Business Risk Decission
It is important that the professional lender remains objective, avoiding the temptation to become emotionally commited to other than providing a service. The borrower may well have been planning the project over a long period and expects an inmediate answer... however, the lender must take the time necessary to reach a lending decission, it is not in the interest of either party to get it wrong...
The decision must been taken following certain principles and structure:
Take a look at the diagram for more on this process.
from Alejo Lopez Casao - Blog http://ift.tt/1LeEOxP
Tags: IFTTT, blog, published, web
January 27, 2015 at 04:43PM
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5 calculations no Credit Manager should do by hand
A credit manager wants to achieve maximum results – visible through measurements and metrics. Daily measurements showing the financial health of your receivables portfolio and how your team is performing against their targets are essential in order to stay on track.
However, most of them mean collecting information from various systems topped up by hours of Excel building. That´s why a good system or credit software might be of handy.
1. DSO - Days Sales Outstanding. It’s a measure of the average number of days your team takes to collect revenue after an invoice has been sent. A relatively high DSO typically indicates that an organisation has a customer portfolio with credit challenges or a collections team that is underperforming. A low DSO can come from a high performing team, but also be a signal that credit policies are too tight which could impact an organisation’s competitive position in the longer run. There are several ways of calculating DSO, but in general it tells you:
2. Ageing Invoice, how long the invoice ages (like wine ages, but in this case it turns in vinager) before the customer pays an invoice. The ageing should be as low as possible of course. The oldest invoices (and largest) are the biggest worry for a credit manager. Not only for it will become more and more difficult to recover but also for how much money (interest, margin,..have you already missed on these unpaid invoices).
3. Historical payment period The historical payment period shows an average over the whole of last year. So the more invoices the customer has paid, the more accurate this number becomes since it’s a weighted average.
4. Customer Score. Based on data which comes from payment behaviour, from external systems or even third party data sources. An example is a sudden change in a customer’s payment behaviour which could be an early warning signal of bigger problems. Taking proactive action can help prevent bigger issues in the future.
5. Interest and Cost - Both for internal reference (what is this open invoice actually costing me?) and external reference (dear customer, please be informed that this is what this open invoice is costing me) it’s a great calculation.
Tags: IT, published, Accounting, business, risk
October 19, 2015 at 12:37PM
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When you are working as credit analyst, you have to learn to say no from time to time and say yes some other times, and always to decide and convince with limited information.
Rentas percibidas por los administradores
últimos cambios adoptados por Hacienda, respecto a la calificación de la rentas de los administradores de sociedades mercantiles
As you become more proficient in Excel, you will that a very common task is looking up values in tables. For example, you may have a table of part numbers and unit prices. A simple lookup function, such as VLOOKUP or HLOOKUP can return the unit price for a specific part number. These functions are well documented in the on-line help files, and won't be discussed here.
Licenciado en Empresariales soy por lo tanto un empresologo...y he trabajado como morosologo, analista,...