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To
win orders in the highly competitive business environment that exists
today, suppliers of goods, materials and services usually offer
credit terms to their commercial customers.
Should
a buyer become insolvent before the credit terms are met the supplier
may well end up out of pocket. Credit Insurance exists to protect
against this potential loss.
Benefits of Credit Insurance include :
- Business
Development
Large bad debt reserves can be reduced. Capital can be released
-
Budgeting
Known cost of insurance means more accurate financial planning
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Balance Sheet Protection
Bad debts can seriously affect the stability of an uninsured
company
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Enhancement of Credit Standing
Company improves its own security and credit standing
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Customer Feedback
Valuable information on debtor companies
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