Your Virtual Credit Manager

OCTOBER 15, 2024

Photo by Melinda Gimpel on Unsplash ) The American Bankruptcy Institute recently reported that, “The 6,067 total commercial chapter 11 bankruptcies filed during the first nine months of 2024 represented a 36 percent increase over the 4,561 filed during the same period in 2023.” Trustee Program.

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Chapter 11 Bad Debt Bankruptcy Chapter 7 100

Your Virtual Credit Manager

APRIL 2, 2024

For instance, bankruptcy within the next two years is more easily defined than the more nebulous state of financial distress. Despite these shortcomings, commercial credit scores can be valuable tools for a company offering trade credit to other businesses. Tuning on Your High Beams.

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Credit Scoring Credit and Collections Bad Debt Credit Risk 130

Your Virtual Credit Manager

AUGUST 11, 2024

Commercial bankruptcies have been surging since mid-2022. Department of Justice expects a sharp increase in bankruptcies with the U.S. Your Virtual Credit Manager has already covered this topic from several different perspective. As it turned out, half of this group had indeed filed for bankruptcy during this period.

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Sub-Chapter V Bankruptcy Credit and Collections Chapter 11 100

Your Virtual Credit Manager

OCTOBER 8, 2024

Older debts are often more difficult to recover because the debtor’s financial situation may worsen over time, or the business may close, become insolvent, or declare bankruptcy. In cases of bankruptcy or liquidation, the likelihood of repayment drops dramatically, as creditors may only receive partial payments or nothing at all.

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Your Virtual Credit Manager

MARCH 21, 2023

Readers of Your Virtual Credit Manager can now access sharply discounted business credit reports from D&B, Experian, or Equifax through our partner aaccredit. Learn More About Credit Reports 5. This ties into all the Covid startups and the lack of bankruptcies while stimulus funds were available.

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Your Virtual Credit Manager

DECEMBER 20, 2022

Share Controlling Credit Risk Increasing sales to high margin customers disproportionately increases total gross profit. The good news is that in a bankruptcy, you will be ahead of all the general unsecured creditors. Here’s how? Why not share this newsletter with your small business customers.

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Deductions Credit and Collections Bad Debt Credit Risk 130

Emagia

OCTOBER 17, 2022

Enterprises digitally transform their credit risk management processes to manage and navigate volatile market conditions, new regulatory pressures, increasing customer expectations, and other credit risks related to customers and vendors. Robotic Process Automation (RPA). Artificial intelligence (AI).

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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. If not paid by the discount date, the full amount is due in 30 days.

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Bad Debt Accounts Receivable (AR) Credit Risk Bankruptcy 130

Your Virtual Credit Manager

MAY 2, 2023

Growth is down, interest rates continue rising, small businesses are facing a credit crunch, commercial bankruptcies are skyrocketing and experts see an emerging threat: Washington Post: U.S. A critical part of this exercise involves identifying active and new customers posing high, or even just marginal, credit risks.

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Bankruptcy Credit and Collections Accounts Receivable (AR) Default 100

Your Virtual Credit Manager

AUGUST 22, 2023

Readers of Your Virtual Credit Manager can access sharply discounted business credit reports from D&B, Experian, or Equifax through our partner accredit. Here’s more on setting credit limits. If the customer pays well, you can always consider raising their credit limit.

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Credit and Collections Bad Debt Credit Risk Small Businesses 130

Your Virtual Credit Manager

DECEMBER 27, 2022

A business with a strong credit history is more likely to be considered creditworthy than one with a weaker credit history. A business's credit history also includes any past bankruptcies or defaults, as well as collection agency placements. Credit grantors will often consider other factors as well.

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Credit Scoring Credit and Collections Accounts Receivable (AR) Bankruptcy 130

Know-It Global

JUNE 22, 2023

ONE OF Scotland’s fastest growing fintechs, Know-It, has unveiled a new service in its cloud-based credit management platform designed to revolutionise the accounting industry. Credit management is essential for accountants, as it allows them to manage their clients’ financials more effectively.

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Credit Management Credit and Collections Bankruptcy Credit Risk 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. Sound Credit and Collection practices will help you navigate the impact of these risks. it just might help them pay you sooner!

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Credit and Collections Bad Debt Default Credit Risk 26

Know-It Global

JUNE 20, 2023

This guide provides a comprehensive overview of credit control practices and strategies that your business can implement to mitigate credit risk, reduce debtor days and boost cashflow! Setting Up Credit Control Processes 1.1 You can use historical data, sales forecasts, and credit payment patterns to project cash inflows.

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Bad Debt Credit and Collections Debt Collections Credit Risk 19

Your Virtual Credit Manager

DECEMBER 6, 2022

Cash Flow is the number one cause of small business bankruptcies. 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. Buy Credit Reports In regard to collections, a well defined process is imperative. Cash is king.

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Your Virtual Credit Manager

APRIL 30, 2024

In addition, extended terms increase your exposure to customer bankruptcies and the resulting non-payment. If a customer has 60 day payment terms, and pays 30 days late, you will have three months of sales dollars at risk versus one if the customer had 30 day payment terms. that’s 40% off the standard price.

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Credit and Collections Accounts Receivable (AR) Credit Risk Bankruptcy 100

Your Virtual Credit Manager

SEPTEMBER 19, 2023

Commercial bankruptcies have been trending upward for most of this year, so it is likely some of your customers are in a downward spiral, if it has not yet shown up in their payment pattern. Recognizing that a customer is in distress putting your receivables at risk is the first step in ameliorating the situation.

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Your Virtual Credit Manager

DECEMBER 26, 2023

Subscribe now Learn to Recognize These Red Flags There are two types of credit risk affiliated with selling on open credit terms. If you have more than a few customers or you have been in business several years, chances are you have dealt with customers who pay late, have defaulted or are at risk of default.

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Gaviti

OCTOBER 23, 2023

In addition, the company boasts a customer retention rate of 95%. Gaviti partners with CreditSafe as part of its Credit Application module, which facilitates the A/R credit management process for companies. Its data originates from top market-data business leaders, enhanced by AI-powered algorithms.

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Credit Scoring Credit and Collections Credit Application Bankruptcy 97

MNS Credit Management Group

AUGUST 7, 2023

Credit scores can also affect a company’s ability to sign a lease or purchase products on credit from suppliers. “ One of India’s primary credit risk assessment bureaus that rates enterprises is MNS Credit Management Group” What Factors Influence A Company’S Credit Score?

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Credit Scoring Credit Risk Credit and Collections Bad Debt 52

Emagia

OCTOBER 31, 2022

Why should credit management be automated. How important is the automation of credit management for business growth. Autonomous finance eliminates efficiency bottlenecks in finance operations such as credit management, accounts receivables, accounts payables, cash flow, budgeting, F&PA, and other financial processes.

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Credit and Collections Bad Debt Credit Management DSO 59

Your Virtual Credit Manager

MAY 16, 2023

Also, though a company is in financial distress (think about what just happened with Bed, Bath & Beyond), it may take a long time before they finally default or enter bankruptcy. In addition, there are a host of risk mitigation tools, including ones that use collateral, which you can read about here.

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Bad Debt Credit and Collections Default Small Businesses 100

CreditStrong for Business

AUGUST 23, 2024

Report users can purchase business credit scores from Equifax too, such as: Business Delinquency Score Business Delinquency Financial Score Business Credit Risk Score Early Default Score And More Different business scoring models have different numerical ranges.

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Credit Reporting Agencies Credit Scoring Credit and Collections Bankruptcy 52

CommandCredit

OCTOBER 11, 2021

When you are trying to decide whether to extend credit to a customer or send a purchase order to a supplier, checking if they have a good business credit score gives you the confidence that you will be paid on time or receive the supplies you order. Equifax Business Credit Risk Score.

Credit Scoring 40

Credit Scoring Credit and Collections Bankruptcy Credit Reporting Agencies 40

TreviPay

SEPTEMBER 18, 2024

By offering protection against non-payment, trade credit insurance helps businesses avoid financial strain, improve cash flow and maintain a stable credit management process. How Does Trade Credit Insurance Work? Benefits of Trade Credit Insurance There are many benefits to trade credit insurance.

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Bad Debt Default Credit and Collections Export Credit 52

MNS Credit Management Group

AUGUST 31, 2022

Business credit report which is also known as a company credit report, contains information regarding the business, such as ownership information, subsidiaries, company finances, risk scores, and any liens or bankruptcies. One should regularly check their company’s credit report as a business owner.

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Credit Scoring Credit Reporting Agencies Bankruptcy Default 52

Eagle Business Credit

JULY 13, 2023

Credit Management If you’re selling to other businesses on credit terms, more than likely you have some gaps in your credit management. That’s only because credit management is a time-intensive task that often small business owners lack the time to accomplish. I’m not blowing smoke.

Bankruptcy 40

Bankruptcy Credit Management Credit Risk Small Businesses 40

JSP Credit Management

OCTOBER 31, 2021

However, some downsides to the debt recovery of a Sole trader are that they will not have their company accounts publicly available for viewing on the Companies House database and there could be GDPR implications for running a credit report on an individual unless express consent has been provided.

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Your Virtual Credit Manager

AUGUST 20, 2024

Here are some factors AR managers should anticipate: Interest rates may ease somewhat, but the days of easy money are over for the foreseeable future — working capital management is extremely important now Commercial bankruptcy filings are expected to continue rising (the U.S.

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Credit Management Credit and Collections Accounts Receivable (AR) Bankruptcy 130

Your Virtual Credit Manager

DECEMBER 17, 2024

As a general rule, the greater the potential value of the customer the greater the credit risk you will be willing to assume. Customer value and credit risk combined with past due severity will then inform your collection strategy. Your Virtual Credit Manager is a reader-supported publication.

Credit and Collections 130

Credit and Collections Bankruptcy Credit Risk Default 130

Your Virtual Credit Manager

MARCH 26, 2024

Economic circumstances may prompt a vendor to either tighten or loosen its credit policies and customer credit limits. Going beyond the impact of macroeconomic trends, a company’s customers operate in dynamic business environments, and for a majority of them, the credit risk they pose is either increasing or decreasing.

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