Journal Entry #1: Grasping the Core Concepts of Credit
I've been working here at NACM for roughly six months now as an editorial associate. I recently started working my way through the Business Credit Principles course so I could gain a better knowledge of the B2B credit topics I write about. As someone who does not have a background in credit, this course has been a lifesaver.
I'm only a few modules in so far, but what has stood out most to me is just how many moving parts are needed for the credit department to run smoothly.
One of my recent eNews articles covers the importance of the relationship between credit and sales departments—briefly mentioned in Module 2, but a deeper dive in Module 4 of the Business Credit Principles course. Both modules reinforced the several benefits of seeing credit and sales as one, rather than completely separate entities, which helps businesses thrive.
The most notable quote stuck in my head is the goal of every credit department is to "maximize profit and minimize losses." It's simple, but lays the basic foundation of the main purpose of a creditor. You need several skills to be successful and the responsibility of credit is growing.
I typically go through each module video and write key ideas on little Post-it notes along the way in order to fully comprehend the information. Now I will admit, in the beginning modules, I had to go back and rewatch the videos because some questions can be worded slightly tricky—but overall, the information is easy to absorb and retain once you keep going.
So, I'll keep you posted on my journey in learning more about business credit as I get deeper into the course. It can seem intimidating at first because of the long list of videos and quizzes, but I've had fun so far!
Kendall Payton, editorial associate