We found an interesting introductory article on the concept of risk based pricing from what seems to be an ex pat South African, Brandan Le Grange, who works for Experian in Scandinavia and is credit risk professional:
“….Risk based pricing strategies seek to assign a fair price to each customer – or, more accurately, to each group of customers.  The measured difference in risk between each customer is used to assign differentiated prices.  The logic is that operationally every customer costs the same to service, it is only the cost of risk …

We picked up the following short comment on World Credit Management, Collections and Risk Forum on Linkedin.com by Abe Walking Bear Sanchez, the President of  American company A/R Management Group, Inc., a consulting and training company specializing in credit and collections as a profit center.
“Forget the traditional organization chart with branches that in turn branch off and so on. Instead of organizational charts think of totem poles…the carved columns erected by the Native Americans of the Pacific Coast. Totem poles are representations of men and animals and of their relationship.
Now forget about corporate …

We have in previous articles pointed out the importance of a suretyship as security to a creditor, given that with the limited liability of companies and close corporations creditors can often find themselves in an undesirable position when it comes to debt recovery.
To recap, a ‘suretyship’ is an accessory contract whereby a person (know as the surety) undertakes to the creditor to perform the principal debtors obligation should the principal debtor fail to perform. In most instances the person signing on behalf of the close corporation or company can be …

We have in previous articles pointed out the importance of a suretyship as security to a creditor, given that with the limited liability of companies and close corporations creditors can often find themselves in an undesirable position when it comes to debt recovery.
To recap, a ‘suretyship’ is an accessory contract whereby a person (know as the surety) undertakes to the creditor to perform the principal debtors obligation should the principal debtor fail to perform. In most instances the person signing on behalf of the close corporation or company can be …

Stats SA has released the statistics for liquidations in South Africa up to January 2009.
The figures tell the effects of the decline in the economy and the resultant dramatic increase in the number of businesses, particular small businesses trading as close corporations, failing.
From a credit providers perspective these figures confirm what we have been advising clients for quite a while now – tighten up on your credit granting procedures and increasing credit vetting of your existing clients.
The effects on the South African economy at this stage indicate increased liquidations …

5 Key Aspects to help your company survive the economic downturn
With the current economic downturn, the importance of good credit management has been magnified and all companies credit management policies and procedures need to be reviewed and upgraded in order to avoid your company becoming a statistic of the poor economy.
The seminar will be an overview for Commercial Creditors. This is a half day seminar in DURBAN on the 12th FEBRUARY 2009 and CAPE TOWN on the 16TH FEBRUARY 2009, at 8.30am for 9am. It is aimed at commercial creditors …

5 Key Aspects to help your company survive the economic downturn
With the current economic downturn, the importance of good credit management has been magnified and all companies credit management policies and procedures need to be reviewed and upgraded in order to avoid your company becoming a statistic of the poor economy.
The seminar will be an overview for Commercial Creditors. This is a half day seminar in DURBAN on the 12th FEBRUARY 2009 and CAPE TOWN on the 16TH FEBRUARY 2009, at 8.30am for 9am. It is aimed at commercial creditors …

Getting payment out of the state is an extreme challenge for creditors at the best of times. But those creditors dealing with public schools as debtor should be even more cautious.
This is in light of the case of BASTIAN FINANCIAL SERVICES (PTY) LTD v GENERAL HENDRIK SCHOEMAN PRIMARY SCHOOL (SCA), the judgment of which was delivered in May 2008 by the Supreme Court of Appeal, the highest court in the country on non-constitutional issues . While there is a minority judge, Hurt JA, who decided that the state …

An article from Frank Knight at Debtsource :
Companies differentiate themselves from their competitors through strategic drivers. Price, quality, product and service are the usual candidates companies focus on to beat the opposition. Credit as a competitive advantage usually doesn’t make it to the agenda of the strategy session. But, is there more to credit than meets the eye, and can credit indeed be considered a competitive advantage?
In the world of consumer credit, credit as a competitive advantage is a very well established practice. Some of South Africa’s largest retailers do …

Bentley Credit Control (Pty) Ltd, in line with their efforts to offer clients the complete debt collection and credit management solution have added a new service to their range of client services, outsourced credit management.
Tom Peters, the management guru, has said “Do what you do best and outsource the rest”.
In the modern economy outsourcing has become of one of the tools of choice of progressive companies wanting to leverage themselves to a more profitable and better service. Outsourcing is utilised by multinationals corporations down to small businesses to ensure better …