Extending credits to customers could be sometimes risky. They might not settle the dues on time or delay it leading to working capital disruption and ultimately bad debt. How would you tackle such a situation without disrupting the working capital?
Well, worry no more! Having a well-framed Credit Policy can help you tackle such situations as it eases 70% of the task by maximizing profitable revenue opportunities with managed risk, and hence promotes uninterrupted cash flow.
This checklist will provide you with a detailed framework on how to evaluate your customers' creditworthiness based on essential factors and align your credit policy accordingly to it.
Follow this checklist as it empowers you to design the right credit policy best suited to your business needs.
Key Takeaways:
- 10 Major Steps to Build an Effective Credit Policy
- Importance of Panning and Execution in a Credit Policy
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