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

Chaser

MARCH 23, 2023

This is because many customers may pay on credit or require payment terms. For small businesses, significant delays in cash inflows, such as from a large sale, can have a significant impact on a business's ability to meet its financial obligations and cover expenses, such as paying employees or vendors.

Bad Debt 87

Bad Debt Credit Sales Default Small Businesses 87

Gaviti

OCTOBER 24, 2022

Percent of Credit Sales / A/R. The first method involves examining credit sales (or the percentage of total collected A/R) and using historical collection data to determine how much of your invoices are written off, on average. The second method uses A/R aging reports to assign expected default rates to aging categories.

Allowance for Doubtful Accounts 52

Allowance for Doubtful Accounts Bad Debt Credit and Collections Default 52

Your Virtual Credit Manager

AUGUST 6, 2024

Most commercial enterprises are simply not willing to continue trading without credit terms, making it difficult for any trade credit grantor to generate enough revenue to survive on cash sales. Photo by Headway on Unsplash ) While credit sales allow you to increase revenue, they also come with a downside.

Bad Debt 100

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

Know-It Global

JUNE 20, 2023

Credit control is a vital aspect of financial management for businesses. It involves managing credit sales and making informed credit decisions, ensuring timely payment from customers, and minimising bad debt. Financial Health Evaluation: Business credit reports provide a snapshot of a company’s financial health.

Bad Debt 19

Bad Debt Credit and Collections Debt Collections Credit Risk 19

CreditStrong for Business

SEPTEMBER 6, 2024

Here are some tactics to consider: Provide collateral: Creditors are reluctant to lend to businesses with bad credit because they’re worried you’ll default on the account and cost them money. Get a cosigner: A cosigner promises they’ll pay your debt if you ever default.

Credit Scoring 52

Credit Scoring Default Small Businesses Credit Unions 52

Know-It Global

JULY 5, 2023

Effective credit control procedures, such as regular monitoring of outstanding balances and proactive debt recovery, ensure that any potential issues are addressed promptly, reducing the likelihood of significant losses. A good business credit report will give you: Credit rating. Credit score. Credit limit.

Bad Debt 52

Bad Debt Credit and Collections Debt Collections Credit Risk 52

Your Virtual Credit Manager

MARCH 26, 2024

If the European parent company defaulted, the North American subsidiary would be pulled into bankruptcy even though its operations were profitable. Consequently, the credit manager was able to purchase credit insurance on his customer, and was therefore able to continue approving credit sales, within limits, to the chain store customer.

Bankruptcy 130

Bankruptcy Bad Debt Credit Scoring Chapter 11 130