CreditQ offers essential business credit management techniques, including credit policy establishment, systematic steps, and AI-driven solutions, enhancing efficiency and reducing risk for businesses.Know more @ creditq.in/page/business-credit-management
2. Introduction
Definition: Credit management is
crucial for businesses as it involves
extending credit to customers for
goods and services.
Importance: Poor credit management
can impact cash flow, reputation, and
customer trust.
3. How to Establish a Credit
Policy?
• Criteria for evaluating creditworthiness
• Limits on credit extension
• Terms of repayment, penalties, and
interest
• Ensures consistency and clarity in credit
processes.
4. Usual Steps in Credit
Management
• Assess customer creditworthiness
• Monitor customer payment history
• Maintain good customer relations
• Emphasizes the importance of a
systematic approach.
5. Factors in Credit
Management
• Customer creditworthiness.
• Financial strength of the customer.
• Product or service value in the market.
• Highlights the considerations in
determining credit terms.
6. Modernizing Credit
Management
Traditional methods:
Relied on spreadsheets and manual
dunning processes.
Transition to AI-driven solutions:
Digitization, automation, data analysis,
and machine learning for efficient credit
management.
Benefits: Simplification, error reduction,
speed, risk reduction, and staff
productivity
7. Benefits of AI in Credit
Management
• Process simplification
• Error reduction
• Speedier processes
• Risk mitigation
• Enhanced staff productivity
Encourages the adoption of digital decision-
making in credit management for business
excellence.
8. Thank You
CreditQ offers essential business credit
management techniques, including credit policy
establishment, systematic steps, and AI-driven
solutions, enhancing efficiency and reducing risk for
businesses.
Know more @ creditq.in/page/business-credit-
management
