Five steps to cashflow nirvana
Lack of cashflow is one of the top three reasons businesses fail, along with poor management and partnerships. I would add “making someone else’s problems your problems” to that list.
Credit Q&A special edition: COVID-19 vs. Your Cashflow and A/R
Take the COVID-19 crisis as a serious wakeup call and revamp, improve, streamline, and update your credit and collections processes.
It’s time to convert to a virtual filing cabinet
A virtual filing cabinet is easy to set up. Select a place where it will “live” at your company, such as your shared drive, then password protect it.
Understanding credit insurance
If we have credit insurance on the accounts receivable is there any reason the company would still need me?
Double dipping credit card discounts
Dear Thea,
We are considering an announcement to our customers that credit card payments will be exempt from their discount.
No discount on sales tax or delivery charges
Dear Thea,
We have never allowed customers to take their discount on sales tax or delivery charges. We don’t allow the discount on sales tax due to the fact that we have to remit the full amount to the state, not the discounted amount.
When to ask for updated credit applications
How often should we be getting updated credit applications signed by our customers? Is there a period of inactivity on the account that should be a factor to consider if we ask the customer to sign the forms again?
Oxymorons in the credit department
Dear Thea,
If I hear the phrase “He has been a great customer with us forever. He always pays, he just runs slow,” I will scream!
Best practices for retention balances
My question is about retention. If prompt payment has happened throughout a project, would it be necessary to file a lien or bond claim for the retention balance?
What to do about personal guarantees on credit applications
What can you do when a potential customer refuses to sign the personal guarantee on your credit application?