In today’s business world that is continually changing, traditional credit control practices are sometimes unable to guarantee protection against loss or even bankruptcy. New credit management tools such as credit insurance and invoice factoring are the mainstream of today’s small business culture, giving businesses a way to maintain profitability and protect accounts receivable. Accounts receivable can be the most vulnerable part of a business, large or small.
For example, most companies ensure their equipment, plant, and assets. But, they do not insure the accounting book, which can represent an average of 40 to 45% of their assets. As results, Blue-chip companies such as Worldcom, United Airlines, General Motors, Kmart and Lehman Brothers faced bankruptcy, which affected many small sellers. Fortunately, there is a way for companies to protect themselves against the risks that the client does not pay.
BusinessCash.es already has its own credit protection policy. Your accounts receivable are then protected under our policy at no additional cost to your company. Many do not realize this hidden benefit.