How to Reduce Risk

Do you want to guarantee payment on a customer’s account, even if they don’t pay?

Consider factoring!

Factoring is when you sell the account receivable at a discount to another company – usually called a factor – for cash.

Instead of insuring your accounts receivable, you may decide to sell them. Your factor determines which accounts receivable it wants to purchase and at what discount. For example, if a customer owes you $10,000, your factor may offer you $9,000 for the account. You get your money when you sell the account receivable regardless of when or if your customer pays. You gain quick payment with no credit risk, but you lose the amount of the discount.

Learn other ways to reduce risk on our website!

Debt Collection Services in Michigan Since 1961!

If you want to use debt collection services in Michigan, your first step is easy. Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away- get started today! We look forward to hearing from you.

Should You Purchase Credit Insurance?

Don’t want to wait and see if your customers pay their bills?

Consider purchasing credit insurance!

Credit insurance, also referred to as trade credit insurance, is offered by insurance companies and some government export credit agencies. This insurance usually covers a fixed percentage of the account receivable. In other words, if the customer fails to pay a bill, your insurance company reimburses you for a portion of that unpaid bill. You must absorb the cost of the insurance as a business expense, and you still take a bit of a hit in the event of a default if you insure for less than the full value of your receivables. 

Learn about other options to reduce risk on our website!

Debt Collection Services in Michigan Since 1961!

If you want to use debt collection services in Michigan, your first step is easy. Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away- get started today! We look forward to hearing from you.