The credit management system is crucial for the consistent flow of cash in an organization, which is needed to operate various functions of a company. CreditQ is an award-winning credit risk management solution providing a company that helps your company to grow unstoppably. It helps in building better relationships with your customers and other businesses. It also improves the business cash flow by creating a personalized credit management system.
Credit risk management solution
Unpaid invoices and extended payments hamper the growth of your business by interrupting its various operations and investments. A well-implemented credit management system derives funds that can be put to better use as an investment for growth, inventory purchasing and maintenance, and paying employees’ salaries.
Credit management professionals at CreditQ maintain and manage an organization’s credit accounts. They consistently monitor and reconcile all credit reports. Defaulters, who fail to pay or have multiple excuses for delaying payment, can have a negative impact on a company’s overall growth. A credit management system reduces credit risk by automating the credit management process, which stores and analyses data of all customers and clients who borrow money and hire services from a company.
Customer database created by credit management services providing system works on a cloud-based interface that helps to operate and streamline credit management process online. Through customer data base entire information concerning customer’s payment history, payment behavior and standby amount can be retrieved.
How does the credit management system work?
Based on the data of customers and companies an automated credit management system can approve or decline the loan credit application of any customer or business. It reduces the risk of bad credit and helps in maintain an appropriate cash flow in the company in the following ways:
- By imposing a check on bad debt exposure through the credit terms created on the ledger.
- Setting credit rating criteria for customers and businesses.
- Ensuring compliance with the corporate credit policy to the credit amount.
- Enforcing the stop list for the supply of goods and services.
- Monitoring client’s payment progress.
- Setting reminders to non-payers.
- Pursuing legal actions for non-payers.
- Setting financial deadlines based on the business credit history report of customers.
- Reporting business credit defaulters and sending them reminders.
- Weeding out non-payers by screening customers based on their credit reports.
All these functions of the credit management system help companies to increase their cash flow.
Credit management services to optimize business performance
Credit management is an important activity for every type and size of business. MSME Micro, small and medium enterprises benefit from a credit management system that ensures timely payment for goods, services and credits. B2B transactions are common in these businesses. An efficient credit management technique provides the best B2B solution for effortless and reliable transactions, resulting in reliable relationships. Managing the credits of these companies is important to save them from bad debts or bankruptcy.
CreditQ helps you to build an effective marketing calendar reflecting your business goals and shatterproof strategies based on flawless credit management reports.