Credit Research Foundation

APRIL 12, 2024

In essence, the customer has payment options that, coupled with today’s digital platforms, provide a seamless opportunity in the order-to-cash process. Risk Mitigation – A seldom noted but important point is that a properly implemented program can reduce your risk of slow payment, fraud, and default within your portfolio.

Credit Card Companies 195

Credit Card Companies B2B Credit Bad Debt DSO 195

Your Virtual Credit Manager

OCTOBER 17, 2023

Not being paid in full or in part causes a bad debt loss. The first step is to estimate how much bad debt loss you can absorb as a percentage of sales in a year. Conversely, if the profit margin is low, bad debt losses will have a much greater impact, and credit controls will have to be tighter.

Bad Debt 130

Bad Debt Credit and Collections Credit Risk 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. Go to this link to read about order approval best practices. it just might help them pay you sooner!

Bankruptcy 130

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

Your Virtual Credit Manager

AUGUST 29, 2023

These can include: Too little time spent collecting (due to other priorities or lack of staff) Lack of training and experience Order-to-cash (O2C) process breakdowns or weaknesses Credit policy too lenient Invoice accuracy issues Collection strategy not effective Economic headwinds And, the list goes on.

DSO 130

DSO Credit and Collections Bad Debt Collection Effectiveness Index 130

Your Virtual Credit Manager

APRIL 18, 2023

Subscribe now An Overview of the AR Functions that Can Be Outsourced One option is to outsource all AR responsibilities in support of the order-to-cash (O2C) process: from billing to credit and collections to remittance processing. to minimize the chance of bad debt loss. Then you have a cost/benefit comparison.

Bad Debt 130

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

Your Virtual Credit Manager

APRIL 11, 2023

In fact, a hands off approach will only serve to compound the weaknesses in your order-to-cash (O2C) process. 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. Laissez-faire doesn’t cut it.

Bad Debt 130

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

Your Virtual Credit Manager

FEBRUARY 28, 2023

Getting customers to pay now rather than later reduces the risk of a default down the road. The reduction in revenue and margin, while painful, will be a smaller price to pay than a large drop in incoming cash and the higher risk of a larger, damaging, bad debt. it just might help them pay you sooner!

Bad Debt 130

Bad Debt Accounts Receivable (AR) Credit Risk Bankruptcy 130