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

Yesterday U.S. News & World Report published an article about how small business owners can use friendliness and firmness to help them with their collections. 

1. Give out as little credit as possible.
2. If you are going to lend money, think like a banker.
3. Time is of the essence!
4. Make sure you have the facts in front of you BEFORE contacting a past due customer.
5. Be willing to negotiate.
6. If all else fails, hire a collection agency.