Question

prepare one business letter for debt collection to client and mention about COVID-19 pandemic affect our cash flow

Answer 1

May 19th 2020

To,

Mr. XYZ

Sub: Request to clear dues at the earliest

Dear Sir,

In the current times of COVID-19 pandemic our business has taken a hit and the pandemic has come as a big headwind for our business. The changing market dynamics in the current scenario has changed for the worst and like many business entities even our business has been badly hit.

Revenues were nil for the last two months due to lockdown but we were still paying for our fixed costs and for the wages and salaries of our staff. This situation has put us on weak grounds with regards to our cash flow situation. Our cash flow situation has become precarious and this does not bode well for our business.

In this context I would request you to kindly clear your dues at the earliest. I do understand that even you must be in a tough situation as well presently but still any payment released from your side will be of big help. As lockdowns are easing and business houses are opening up I would also request you to clear the dues in bits as and when you receive funds.

Your quick action on this front will be greatly appreciated.

Thanks and Regards,

Mr. ABC