DEBTSOURCE credit risk management process South Africa

By: Debtsource (Pty) Ltd  11-11-2011
Keywords: Management Reports

 Imagine DEBTSOURCE as your very own credit department – setting policies, gathering information on debtors, signing documentation, contacting customers for payment, providing management reports and handling legal processes – all these items are incorporated in our outsourced solution. The modules are also available individually if a full outsourcing option is not required. Here’s what we do:

1. Setting appropriate policies is the first step in the DEBTSOURCE process. Our experts will workshop with you to create a policy that spells out exactly how credit will be extended. This policy document covers critically important issues such as the maximum amount of credit to be extended at any time; the profile of your customer base; credit limit setting; handling ‘cash’ customers; information gathering; credit insurance options and reporting - to name but a few. When outsourcing, the credit policy forms the basis of your relationship with DEBTSOURCE and also acts as your Service Level Agreement.2.Gathering information and profiling your customers according to their risk and industry categories is the next step. Once this process is completed you will gain an insight into your customer base you never thought possible. DEBTSOURCE is contracted to leading information houses both locally and internationally, and this together with our own in-house research mechanisms translates into powerful decisioning capabilities. Once the initial information requirements are met state-of-the-art monitoring systems are put in place that alerts changes to a debtor’s profile. Information is power!3. Obtaining appropriate securities – the DEBTSOURCE solution even incorporates obtaining the required securities from your customers, based on all the information and circumstances surrounding a particular account. DEBTSOURCE employs highly skilled negotiators that can either obtain such securities directly from the debtor, or the process can be handled by your own sales or other staff. Our security documentation is created by leading law firms - tried and tested in South African courts. 4.Liaising with your Customers – mainly for the purpose of recovering due debts - is the next step. DEBTSOURCE’s sophisticated systems will even send pre-notification alerts to active debtors and experienced, industry specific controllers will follow this process through with professional contact with your customers. Simply sit back and see your cash roll in. 5.Management reportsDEBTSOURCE generates some 20 customer specific monthly management reports critical in the analysis of your accounts receivables. These reports are presented and discussed to ensure a thorough understanding of what is probably your largest asset. In an outsourced environment, these management as well as individual debtor reporting is available at the click of a button. 6.Insure your debtsDEBTSOURCE, together with some of SA’s largest insurance houses, will provide you a solution that is ideal for your business environment. Whether you’re looking to self-insure or require a more traditional credit insurance arrangement we have a policy to suit you – and more importantly your pocket. 7. Handling legal matters also forms part of the service offering. DEBTSOURCE will handle any legal collection cases that may arise with regards to your debtors. If you choose to outsource your receivables, DEBTSOURCE will handle this process on your behalf (at our cost) up to the point where the matter is defended in a competent court. DEBTSOURCE employs the skills of SA’s leading law firms to ensure maximum results. 

Keywords: Management Reports