Your Virtual Credit Manager

JANUARY 23, 2024

Learn More About YVCM Consulting Case Study: Portfolio Monitoring Pays Off Big-Time About 25 years ago, a credit manager I know saved his company from a seven-figure bad debt loss by monitoring the Internet on his biggest customers. There is a sequel to the case study referenced at the beginning of this article.

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Credit Application Bad Debt Bankruptcy Credit Scoring 130

Your Virtual Credit Manager

MARCH 14, 2023

Here’s an article on overcoming collection excuses. Focus on the over 60 day past due AR balances to get the most bang for your collection buck This approach foregoes a huge cash flow opportunity (collecting AR that is under 60 days past due), and is not very effective at preventing bad debt (too little, too late).

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Collector Past Due Invoices Credit and Collections Bad Debt 189

Know-It Global

MAY 8, 2023

As a business owner, it’s essential to understand and manage credit risk to maintain a healthy cash flow and avoid financial losses. Credit risk is the potential for a borrower to fail to repay a loan or credit extended to them. The good news is you can avoid these issues. Did you know?

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Bad Debt Credit and Collections Credit Risk Default 52

Your Virtual Credit Manager

AUGUST 22, 2023

The bad news is that nearly 21 percent of last year’s startups will fail this year leaving you with a bad debt on your books if you sold to them on credit terms. After September, free subscribers will only have access to a portion of the weekly article. Here’s more on setting credit limits.

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Your Virtual Credit Manager

JANUARY 3, 2023

Photo by DESIGNECOLOGIST on Unsplash Editor’s Note: To start off the New Year, we’re bringing back three of the most popular YVCM articles from 2023. We’ve condensed the articles to save you time, but have also provided links to the originals should you want to take a deeper dive. Update your customer master file.

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AR Automation Collector Credit and Collections Bad Debt 130

Know-It Global

MAY 8, 2023

As a business owner, it’s essential to understand and manage credit risk to maintain a healthy cash flow and avoid financial losses. Credit risk is the potential for a borrower to fail to repay a loan or credit extended to them. The good news is you can avoid these issues. Did you know?

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Bad Debt Credit and Collections Credit Risk Default 52

Your Virtual Credit Manager

DECEMBER 6, 2022

The company ended up writing off millions of dollars in bad debt. In addition, bad debt and concession expenses decreased by several million dollars annually. So far so good, but this company had an Achilles heal. This software firm did not actively manage its AR. Cash flow from AR was well below reported revenue.

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Know-It Global

JULY 5, 2023

One effective strategy for achieving this goal is to implement a robust credit control system. By effectively managing your business’s credit and collection processes, you can optimise cashflow, minimise bad debt, and enhance overall financial health.

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Bad Debt Credit and Collections Debt Collections Credit Risk 52

Know-It Global

APRIL 19, 2023

Supply chains threatened by soaring insolvencies Recent data has revealed the average bad debt for UK SMEs is £16,641, a spike of 61% in a year! Bad debts If the insolvent company owes you money, you may not be able to recover the debt, or you may only receive a fraction of what you are owed.

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Your Virtual Credit Manager

SEPTEMBER 19, 2023

Starting in October, free subscribers will only receive the introductory section of our weekly articles. Plus, you will get full access to our growing archive of over 100 articles! From this conversation, you will learn how perilous the bad debt risk is with this customer, and how urgent your reaction must be.

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Credit and Collections Default Bad Debt Credit Risk 130

Know-It Global

JULY 26, 2023

In this article, we’ll outline 15 actionable steps that can help you significantly reduce debtor days and optimise your cashflow! Evaluate and improve your credit terms Begin by assessing your current credit terms and ensure they are reasonable and aligned with industry standards. Best of all, it’s free to get started!

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Know-It Global

JUNE 14, 2023

This is an arrangement where businesses extend credit to their customers, allowing them to purchase goods or services and pay at a later date. While offering credit presents certain risks, when managed effectively, it can offer numerous benefits for businesses.

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Credit and Collections Bad Debt Credit Risk Default 52

Your Virtual Credit Manager

MARCH 28, 2023

As a rule of thumb, firms with higher gross margins can afford to be more risk tolerant than enterprises with tight margins. This is because the higher your profit margins the fewer sales it will take to compensate for any bad debt losses. The rule of thumb is the longer in business the lesser the credit risk.

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Know-It Global

JUNE 28, 2023

Traditionally, credit management involved manual processes and relied heavily on human intervention, which often proved time-consuming and prone to errors. However, with the advent of advanced technologies, the landscape of credit control has undergone a remarkable transformation.

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Credit Scoring Credit and Collections Bad Debt Credit Management 52

JSP Credit Management

OCTOBER 10, 2021

A recent article suggested that the ‘gig economy’, consisting of apps such as Uber and Airbnb employs no fewer than 1 in 10 working adults in the UK. Whilst there can be found some criticisms, the above article notes that the amount of people earning an income from these apps has doubled in recent years. That is approximately 4.7

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Collector Debt Collections Credit and Collections Bad Debt 52

JSP Credit Management

APRIL 28, 2022

That same benefit led us to , an article in the FT the other day from 2010 where former Chancellor of the Exchequer George Osborne was talking about the Financial Services Authority (FSA). That, we thought, was a genuinely nice benefit, to having been a product of university life. and contact us to discuss your needs.

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Debt Collections Bad Debt Credit Management Credit Risk 52

JSP Credit Management

SEPTEMBER 28, 2021

Don’t worry this is not going to turn into an academic article but we think it is worth noting the depth of the numbers underpinning what at first appeared a bit of clickbait at the top of the blog. So, time for the big reveal. The single biggest reason that commercial invoices do not get paid on time is that they are not billed correctly.

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Credit and Collections Collector Bad Debt Debt Collections 52

Your Virtual Credit Manager

JUNE 13, 2023

Photo by Jamie Street on Unsplash There are two types of credit risk that arise from selling on open credit terms: Customers paying beyond terms (past due) reduce your cash flow. These bad debt losses can put your own business at risk of failure. Far more damaging is a customer that defaults (never pays).

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