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    shortyclf's Avatar
    shortyclf Posts: 2, Reputation: 1
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    #1

    Jul 25, 2007, 01:56 PM
    Protection from Uncollectible Accounts
    How can a business protect against uncollectible accounts?
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #2

    Jul 25, 2007, 05:06 PM
    Having a really aggressive collection person with the proper information at her finger tips
    helselsr's Avatar
    helselsr Posts: 1, Reputation: 1
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    #3

    Jul 25, 2007, 08:48 PM
    And who would that be?
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #4

    Jul 26, 2007, 02:30 AM
    Accounts Receivable
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #5

    Jul 26, 2007, 04:53 AM
    Quote Originally Posted by shortyclf
    How can a business protect against uncollectible accounts?
    Hello shorty:

    Don't give credit.

    excon
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #6

    Jul 26, 2007, 08:56 AM
    excon, its hard not to give credit when you are in business and if your terms are like Net 30 days. So the customer goes way over and you have to call to remind.
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #7

    Jul 26, 2007, 09:38 AM
    Hello tickle:

    Hard?? Well, the question was how one protects themselves from bad debts - not how to increase ones gross income. But even if it IS hard, so what? I agree, it isn't easy to make a buck these days. However, avoiding bad debts is one of the easier (rather than harder) tasks to undertake.

    These days, even if you operate on a cash basis, you don't need to turn down business. And yes, there's a fee for that. American Express will be happy to finance short term business loans. They even give credit cards to use for that purpose. If your customers can't qualify for that card, you shouldn't be giving them credit either.

    excon
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