Credit insurance from Coface UK

Credit Management, Mar 2007

The consequences of one of your customers becoming insolvent and you suffering a bad debt can have a serious financial impact on your business. Credit insurance from Coface UK advises you on who it is safe to deal with on credit terms and up to what level; and in the event of your customer becoming insolvent (or you suffering protracted non-payment) it pays you the vast majority of what you have lost. Our credit management policies can also help you:

* Acquire new customers

* Expand into new markets

* Secure increased levels of finance

* Support your credit management procedures

* Protect your balance sheet

* Finance new acquisitions

* Finance an MBO

Credit assessment: You need to make a properly informed decision about whether or not to trade with a potential new customer on credit terms. Yet finding the specific information you need about companies (especially if they are small or newly formed) in the right format and quickly can be very difficult. Credit assessment from Coface UK provides you with several ways of finding out information on different types of companies. We can even provide you with your own credit rating for you to demonstrate your own credit-worthiness to your suppliers and customers.

Collections management: If you are paid late it has an immediate impact on your cash flow and makes financial planning very difficult. But chasing payment takes up valuable management resources and legal procedures can be time consuming and costly. Collections management from Coface UK enables you to outsource your credit management function for all or part of your sales ledger and have your domestic and international overdue accounts collected by our experienced professionals in our name or yours.

Receivables finance: Receivables finance provides funds advanced against your debtor book. Instead of having to wait for up to 60 or more days for your debtors to pay, we can provide up to 90% of their value immediately, freeing up cash flow to seize the business opportunities available.

The balance is paid when the debtor pays us. Additional financial support in the form of credit insurance forms part of the financing package so in case your debtor does not pay, you'll have peace of mind that you'll be covered, leaving you free to pursue extra sales. Not only can we provide cash up-front for domestic invoices, we are able to fund against your export receivables too.

Surety: Guarantees provided by your bank are traditionally counted against your overdraft facility, thereby restricting your cash flow and compromising your business' credit situation. The flexible nature of Coface UK's bond facility gives you extra liquidity and enables you to direct resources elsewhere for the benefit of your business.