How to stop udhaar from sinking your shop

Credit sales help you sell more, but unchecked credit quietly drains your cash. Five habits that keep it under control.

Write down every credit sale

Record the customer, amount and date at the moment of sale, not in the evening from memory. Unrecorded credit is the first thing that goes missing.

Set a limit per customer

Base it on how long they have paid reliably and on what you could afford to lose if they never paid.

Watch how old each balance is

Balances older than 30 days are less likely to be paid. Review them by age every week, oldest first.

Remind early and politely

A short WhatsApp message a few days before and after the due date works better than an awkward conversation months later.

Know your total

Add up all your udhaar. If it is more than a month of profit, slow down new credit until collections catch up.