Your Virtual Credit Manager

JANUARY 7, 2025

Your Virtual Credit Manager is a reader-supported publication. Besides driving process improvement, the experts at Your Virtual Credit Manager can apply default risk probabilities & other financial benchmarks to your AR portfolio to reveal actionable credit & collection insights.

Days Sales Outstanding 130

Days Sales Outstanding DSO Credit and Collections Accounts Receivable (AR) 130

Your Virtual Credit Manager

OCTOBER 31, 2023

Economic downturns can impact a customer's ability to pay, leading to delayed or defaulted payments. The experts at Your Virtual Credit Manager are ready to help you improve cash flow and reduce AR risks during these challenging times. What do you need help doing? There are a lot of reasons business fail.

Bad Debt 130

Bad Debt Credit and Collections Accounts Receivable (AR) Credit Risk 130

Your Virtual Credit Manager

SEPTEMBER 5, 2023

Subscribe now Impact of Offering Discounts From the seller’s perspective, the effect on revenue from offering an early pay discount needs to be weighed against the potential reduction in Accounts Receivable (AR) carrying costs, bad debt and collection expenses. it just might help them pay you sooner!

Bad Debt 130

Bad Debt Credit and Collections Accounts Receivable (AR) Default 130

Your Virtual Credit Manager

JUNE 13, 2023

Far more damaging is a customer that defaults (never pays). These bad debt losses can put your own business at risk of failure. The inability to recover the loss with new business puts a serious crimp in a firm’s cash flow, especially when the default involves a large amount.

Credit and Collections 26

Credit and Collections Bad Debt Default Credit Risk 26

Your Virtual Credit Manager

NOVEMBER 14, 2023

(Photo by Aziz Acharki on Unsplash ) Because Credit Policy is a part of Sales Policy, how you manage credit impacts company profits. How then does your Credit Policy affect your overall profitability? It affects the level of bad debt loss (uncollected Accounts Receivables) you suffer.

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Credit Sales Bad Debt Credit and Collections Credit Risk 130

Your Virtual Credit Manager

NOVEMBER 12, 2024

If you are not on the lookout for customer red flags, especially those raised by public firms and other large enterprises, you will be at increased risk for incurring bad debt losses. Your Virtual Credit Manager is a reader-supported publication. Register Do you need help improving cash flow?

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Chapter 11 Accounts Receivable (AR) Bankruptcy Credit and Collections 130

Your Virtual Credit Manager

APRIL 2, 2024

Still others may be predictive of default, financial distress or financial health, and creditworthiness. To continue reading and learn the value of using commercial credit scores to rank the customers in your AR portfolio, as well as six ways to leverage customer rankings, you need to be a paid subscriber to Your Virtual Credit Manager.

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Credit Scoring Credit and Collections Bad Debt Credit Risk 130

Your Virtual Credit Manager

OCTOBER 15, 2024

As a consequence, commercial accounts receivable (AR) portfolios are at an increasing risk of suffering bad debt losses. The immediate precursor to bad debts is increasing percentages of delinquent receivables, especially in the over 60 and 90 day aging categories. Commensurate with that, the Federal Reserve Bank of St.

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Chapter 11 Bad Debt Accounts Receivable (AR) Chapter 7 100

Your Virtual Credit Manager

JANUARY 10, 2023

Photo by Patrick Hendry on Unsplash Although defaults resulting in significant bad debt losses are a rare event for trade creditors, much of the focus of AR Management is on credit risk. While credit policy is important, collection efficiency is critical to any organization extending trade credit.

Credit and Collections 130

Credit and Collections Bad Debt Invoice Disputes Credit Management 130

Your Virtual Credit Manager

DECEMBER 31, 2024

If your enjoy this article and would like to get access to the full story, we hope you will subscribe Your Virtual Credit Manager is a reader-supported publication. Changes in Ownership : New owners of businesses may refuse to pay debts from the previous owner, creating complications in recovering funds.

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Collector Credit and Collections Bad Debt High-Risk Accounts 130

Your Virtual Credit Manager

APRIL 18, 2023

. “First party” means routine collection contact for slight to medium delinquency account verses their usual highly escalated, urgent (third party) collection of very aged AR in danger of default. to minimize the chance of bad debt loss. Compare the cost of outsourcing to the full cost of using internal resources.

Bad Debt 130

Bad Debt Credit and Collections Third Party Collections Accounts Receivable (AR) 130

Your Virtual Credit Manager

FEBRUARY 13, 2024

This prediction, although bold, is corroborated by the broader economic data, including escalating corporate bankruptcies, tightening loan standards by banks, and the surge in delinquent debt balances and consumer debt. Obtain Quotes on Credit Insurance. This is a great way to indemnify your company from most bad debt losses.

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Bankruptcy Credit and Collections Bad Debt Accounts Receivable (AR) 130

Your Virtual Credit Manager

FEBRUARY 28, 2023

Your Virtual Credit Manager (YVCM) previously published an article discussing the pros and cons of Prompt Payment Discounts. It will reduce your Accounts Receivable (AR) balance and the associated elevated credit risk inherent in a larger AR. This translates to a 1 percent discount if paid within 10 days of the invoice date.

Bad Debt 130

Bad Debt Accounts Receivable (AR) Credit Risk Bankruptcy 130

Your Virtual Credit Manager

DECEMBER 20, 2022

The one measure that may fall short if the customer defaults is a Uniform Commercial code (UCC) Security Agreement — you may not be able to recover all your collateral or the proceeds thereof, especially if your UCC filing puts you in a second position behind a lender, which is a common situation.

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Deductions Credit and Collections Bad Debt Credit Risk 130

Your Virtual Credit Manager

SEPTEMBER 12, 2023

Poor Credit Management' We’ve already talked about how poor credit decisions can impact sales and collections. In small companies, this may occur due to a lack of credit analysis skills. Here’s more on credit evaluations. Credit management, however, doesn’t stop with the initial customer analysis.

Credit and Collections 130

Credit and Collections Bad Debt Accounts Receivable (AR) Deductions 130

Your Virtual Credit Manager

JUNE 18, 2024

Photo by Muhammad Daudy on Unsplash ) The problem with startup companies: there is a high probability they will fail , leaving you with a bad debt on your books. To continue reading and gain insights that help minimize risk when extending credit to new businesses, you must be a paid subscriber to Your Virtual Credit Manager.

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Bad Debt Credit and Collections Credit Risk Credit Card Companies 100

Eastern Credit Management Services

NOVEMBER 13, 2019

A detailed credit application does two things, it informs your customer of the terms and conditions of the credit you extend. Secondly, it gathers valuable information from your customer that can then be used to recoup the overdue account if your customer defaults on payment.

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Bad Debt Small Businesses Credit Reporting Agencies Credit Application 52

Your Virtual Credit Manager

AUGUST 6, 2024

Too often, extending credit is viewed as a yes or no function. In reality, granting credit is much more complicated. The goal is not preventing bad debt losses but rather maximizing profits. If you should try to eliminate all bad debt losses, chances are you will forego sales to customers that will eventually pay.

Bad Debt 100

Bad Debt Credit and Collections Accounts Receivable (AR) Credit Risk 100

MNS Credit Management Group

JULY 12, 2023

Bad debt recovery: What is it? The money that your company receives after writing off bad debt as uncollectible is known as bad debt recovery. When the borrower is unable to repay the lender within the allotted time, the bad debt recovery process is initiated. How can bad debts be recouped?

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Bad Debt Collector Debt Collections Credit and Collections 52

Know-It Global

APRIL 26, 2023

Credit risk is the potential for a borrower to fail to repay a loan or credit extended to them. Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure.

Credit Risk 98

Credit Risk Bad Debt Credit and Collections Default 98

Your Virtual Credit Manager

AUGUST 29, 2023

Use the following formula to determine your CEI: (Beginning receivables + Monthly credit sales - Ending total receivables) ÷ (Beginning receivables + Monthly credit sales - Ending current receivables). Bad Debt Write-Offs Are Increasing: When bad debts get ahead of budget, you need to take a look at why that is happening.

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DSO Credit and Collections Bad Debt Collection Effectiveness Index 130

Your Virtual Credit Manager

NOVEMBER 1, 2022

Effective collections can also reduce bad debt losses by compensating for a liberal or weak Credit Control function. The task is twofold: Optimizing cash inflows (and avoiding bad debt) confined by the number of requests for payment that can be made within a specified time period.

Credit and Collections 130

Credit and Collections Past Due Invoices Bad Debt Accounts Receivable (AR) 130

Your Virtual Credit Manager

APRIL 11, 2023

Here’s more on Credit Checks. Poor Credit Controls: Poor credit control practices can result in providing goods or services to high-risk accounts that are likely to pay beyond terms or even default on payments. Business failures are the norm.

Bad Debt 130

Bad Debt Credit and Collections Accounts Receivable (AR) Days Sales Outstanding 130

Your Virtual Credit Manager

SEPTEMBER 10, 2024

Pricing Problems: A supplier of medical devices implemented a new ERP system, but flaws in the pricing application caused it to frequently default to list price (nearly every accounts had exceptions), thereby generating hundreds of incorrect invoices. Do you need help assessing your customers’ credit risks?

Credit and Collections 130

Credit and Collections DSO Deductions Accounts Receivable (AR) 130

aptic

OCTOBER 12, 2021

In the wake of the banking crisis, the European Central Bank (ECB) defined three grades of non-performing loans: past due, unlikely-to-pay (UTP) and bad loans. Today, the UTP category is more relevant than ever in the field of credit management. To identify UTP debts, you need to pick up on the warning signs in good time.

Bad Debt 52

Bad Debt Credit and Collections Invoice to Cash Bankruptcy 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. If it is a sole proprietor you are dealing with, check their consumer credit report to see if they are maxing out their credit cards.

Credit and Collections 130

Credit and Collections Bad Debt Credit Risk Small Businesses 130

Your Virtual Credit Manager

DECEMBER 6, 2022

Without effective AR management, your cash flow is subject to entropy as the AR ages, as well as to the shocks caused by customer defaults. The solution is the implementation of credit and collection best practices geared to ensure customer profitability and sufficient cash flow. it just might help them pay you sooner!

DSO 130

DSO Credit and Collections Bad Debt AR Aging 130

Your Virtual Credit Manager

JUNE 20, 2023

” As a reader of Your Virtual Credit Manager you are eligible for 50% off the registration fee: Register Online Or call 866-352-9539 — Discount code: A5307986 — Priority code: 15999 What Can Be Done? Update the credit risk evaluation of your larger customers ASAP.

Credit Risk 20

Credit Risk Bad Debt Credit and Collections AR Aging 20

Your Virtual Credit Manager

MAY 16, 2023

By avoiding the following common traps, or myths if you will, businesses can minimize the risk of non-payment or default and make better informed decisions about extending credit to other businesses that will boost sales and profits. Credit evaluations prevent more bad debts than collection efforts.

Bad Debt 100

Bad Debt Credit and Collections Default Small Businesses 100

Know-It Global

JUNE 20, 2023

It involves managing credit sales and making informed credit decisions, ensuring timely payment from customers, and minimising bad debt. Setting Up Credit Control Processes 1.1 Define Credit Policy: A well-defined credit policy is the foundation of effective credit management for any business.

Bad Debt 19

Bad Debt Credit and Collections Debt Collections Credit Risk 19

TreviPay

MARCH 20, 2023

Credit management is integral to accounts receivable management. Good credit management supports consistent cash flow, smooth payment collections, customer satisfaction, and much else. It covers multiple different smaller components involved in issuing, monitoring, and collecting credit.

B2B Credit 52

B2B Credit Credit Management Credit and Collections Days Sales Outstanding 52

Your Virtual Credit Manager

OCTOBER 8, 2024

Your Virtual Credit Manager is a reader-supported publication. Do you need help assessing your customers’ credit risks? The experts at Your Virtual Credit Manager have default risk probabilities and other financial benchmarks for analyzing your AR portfolio and revealing actionable insights.

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Third Party Collections Credit and Collections Bankruptcy Bad Debt 100

Your Virtual Credit Manager

OCTOBER 2, 2024

Who absorbs any potential bad debt loss — does the lender have recourse to return the AR if they cannot collect it versus a non-recourse arrangement? Who performs the Credit & Collection activities — you or the finance company? Your Virtual Credit Manager is a reader-supported publication.

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Past Due Invoices Credit and Collections Deductions Accounts Receivable (AR) 130

Your Virtual Credit Manager

SEPTEMBER 17, 2024

Photo by Willian Cittadin on Unsplash ) Neglecting collections can also lead to longer payment cycles, strained client relationships, and an increase in bad debt. To continue reading and learn nine areas of focus for supercharging your collection process, you must be a paid subscriber to Your Virtual Credit Manager.

Credit and Collections 100

Credit and Collections Accounts Receivable (AR) Bad Debt Credit Risk 100

Your Virtual Credit Manager

SEPTEMBER 19, 2023

From this conversation, you will learn how perilous the bad debt risk is with this customer, and how urgent your reaction must be. Mitigate the Risk with a Financial Instrument: Involving a third party with strong credit is a good way to get security on the debt owed you. The bank will pay you if your customer defaults.

Credit and Collections 130

Credit and Collections Default Bad Debt Credit Risk 130

Know-It Global

JULY 26, 2023

Check-it business credit reports are powered by Creditsafe! You’ll clearly see: Credit rating Credit score Credit limit Company financials Track record of recent payments and any defaults CCJs Exceptional Events Plus, you’ll also have access to Unsecured Creditor Claims data, information not included in standard business credit reports.

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Electronic Funds Transfer Credit and Collections Debt Collections Bad Debt 98

TreviPay

SEPTEMBER 18, 2024

Trade credit insurance has become a vital tool for businesses looking to protect themselves from the risk of non-payment by customers. This type of insurance acts as a safety net, covering unpaid invoices when clients default or face financial difficulties. How Does Trade Credit Insurance Work?

Bad Debt 52

Bad Debt Default Credit and Collections Export Credit 52