Business Credit Insurance
Delinquent customers can affect a company’s cash flow.
The following graph shows us the percentage of clients with payment delays on invoices issued during 2019 by Mexican companies:
Credit insurance covers non-payment or late payment of national and / or international accounts receivable. The objective is to protect one of the main assets of companies: accounts receivable.
- Risk prevention through monitoring and surveillance of debtors.
- Collection of overdue accounts by amicable or extra-judicial means.
- Compensation for non-payment due to long arrears or insolvency.
- Domestic: covers the sales of Mexican companies in national territory
- Export: covers foreign sales made by Mexican companies
- Commercial riskl:
- Insolvency: when the debtor declares bankruptcy
- Long delay: payment delay
- Disappearance of the client
- Political risk:
- Non-transferable currencies
- Embargo
- Cancellation of Import licenses
- War, among others
- Increase in commercial volume.
- Guarantee of financial profitability thanks to the prevention of defaults.
- Ease of obtaining financing (factoring or banking).
- Reduces financial reserves of the company for uncollectible accounts.
- 100% tax deductible.
- Credit discipline is acquired
Overdue Portfolio Recovery
With a company specialized in credit insurance and commercial risk management, and with an insurer experienced in debt collection worldwide, with legal and extrajudicial expertise in over 200 countries designed to act quickly and effectively. We have representatives in each country who possess the expertise to negotiate and recover debts. Our service allows you to monitor each case 24/7 through an online platform.
Advantages of the Collection Management Service:ue
- Enables the company to focus on its core business activities by delegating time- and effort-consuming debt collection procedures to us, as a specialized collection agency.
- We collect debts from the debtor's country, in their language, with full knowledge of the country's economic and legal environment, optimizing results.
- Collection management of both domestic and international debtors under a single contract.
- Highly competitive rates for the recovery of unpaid debts.
Requirements to Contract the Service:
- Debt must not be older than 2 years (the age of the debt is calculated based on the date of the oldest invoice).
- Minimum value to report: USD 5,000 or MXN 100,000.
- No prior legal process in place.
- Proof of Tax Status (Constancia de Situación Fiscal).
- RFC (Federal Taxpayer Registry).
- Legal Representative's ID.
- Proof of address of the contracting party.
