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Credit Availability – How Much Can You afford?
As our economy continues to slide do you continually set credit limits on your customers and how often do you review your accounts and their balances.
A review of your largest accounts and their month over month balances can shed light on the growing account balance and predict debt collection difficulties.
It is also true that many smaller accounts with increasing balances will add up to a very substantial portion of your DSO. No system is perfect and a good review of all accounts over 30 days will keep you up to date and ready to react to data on each customer.
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