{"id":56,"date":"2015-04-09T17:08:30","date_gmt":"2015-04-09T16:08:30","guid":{"rendered":"http:\/\/churchillrecoverysolutions.co.uk\/blog\/?p=56"},"modified":"2015-06-08T12:09:56","modified_gmt":"2015-06-08T11:09:56","slug":"uk-smes-less-likely-to-go-under-if-they-credit-check","status":"publish","type":"post","link":"https:\/\/churchillrecoverysolutions.co.uk\/blog\/uk-smes-less-likely-to-go-under-if-they-credit-check\/","title":{"rendered":"UK SMEs Less Likely To Go Under If They Credit Check"},"content":{"rendered":"

With some businesses it\u2019s necessary to extend a line of credit to clients and customers. This is fine if those customers have a good credit rating but what happens if a company is concealing their financial problems? <\/p>\n

The answer to this is that companies are more likely to go out of business in their first year if they don\u2019t credit check than if they rely on a handshake and a promise. This is according to analysis from Fintech start-up Ormsby Street. CreditHQ , their free credit check tool helps businesses find out if customers have credit difficulties. <\/p>\n

The data collected revealed that companies are 30% less likely to go out of business in the first 12 months if they take the simple step of running a credit check. <\/p>\n

The problem for startup businesses dealing with late payers is that it can have a catastrophic impact on cash flow. Without regular cash flow a business will soon lose the ability to extend credit terms and eventually run out of options that will allow it to continue trading. <\/p>\n

To prevent this happening, it is a good idea not only to credit check customers but also keep on top of company accounts. Even customers with good credit ratings can miss payments or refuse to pay bills from time to time. <\/p>\n","protected":false},"excerpt":{"rendered":"

With some businesses it\u2019s necessary to extend a line of credit to clients and customers. This is fine if those customers have a good credit rating but what happens if a company is concealing their financial problems? The answer to this is that companies are more likely to go out of business in their first […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[68],"class_list":["post-56","post","type-post","status-publish","format-standard","hentry","category-churchill-recovery","tag-churchill-recovery"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t