Creditprousa's Blog

April 27, 2010

MAINTAINING A STRONG BUSINESS RELATIONSHIP WHILE HELPING TO MINIMIZE DSO

One of the most important things to remember in establishing and maintaining a strong credit policy is by maintaining a good working relationship with new and existing customers through constant communication.  This practice begins with a company’s sales department and is re-enforced by the company’s credit department and finally by the company’s owners.

It is of the utmost importance that new customers are contacted shortly after placing their first order to determine if there were any difficulties with order placement or product receipt, and that the order/receipt process went as they had expected.  Once it is determined that all went well with the customer and they were satisfied with the product or service, the call can be closed with a reminder of payment terms.

The close of the call could go something like this “…I am pleased that we were able to satisfy your business needs Mr. Johnson.  As a reminder, our payment terms are ——- and we look to receive your check for the balance by (insert date), Thank you very much for allowing (insert company name) to be of service to you.

This telephone call accomplished several things:

1.)    Did the customer receive his merchandise or service?

2.)    Was the merchandise or service satisfactory?

3.)    Was the merchandise or service received in a timely fashion?

4.)    Did the customer have any questions?

5.)    Eliminated disputes or deductions based upon faulty product or faulty service.

6.)    Re-established payment terms.

Diligence and follow-up are essential in maintaining strong relationships and minimizing DSO.  The experienced staff CreditPro Financial Services, LLC, will be pleased to provide this service for you or train your in-house personnel to minimize risk and maximize return. Please call 216.402.9988, or visit us on our website, www.creditprousa.com for more information.

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DO YOU NEED A CREDIT PROFESSIONAL – YES!!

As a credit professional with over 25 years of experience in consumer and commercial credit, I highly recommend to small businesses that they enlist the services of a qualified credit management team to not only help them make sound credit granting decisions using proper pre-investigative techniques, but also to increase positive cashflow by collecting receivables in a more timely fashion.

You wouldn’t loan someone you didn’t know a sum of money without knowing if they had the ability or willingness to repay would you? It’s hard to believe but this careless practice is considered “normal” by smaller enterprises that cannot afford to pay the salary and associated benefits to a full-time credit expert or credit team. They simply gamble with their unpaid receivables hoping that someday they will be paid.

Let CreditPro Financial Services, LLC help your small business minimize credit risk while maximizing its return through the use of sound and proven credit granting techniques. In addition, CreditPro Financial Services, LLC can assist you in the collection of your receivables and in the filing mechanic’s liens and affidavits for claim. Best of all, you only pay for services when needed, which SAVES YOU MONEY. Please call 216.402.9988 or visit us on our website, www.creditprousa.com for more information.

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