The credit squeeze has seen a reduction in the amount banks lend, the amount of trade insurance cover from credit insurers, and yes, I now have to admit, a decrease in the credit amounts Graydon offers in its credit reports.
I saw some analysis yesterday showing that between december 2007 and now, Graydon has wiped off around 2 billion pounds from our credit recommendations on Limited companies in the UK database.
But all this information doesn’t necessarily mean that the credit crunch equals a retraction in business. Some businessess are finding ways to trade out of the recession and grow at the same time by selling more to the right companies.
One of our clients in the stationery trade was telling me the other day about their tactics. Basically, they used a portfolio management tool from Graydon called e-patrol and matched all their customer credit limits from their sales ledger against all the credit recommendations Graydon has on the same buyers. Where there was an obvious gap between the two, particularly on all the low risk companies( as defined by Graydon), they automatically raised their customer credit limits and informed their customers accordingly.The result?…………………………………………………….a very positive reaction from some happy customers who started taking advantage of the higher credit lines. Where there’s a will there’s a way!!
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies