9 Steps to Creating a Commercial Credit Policy

Overview:

The credit policy is one of the most important and fundamental documents in the organization. It is the blueprint for how your customers communicate with and treat their company’s most valuable asset: their customers. 

This session will cover 9 key areas needed to create an effective credit policy.

Why you should Attend:

Successful Commercial Risk Management starts with effective and well documented policies and procedures called a Credit Policy.

Many companies that extend commercial, or trade, credit do not have a formal credit policy, and many do not update the policy on a regular basis.

Extending trade credit will help your business grow faster than operating on a cash only basis, but you need a formal, documented credit policy to effectively do so.

To establish an effective commercial credit policy, you need to cover all the key ingredients required for a commercial credit policy.

Areas Covered in the Session:

• Step 1: Mission Statement
• Step 2: Goals
• Step 3: Organizational Roles and Responsibilities
• Step 4: Credit Evaluation
• Step 5: Credit Limits
• Step 6: Terms of Sale
• Step 7: Account Monitoring 
• Step 8: Credit Holds
• Step 9: Collections

Who Will Benefit:

• Small Business Owners
• Company Employees new to the Credit Function
• Students who need or want to learn about Commercial Credit