PROMOTION
Insure to be secure
EUROPLUS DIRECT LTD
Europlus Direct supplies IT warranty contracts globally. As the company grew and developed long-term business partnerships, it began to need to protect its transactions. Finance Director, Rob Jobbins explains: ‘Our business partners around the world now represent around 40% of our customers, compared with 10% a few years ago and this trend was the main driver for us to look into credit insurance.’ Europlus Direct chose Coface’s solution for SMEs. Domestic and export trade is protected against customer insolvency or non-payment, and debt collection and litigation support are available. Several factors convinced Rob: ‘Cover for our international trade; the competitive price; the online credit decision request service; and flexibility in extending the policy to a subsidiary.’
Coface, a leading trade credit insurer, offers SMEs insurance policies to take business forward
E
ntrepreneurs never stand still. For those who have launched a new business in recent years, it’s a good time to think about growth. The good news is that it is possible to increase sales without having to put your livelihood on the line.
If you were one of the record number of new start-ups in 2014, you are likely to be self-employed or in a partnership. However if your business is to realise its potential you will need to grow by reaching out to new customers.
REDUCE RISK
A worldwide leader in domestic and export credit insurance, Coface will advise at every stage of the life cycle of your business. It will help you to evaluate your company’s credit risks and make the right decisions for profitable growth
This is a critical phase in any company’s development. It has been estimated that half of all new businesses fail within the first five years and one of the chief causes of this is a shortage of cash. Amid the excitement of offering payment terms to new customers, don’t forget that you are particularly vulnerable to interruptions in cash flow caused by customer late payment or insolvency. To avoid becoming a statistic it’s best to work with experts who can help you protect your cash flow. For 70 years, Coface has enabled businesses of all sizes to grow their domestic and export trade safely through its credit insurance, credit assessment and collection services. A reputable insurer that operates in 99 countries around the world, Coface has access to financial information on 65 million companies so it can protect you against the risk attached to your existing and new customers.
Benefits to your business Coface’s TradeLiner is a new kind of credit insurance policy that offers your business three essential benefits: l Prevention of bad debts – Coface evaluates
each of your customers to make sure you are not trading with potentially bad payers. l Collection of unpaid invoices – Coface’s international network of debt collectors use
24020/303679 Coface DPS v2.indd All Pages
FARETRADE LTD
Faretrade, operating in the UK and western Europe, specialises in the redistribution of surplus stock on behalf of major manufacturers. As a trading business they can go through working capital quite quickly because they often need to pay for goods up-front and might not receive payment for two or three weeks. Director, Christian Bray explains: ‘We self-funded the company but we knew that its net worth could be depleted quickly if we were hit by bad debt and concluded that credit insurance was the best way to protect our cash flow.’ There were several reasons for choosing Coface’s solution for SMEs, explains Christian: ‘They have local underwriters in countries; their online service enables us to obtain instant pre-approved credit decisions; and we don’t feel we need to jump through hoops for a claim to be accepted.’
A customisable credit insurance policy, TradeLiner adjusts proactively to developments in your business effective techniques to collect your unpaid invoices. This means you can maintain and preserve your relationship with your customer. l Claims – Should collection take too long or fail entirely, Coface pays the loss you incurred from any unpaid invoices.
More than this, TradeLiner is a customisable credit insurance solution. You can choose from a range of options and services to enhance your protection, including cover against the following:
of unpaid debts, and when it is critical to your business, you can decide to have your claim paid earlier than normal. Protecting your balance sheet is just one of the advantages of having reliable credit insurance for your business. Additionally, by having your insurance with Coface, you’ll be reassuring potential investors that your company is financially sound which, as your business grows, will put you in a good position to borrow more or on better terms.
l Disputed debts. l Advanced payments to your suppliers. l Costs incurred when your customer becomes
insolvent before delivery. lS mall amounts on new customers you need not tell Coface about. l Exceptional losses. l Political risks and natural disasters. TradeLiner adjusts proactively to developments in your business. For example, if you have to deliver an urgent order to a customer and have no time to apply for protection, Coface will automatically backdate cover. In the event
M O R E I N F O R M AT I O N Visit www.cofaceuk.com or call 01923 478393 or email enquiries@cofaceuk.com Mention Your Business magazine.
16/09/2015 13:52