good clients respect that. If anything, it positions your business as sharp, well-run and serious about sustainable growth.
Think of it like this:
Would you lend money to a stranger without any kind of contract or track record?
3 Ways to Say No — Without Burning the Bridge
1. Blame the Process, Not the Person
“We follow a standard credit application process for all new clients. Once we’ve completed that and built some trade history, we’re more than happy to revisit credit terms.”
This takes the personal sting out of the conversation. It’s not about mistrust — it’s just how your business runs.
2. Offer a Middle Ground
“Right now, we can’t offer full 30-day terms, but we can do 50% upfront and the balance in 14 days. After a few successful projects together, we’d be happy to expand those terms.”
This approach shows flexibility while protecting your position. You’re still saying “yes” — just on your terms.
3. Be Transparent — and Real
“We’ve learnt the hard way that offering credit without safeguards can really hurt a small business. That’s why we follow a strict policy — not just for our protection, but to make sure we can continue delivering great service to all our clients.”
People appreciate honesty. Especially other business owners.
What If They Push Back?
Some clients will test your boundaries. They’ll try to leverage their size or promise future work. That’s where you hold the line — calmly and confidently.
Here’s a line that works well:
“We’d love to earn your business and we believe in starting strong. Let’s build some trust first, then grow the relationship from there.”
If they walk away? They likely weren’t a great long-term client anyway. You’ve dodged a cash flow bullet.
Final Word
Extending credit is essentially giving someone an interest-free loan. If you wouldn’t hand them an envelope of cash today, don’t let them string out payment for 30, 60 or 90 days without checks and balances in place.
Protecting your cash flow isn’t unprofessional — it’s smart business.
Need help managing your credit terms or dealing with late payers?
Brunswick Invoice Finance helps Australian businesses unlock cash tied up in unpaid invoices — fast, flexible, and no nonsense.