With late payments and bad debts commonplace in the current climate, it\u2019s becoming increasingly important to know your customer before committing to offering credit terms.<\/p>\n\n\n\n
The first step is therefore to obtain all the necessary business information, including their full trading name, legal status, registration number, address and the key contact details of the management and contact responsible for accounts payable. An effective way of doing so is by sending an application form for completion, which could also detail your business\u2019s terms and conditions of trade.<\/p>\n\n\n\n
Using this information, it is then possible to ask a credit expert to check the credit risk posed to your business through the extensive range of credit rating services on the market. Credit reports are available for as little as \u00a310 per report, whilst the cost can be offset against the impact a bad debt would have on your business\u2019s finances and its cash flow. Online credit checks can be completed in a matter of minutes. This process is particularly important when taking orders from larger customers, where late payment can carry heavy consequences.<\/p>\n\n\n\n
Should their credit score be low, you can therefore demand full or partial payment up front, decline their order, or at the very least take extra caution when performing credit control.<\/p>\n","protected":false},"excerpt":{"rendered":"
With late payments and bad debts commonplace in the current climate, it\u2019s becoming increasingly important to know your customer before committing to offering credit terms. The first step is therefore to obtain all the necessary business information, including their full trading name, legal status, registration number, address and the key contact details of the management […]<\/p>\n","protected":false},"author":1,"featured_media":382,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_joinchat":[],"footnotes":""},"categories":[1],"tags":[],"class_list":["post-291","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tips"],"yoast_head":"\n