Credit information is indispensable for good operations
Sound business management starts with knowing who you are doing business with. Especially when you deliver on credit, it is crucial to know whether a buyer is able to pay. But credit information goes beyond payment behaviour. Understanding shareholders, directors, a company's lifespan, incidents and growth trajectories is just as important.
Customer case: specialist paper and board manufacturer secures rapid growth with new financing
In the dynamic world of the paper and board industry, where flexibility and quick adjustments to market demand are crucial, a leading producer of specialist paper and board recently faced a challenge. A combination of a growing order book and necessary investments in advanced production technology created an acute need for additional working capital.
Important change for Belgian credit insurers: VAT refund in case of bankruptcy disappears from 1 January 2025
From 1 January 2025, new regulations will come into force in Belgium that will directly affect companies with credit insurance. Whereas until now it was possible to reclaim VAT after a customer's insolvency, this will soon come to an end. This change will impact both Belgian companies and Dutch principal insured companies with Belgian branches under a group policy.
E-invoicing: start on time!
Everyone wants fewer rather than more rules, but it seems we are getting more and more rules imposed by the government but certainly also the EU. And there will be new regulations on how companies should invoice. Within a few years, this must be done entirely digitally and processed directly in administrations.
What should you report to your credit insurer if a customer is in WHOA proceedings?
The WHOA allows viable companies to restructure unbearable debt before it comes to bankruptcy. If creditors holding two-thirds of the outstanding debt agree to the arrangement, the court can force the remaining creditors to join in. Different categories of creditors may be treated differently. This allows the entrepreneur in dire straits, for example, to pay financiers less or later than suppliers. As a supplier, you then continue to supply and so the company does not run out of stock.
Economic uncertainty and the liquidity position of companies
The world is currently in turbulent times. Conflicts in the Middle East and Ukraine continue, while in the United States a president is in power who is restructuring international trade based on his own vision of economic justice. The result is a global economy under pressure, in which uncertainty seems to be the rule rather than the exception. This instability has a direct impact on business, especially on the liquidity position of companies.
Turbulent times and an uncertain future
Who would have thought a few years ago that the world order would change so drastically? Whereas the United States, Western Europe, Canada and other Western countries were loyal allies for years, relations now seem to have shifted dramatically. On 2 April last year, Trump declared Liberation Day. In doing so, he announced hefty import tariffs: on a wide range of countries, including the European Union (20%). In fact, all foreign cars are subject to a tariff of 25%.
Protect your business with credit insurance: security in uncertain times
For any entrepreneur, control over financial management is not a luxury, but an absolute necessity. You deliver products or services with confidence in the agreements you make, but what happens when a customer does not fulfil his payment obligations? Or when that same customer unexpectedly goes bankrupt? In such situations, credit insurance provides an effective safety net, not only protecting your company from direct financial loss, but also structurally better prepared for unforeseen circumstances.
Insight and protection
International trade brings opportunities, but also challenges. One of the big risks you face is currency risk. Fluctuations in exchange rates can significantly affect your profit margins. In addition, external factors such as political events, economic instability or legal measures in your trading partner's country can delay or even block payment of invoices.
Different solutions to get full limit
Sometimes an insurer approves a credit limit application only in part. However, many companies want the full credit limit covered. Especially for those companies, the Top Up policy has been introduced.
