CREDIT INSURANCE

      Is available to manufacturers, wholesalers, or service companies that sell on open credit. It protects your largest asset, accounts receivable, against a loss that your company had no control over - your customer's inability to pay! If your customer cannot pay due to a bankruptcy, insolvency, or other forms of non payment - credit insurance can pay!

BENEFITS

• Protects receivables against large unexpected credit loss(es). This includes Chapter XI bankruptcy, Chapter VII, other forms of non payment - such as inability to pay, and political loss on foreign sales.
• Safely increase sales to existing customers. Gain new customers that may not have been previously possible by transferring the credit risk to an insurance company. Create sales to new markets by offering open credit terms instead of Letters of Credit or other secured terms. This is a global economy and to be competitive, most foreign traders realize that open credit terms must be offered.
• Improve borrowing capabilities. Many times lenders are setting limits on your availability because of credit concern on buyers or industry, concentration issues, 60+ past due payments, or foreign receivables. As a result of your carrying a credit insurance policy, a lender can increase the borrowing limit and/or increase the advance percentage of eligible receivables. Typically, the increase on eligible receivables can be 5-10%.
• Enhance credit management with expert third party evaluation of credit risks.
• Collect problem receivables more quickly.

WHO ARE CANDIDATES?

• Any company selling on open credit.
• 80/20 Rule - Does approximately 80% of sales come from 20% of your customers?
• Companies 

                  with minimal credit departments or staffs

                  with large borrowing requirements

                  growing 

                  in high risk industries or with high credit loss experience

• Sales Minimum - usually over $2,000,000 domestic; can be lower for export sales
• Sample Industries - BUT NOT ALL! - Textile, Apparel, Plastics, Steel, Food, Chemicals, Paper, Auto Parts, Commodities, Adhesives, Computer Parts, Electronic Parts, Consumer Products, Film, Machine Parts, Aircraft Parts, Wire & Cable, etc.