In the current economic climate all businesses large and small face the challenge of managing cash flow and the risks associated with bad debts. No matter how well managed and how successful a business may be, cash flow and profitability can be significantly impacted should a major customer or a number of key customers fail to pay. Trade Credit Insurance or “debtor insurance” protects receivables against loss due to insolvency or nonpayment. It ensures invoices will be paid no matter what.
Trade debtors both in Australia and overseas can be insured with cover extending to insolvency, continued nonpayment and political risks. Policies can also cover supplier default and pre-delivery risk. Trade Credit Insurance reduces and protects you from the risk of nonpayment, providing market intelligence from global underwriters on both customers and prospects.
Trade Credit Insurance is not only about indemnifying against losses but also about offering credit terms to the right customers and enabling business growth.
Courtesy of 20Cube Logistics, our partner Invoice Management Solutions (IMS) is offering a free “Health Check” as follows:
IMS & our panel solicitors will review your Credit Application/Terms & Conditions (an alarming number of businesses are still not covered under PPSA)
IMS will review your overall credit management (we often find deficiencies in this area/room for improvement but are usually able to offer quick fixes/solutions)
IMS will provide you with a no obligation Trade Credit Insurance Report which will include quotations from themmajor insurers. (If nothing else at least you will be provided with an opinion from the insurers on their top clients/potential buyers as to their credit worthiness)
For more information, please contact Mark Lathwell, Managing Director of Invoice Management Solutions on 0417 008 061.