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"This is an export assessment both for assessment of credit and for our sales people to assess their customers even before it gets to looking at the credit stage" "I can see (Name) sitting in Tokyo having discussed something with a potential customer after a trade show and going back to his hotel room and doing his homework before he gets back out here and saying 'OK, I will give them 30 day terms or it has to be a letter of credit" "It shows you the combination of factors you need to get you to an acceptable risk level or the ultimate level" "It points you in the right direction. This will say, maybe I am overexposing myself, maybe I should renegotiate the terms" "It is bringing structure to assessing credit risk and that is positive because that is something people struggle with. They ask 'how do I assess credit risk?' and 'what benchmarks do I use to do it?'" "We do not need to assess credit risk because we have a Letter of Credit". NOTE : How good is the Bank that issued it? How good is the Bank that confirmed it? How confident are you that you can comply with every single detail? "We do not need to assess credit risk because we have export credit insurance". NOTE: Does your policy cover commercial disputes? Will the importer claim a dispute? Does your policy require the importer to be bankrupted before paying? How easy is it to bankrupt a company in the country you are exporting to? |
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