6 new ways to determine if a customer is credit worthy
April 1, 2013 by Jim Giuliano
When it comes to evaluating customers for credit, it may be time for some new approaches.
When it comes to evaluating customers for credit, it may be time for some new approaches.
It’s never been more important that your company gets every cent owed by every customer — without being so heavy-handed that you chase customers away.
Here’s a stat to ponder: At a 20% gross margin for costs, it takes five times the amount of new revenue to make up for just one defaulted customer payment.
The small-business problem: Limited access to, and knowledge of, foreign markets. President Obama and Congress think they have the solution — and a way to boost business and jobs. More…
New customers often have to provide you with lots of financial info to prove they’re credit-worthy. But what about the companies you buy from on a regular basis?
It’s the step you hope you never have to take – that final-demand letter your company sends send in an attempt to get a customer to pay up.
A lot of companies communicate with customers via email, including sending agreements and documents such as credit applications. That could spell trouble.

OK, we know all about what President Obama proposes to help American businesses. Now, CNN Money asks 10 small-business owners what the president could do immediately to boost the economy in general and their companies in particular. Here’s what they said. More…

Even when times are tight, there are at least three small, innovative moves you can make to make sure you’re at the head of the line to get paid or you don’t get stuck with a slow pay in the first place. More…
Consumer spending is on the rise again, and so are the shifty introductory rates credit card companies offer to suck you dry. More…
You may be entitled to some major refunds on your 2011 tax return, but only if you take action before the end of 2010. More…

When six-figure decisions are on the line, you’d like to think your key employees are making informed choices in a vulnerable area of your business. At one in four companies, those decisions are left open to dangerous risk. More…
Most sales and marketing pros are news junkies. But lately, it may be better to tune the news out. More…
New regs promise to keep financial institutions from robbing consumers blind, but you could still find yourself in the hole if you don’t keep a close eye on these four areas: More…
Customers are naturally drawn to the business that offers them the lowest price. So how can you expect to compete against a price-cutter — without slashing your own profit margin? More…
A lot of execs are enrolled in travel or credit programs that reward them with points for constant use. But you have to keep a close eye on changing terms and conditions to make sure you don’t lose rewards. More…
Bank of America has finally taken a bold step that benefits cardholders, and could ultimately force other major banks to follow suit: More…

Why do so many small businesses overlook these simple ways to improve cash flow? More…
Have credit card companies already found a convenient way to dodge the new billing statement regs? You be the judge: More…
Debit purchases are on pace to eclipse cash purchases by 2012. Good news, right? Not if you’re a business owner … or a consumer. More…
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