As a small business, debt prevention is an essential business practice. But today more than ever it pays to be informed. This means having an effective process for credit management that includes assessing a client’s credit history.
Managing risk to ensure cash flow is not compromised and trading terms are appropriate for each unique customer. This is something that all business owners approach differently with varying degrees of success.
Becoming too relaxed about credit terms could result in major cash flow problems. Furthermore this increases the likelihood of more time spent in debt recovery rather than running your business.
If you provide credit, obtaining a credit report minimises the potential exposure to risk. Consequently understanding the credit history of a new customer can reduce business risk.
We recommend obtaining a Business Credit Report, a Credit Score, and a Property Ownership Report for all new customers. This will ensure that you understand who you are dealing with. We can provide these reports through our partners including Infotrack and Equifax.
For more information about debt prevention:
We understand that every business is unique, so we make sure to provide solutions that are tailor-made for each company and situation.
We are always glad to sit down with you to chat about your business and your specific financial goals. This allows us to get a better understanding of your needs so we can design a debt recovery plan that works best for you.
Call us today on 1300 887 296 to discuss a debt prevention strategy for your business.