On August 30th, I wrote that businesses extending open credit terms need to be aware of the risks and act like a factor. I just received the weekly newsletter of Hedman & Associates reminding companies that when they issue credit, they've essentially become a lender increasing their own business risk.For some tips on teaching your staff how to minimize the risks of being a lender, consider these ten levels of investigation to follow when deciding whether to offer credit to your customer.
If cash flow gets tight because you're acting like a lender and you need a business loan secured by your accounts receivable, read "Matchmaking for Business Loans" and then give me a call.
Related Tags: factoring, accounts receivable, business loan, bank loan, working capital, cash flow, small business
No comments:
Post a Comment