This practical seminar emphasizes on the most up-to-date and hands-on credit and collection strategies and techniques to help you accelerate your cash flow - and immediately improve your company's bottomline.

It gives you a solid understanding of the basic principles of managing credit and implementing a well-structured credit and collection system that fits the needs of your company and your clients. When you complete this program, you will be able to review or reorganize any accounts receivable program, in any kind of company.

In addition to this, you will get several forms, sample letters and worksheets to help you evaluate your department.

You will learn how to

1. Master credit management techniques that increase your profitability
2. Be proactive in credit collection
3. Analyze available financial data
4. Detect and prevent fraud
5. Analyze your receivable file and determine the best way to handle each type of account
6. Evaluate your current credit and collection system
7. Establish viable credit limits for clients to lower bad debts
8. Reduce the cost of delinquent receivables
9. Understand the terminology and procedures used in trade and collections
10. Apply simple steps to successful collection calls
11. Deal successfully with stressful "immediate decision" credit situations
12. Preserve your company's first-class reputation in the face of a client's slow paying practices

• Credit analysts, managers and executives
• Collection managers and their assistants
• Treasurers, Controllers, CFOs, auditors and bank loan officers

INTRODUCTION

• Cash Flows and its relevance to the survival and stability of a business
• The Cash Flow Cycle
• The impact of debtors on the profitability and liquidity of a business
• The significance of bad debts on the profitability and cash flows of a business
• The impact of opportunity cost of extending credit

• Sole-Proprietor/Partnership
• Limited Companies
• Charitable Organizations, Clubs and Associations
• Government Bodies

Fundamentals of an Effective Credit Management Policy

• Credit Period
• The normal terms of trade in the particular business
• The sensitivity of sales to increases in the credit period
• The credit ratings of customers
• Credit Limit
• Credit standards
• Cost of finance
• Discount policy

Basic Sources of Credit Information

• Registrar of Businesses (R.O.B.)
• Registrar of Companies (R.O.C.)
• Banker's report
• Information from credit bureau
• Trade references
• Sales personnel
• Other sources

• Determining credit limit
• Understanding the five Cs of credit evaluation
• Financial analysis
• Risk analysis
• Checklist for evaluating individuals
• Checklist For evaluating businesses
• Setting appropriate credit rules

• General
• Credit policies
• Collection procedures

• Basic rules of collection policy
• Stages of collection procedures
• Collection letters, fax and telephone calls
• The effectiveness of personal visits
• Spot payment delaying tactics
• Minimizing overdues

• Common types of fraud
• Detecting the early symptoms

• The various documents involved

The Various Ways of Debt Recovery

• Normal routine recovery procedures
• Collection through telephone calls
• Personal visits
• Use of outside agencies for debt collection
• The use Of psychological threats and 'strong arm' tactics

• Practical understanding of Malaysian legal system & jurisdiction of the courts
• The system of courts
• Legal action procedures
• Letter of demand
• High Court procedures

• Attachment (With seizure & sale of goods)
• Garnishment
• Petition For Winding Up (for limited company)
• Bankruptcy Proceeding
• Judgment Debtor Summon (for limited company)

• The more intelligent use of litigation procedures for faster debt recovery
• The use of Summary Procedures to strike off lame excuses and defenses
• The Use of Section 218 Petition for winding up procedures

• Poor documentation
• Ambiguous sales terms and conditions
• Third party transactions and cheques
• Unfavorable terms and conditions in contract documents

• Time Bar
• Withholding action pending negotiation of court settlement
• Speeding up the communication between the various parties to reduce unnecessary delays
• The Impact of Section 176 On Debt Recovery

• The art of negotiation with debtors