Accounts Receivable (AR) Credit Risk Default 
Your Virtual Credit Manager
FEBRUARY 4, 2025
In most companies, sales are given a strong priority over the risk of slow payments and bad debts regardless of gross margins and the resources the credit and collection function can provide to mitigate risk. Photo by Piret Ilver on Unsplash ) Too often, credit and collections are an afterthought.
Your Virtual Credit Manager
JANUARY 28, 2025
Meanwhile, customers who previously were approved during your initial credit evaluation may become past due, max out their credit limit, or, worse yet, be in a deteriorating financial situation, all of which become even more likely when the economy is volatile—the result: cash flow problems and more exposure to bad debt losses.
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Your Virtual Credit Manager
NOVEMBER 12, 2024
Monitoring and evaluating the credit risk posed by public companies and other large firms differs significantly in comparison to small and mid-sized businesses. Because most of your biggest customers will be larger firms instead of smaller, it is typically the larger firms that will require higher credit limits.
Your Virtual Credit Manager
MARCH 4, 2025
To receive new posts and support my work, please subscribe for just $5 per month ($49 yearly). The experts at Your Virtual Credit Manager have default risk probabilities and other financial benchmarks for analyzing your AR portfolio and revealing actionable credit & collection insights.
Your Virtual Credit Manager
JANUARY 7, 2025
How was your accounts receivable (AR) performance last year? This is a very important question because AR is typically one of the top two or three largest assets for a B2B vendor. The primary way most companies measure AR performance involves looking at the Days Sales Outstanding (DSO) metric.
Your Virtual Credit Manager
JUNE 20, 2023
The problem is, this policy approach usually results in reducing revenue from higher credit risk customers — a double edged sword that results in less risk, but also puts a break on sales. By altering its Credit Risk Management Policy in this way, businesses can boost revenue and protect profitability.
Your Virtual Credit Manager
SEPTEMBER 3, 2024
billion in annual sales was dissatisfied with the management of its Accounts Receivable (AR). To continue reading and learn how to best prioritize your collection efforts for maximum cashflow you must be a paid subscriber to Your Virtual Credit Manager. Do you need help assessing your customers’ credit risks?
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