Credit Policy for businesses and how to extend credit and manage credit risk

On Tuesday the Wall Street Journal reported that David K. Marshall got laid off in October from a credit management position.  About 18.3% of jobless Americans in January had been out of work for at least 27 weeks.  The surprising thing to me about this was that David is a credit manager.  Right now, the last person you want to lay off is your credit manager.  While times are tight credit managers can be your biggest asset.

When customers don’t have money to spend you can increase your bottom line by collecting on your accounts receivables.  Having a credit manager to spend their time dedicated to collecting your money from customers you have already made a sale to is a bonus.