Credit Limits

CMS Registered Posts: 21 Dedicated contributor ? ? ?
Hello all,
Just wanted to ask a quick question. I am helping with a new start up company's account and I have a question about how much of a credit limit to give a customer. As far as we know it is a largish company with a good name and the order they want is a large one. How can we decide what credit limit to give them?

Any advise?



  • T.C.
    T.C. Registered, Tutor Posts: 1,448
    You should check their credit rating (if possible), get references from other companies who they have credit accounts with and also find out how much they are intending to spend on credit. That's a start anyway, hope that helps.
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