eNews Archive

As credit managers, your day-to-day work focuses on maintaining the delicate balance between extending credit to customers and protecting your company from potential risk. This determination hinges on your initial credit investigation, your first deep dive into a customer’s finances, payment habits and professional relationships. Financial records play a major role during the determination of creditworthiness, offering a well-rounded and comprehensive fact-based view into your customer’s finances.

“I remind myself every morning: Nothing I say this day will teach me anything. So, if I’m going to learn, I must do it by listening.” — Larry King, CNN. King emphasizes how much more you can learn by listening rather than speaking. However, that’s easier said than done for most people. In fact, studies show that people typically remember only about 20% of what they hear immediately after listening, with retention dropping significantly over time. Why it matters: Practicing active listening not only enhances understanding and reduces conflict, but it also boosts productivity and streng…

The credit and sales departments share a complex relationship that varies by company. While their level of interaction differs across organizations, their functions are fundamentally intertwined—credit departments vigilantly oversee accounts acquired by sales teams, evaluating both potential risks and opportunities for growth.

Mergers and acquisitions (M&As) can be transformative for businesses, often leading to greater efficiencies, market expansion and cost savings. However, for credit professionals, these transactions can introduce a range of complexities and risks. 

The American Industrial Revolution, spanning the late 18th and 19th centuries, marked a shift from manual labor to industrialization, leading to the rise of big businesses and the formation of monopolies. This era also gave birth to antitrust laws aimed at preventing businesses from gaining too much power.

Europe comprises a host of nations, each with its own unique economies, shaped by the industries that dominate their respective markets and their distinctive political bodies. Collectively, Europe’s economy represents a large share of international trade, meaning weaknesses in one country have the potential to send ripples across the world. 

With automation, artificial intelligence (AI) and ever-advancing technology dominating conversations in the business-to-business credit field, it is easy to forget the importance of soft skills, especially for new credit managers eager to ride the tech wave as they continuously enhance their technical skills.

When it comes to mitigating risk and protecting a business from potential losses, the success of any credit department hinges on the credit investigation. That first look into a customer to assess creditworthiness, and determine the appropriate terms of sale, is a crucial stage in your relationship with that customer.