Tag: Credit Management

In the ever-changing industry of B2B credit management, credit professionals are expected to stay informed and increase their credit knowledge to advance in their career—after all, knowledge is power. By attending NACM’s Graduate School of Credit and Financial Management (GSCFM), a hybrid program that covers four essential business and professional growth disciplines: Advanced Financial Statement Analysis, Legal Environment of Credit, Advanced Negotiations and Leadership, credit professionals will have the essential tools to excel in their career and become a master in their field.

As the next generation of credit professionals accepts jobs in the industry, they are using a different strategy to build customer relationships by leveraging new communication styles. However, the goals remain the same—create a strong sense of trust, improve customer service and mitigate risk.

In the dynamic and ever-changing world of finance, it is imperative to stay ahead of the curve and ensure agility is built into your business operation. More and more businesses have integrated global business services (GBS), an evolution of the shared services model that controls the delivery of business support functions to the core business through multiple service delivery models on a global basis.

Several business-to-business (B2B) credit managers and bankruptcy attorneys from Lowenstein Sandler recently convened with the American Bankruptcy Institute (ABI) Subchapter V Task Force to exchange invaluable insights gleaned from their cumulative experiences in Subchapter V cases.

In the world of business, a dead deal is a haunting reminder of opportunities lost and partnerships that crumbled before they could flourish. Credit professionals can work closely with the sales team to not only secure sales, but prevent and resurrect so-called dead deals.

The term “ghosting” is commonly used in the dating world to describe a person who stops responding to calls or texts suddenly and without explanation. But credit professionals also can be victims of ghosting from customers.

Many credit professionals spend a lot of time trying to resolve customer disputes, and disputes tend to become more common during times of economic volatility as a way for customers to stretch payment terms. Disputes end in the customer’s favor more than 75% of the time for one in every four credit professionals, according to an eNews poll. One in every five credit professionals say more than 5% of their past dues are tied up in disputes. The disputes factor in NACM’s Credit Managers’ Index fell 2.5 points to 47.3 in September, its lowest level since April of 2009.

The construction industry presents unique challenges for credit professionals due to its complicated nature. For example, credit professionals must assess the risk associated with multiple parties involved in a single project. Cash flows in construction often depend on project milestones and payments, making it challenging to predict when and how payments will be received.

In the wake of a tumultuous economy and consistent interest rate hikes, more companies are under significant financial distress, struggling to pay debts and survive. This has given rise to “zombie companies”—businesses that are able to continue operating but are essentially insolvent and no longer profitable. Zombie companies serve as a chilling reminder of the complexities and challenges lurking within the economic landscape.