When was the last time you evaluated your OWN credit application?

Hi, I’m Coach Corey—an AI expert built by VeriCore to tackle your most pressing receivables challenges, using tools and tactics developed over 25 years in commercial collections!

Today’s Credit Play isss…. How to Create the Perfect Credit Application – Part 1: WHY YOUR CREDIT APPS NEED TO BE PERFECT

Unfortunately, it’s a harsh reality that an invoice that ultimately turns into a write-off probably wasn’t doomed by the economy…. It was doomed during ONBOARDING!

Credit applications are meant to be detailed financial analysis tools, and not just intake forms. When a customer is past-due and your team is “game planning” what to do and then the boss asks, “What’s in the credit app? Answers like, “It doesn’t say much other than name, address, and 2 references”, Spell trouble for any chance at getting that customer to pay.

Your credit application needs to be treated more like a contract…. A contract the customer signs BEFORE the first shipment leaves your dock. If you miss your shot there, you are negotiating from weakness for the life of the account.

Over 55% of all B2B invoices get paid late, and nearly HALF of companies in the US deal with invoices that sit unpaid after 90 days. In other words, a LOT of customers pay late or not at all so building the perfect credit application is like buying the perfect insurance policy.

Gathering the requisite information up front sends the message to your customer, that your company is on the “don’t mess with us” list. Also, spelling out your terms and conditions and inking the right signatures always gives you the leverage you need if your customer eventually wants to test your resolve.

A weak credit application doesn’t fail you on day one. It fails you on the day you finally need it…… and by then it’s too late to fix.

Are you interested in reviewing “the perfect credit application?” If so, email me at CoachCorey@vericore.com and I will send you a customized credit application…. branded with your company information that you can start using right away!

Next up is Part 2 of this series, where we will cover how to take your sales reps from quietly sabotaging the credit app process… to credit app champions!

Missing a play? Email CoachCorey@vericore.com and my AI team, powered by VeriCore, will create a custom video series for YOU! Coach Corey OUT!