Collect Your Money A Guide To Promoting Success And Professionalism In The Credit Department by Linda McWha

The overall needs of each company differ in many areas – the need for steady cash flow is consistent for all. Whether you have a position as the owner of a small company or are trying to upgrade your skills in collection as a manager of an accounts receivable department, this guide is for you. The cost of maintaining delinquent accounts is well known. Every 15 days your customers are late, the dollar value of your original sale decreases. A company which does not collect its outstanding balances in a timely fashion can suffer a cash flow shortage — if you are not paid, you cannot pay others. Credit is teamwork — if every department works together you can ensure success in increased cash flow. In this manual, you will learn to set credit policies and procedures with a view to enhancing your corporate image. You will learn, step-by-step, the definition and value of DSO, how is it calculated and how can it help you make money. You will understand credit limits, how they can work for you, and how to set them. Credit Departments communicate verbally and in writing. This guide will help you be the best at both. You will learn how to disseminate what the other party is saying. Learn danger signals which can alert you to an account which may be in trouble so that you can take effective action. Successful negotiation is a process which allows both parties to win. Learn the steps to take to encourage a satisfying solution to disputed invoices or contract contents. When all else fails, you can go to court. There are issues to consider before filing. We will take you into the courtroom when the time comes. You will gain confidence by learning not only courtroom procedures, but also how to dress to project the image you desire. The process involves not just upper management, but your entire team of professionals in the sales and credit departments. Strong risk management strategies will help you overcome the problems generated from inadequate procedures in the past. Confidence comes from knowing what to do and when to do it; it can turn the chore of "collecting" into the challenge of "maintaining the accounts receivable portfolio