If you received the last edition of Business Credit (magazine
published by National Association of Credit Management) you probably
noticed the entire edition was devoted to credit scoring. Once scorned
by the commercial credit community, forward thinking credit
professionals are convincing their companies to invest resources into
creating Risk Based Management Plans by analyzing each of their
customers and establishing working credit lines and including a risk
rating for each customer.
Although many credit managers establish credit
lines they fail to establish a risk rating. Today, many believe a risk
rating may be more important than the credit line in identifying and
controlling credit worthiness. All too often the size of the company
has been influential in determining the credit line rather than the
applicantís ability to repay. Risk ratings not only take into
consideration the size of the company but also financial and
non-financial factors. Risk ratings also identify customers who are
not utilizing their full credit potential (lost sales).
There are many companies today who provide Risk
Based Management Plans but unfortunately, for the small to mid-size
credit department these plans are either cost prohibitive or have
system requirements that IT departments are unwilling to provide.
That is no longer the case as I have found a
product that is efficient, affordable and user friendly. And itís
system requirements are nothing more then a PC and a database
platform. Bob Barna with Stainless Solutions has taken the database
platform ACT! and created Credit for ACT!.
When I first encountered this software I was skeptical. Since
starting this column, I regularly receive brochures and emails from
companies asking me to mention their products or services. Up until
now I have avoided doing so simply because nothing Iíve seen or used
has impressed me enough to warrant an endorsement. But Credit for
ACT! blew me away. I was so impressed with it and ACT! that I went
out and bought ACT! and removed Microsoft Outlook from my computer.
ACT! by itself is an amazing program and now with Credit for ACT!
you will think that you have another employee on your staff because of
all the time it will save you.
This program takes the information that is normally acquired in
credit investigation and creates a credit line and risk-rating
utilizing algorithms and formulas. In addition the credit reports that
you utilize are included in the analysis. Whether you use D&B,
Reimer, NACM or whatever, Credit for ACT! will customize your system
disk to include your credit-reporting agency.
Credit for ACT! can track all payment commitments, analyze
risk, create consistent credit lines, schedule follow up calls, set
annual credit reviews on accounts and remind you daily who to call and
what to do. It contains state of the art collection tools and includes
letters and memos you can fax, email or print without having to fill
out all the details because Credit for ACT! has already done it for
you. This is a system that any manager, regardless of skill level, can
review and easily determine why the credit amount was extended. This
is a system that no credit professional should be without.
Credit for ACT! contains customized reports, collection,
credit, bank and trade letters as well as reports that let you analyze
almost anything. This program is completely customizable, add
your logo, change colors and even add fields to fit your exact needs.
Credit for ACT! retails for $295.00. I am so impressed with
this product and feel so strongly that every manager should have it
that I have made arrangements with Stainless Solutions for readers of
this column to receive a purchase discount for a limited time.
Go to Bobís Website www.creditforact.com where you can download a
30-day free trial of both ACT! and Credit for ACT!. If you purchase
before May 1, 2003 and use the discount code CW3JM you will receive a
$30.00 discount off any of their products.
If you do not have ACT! or are not interested in changing databases
Stainless Solutions has a great product called Credit & Risk
Analysis that utilizes your specific industry ratios to properly
analyze both payment and / or financial information. It is an Excel
based program and will do all the credit scoring and risk analysis for
you but does not create reports, letters or provide for follow up.
If you sell direct to the consumer or are a large B2B business with
multiple locations that are linked by a database, Stainless
Solutions has a program for you also.
Your company cannot afford not to have this product.
I wish you well.
information is provided as information only and not legal advice.
Legal advice should be obtained from a competent, licensed attorney,
in good standing with the state bar association.