2 min read
Prevention comes first
Credit-check new customers, set clear terms, and avoid over-relying on one big account. Chase invoices the day they are overdue — see how to chase overdue invoices. Most bad debts are preventable with discipline.
Insure and bridge the rest
For large exposures, trade credit insurance can cover a customer default. And if a bad debt does bite your cash flow, short-term finance bridges the gap while you recover the position.
What it means for you
Credicorp lends to your company, not to you personally, and takes no personal guarantee. See business loans or apply online.
Frequently asked questions
Can I insure against customer non-payment?
Yes, trade credit insurance covers defined customer defaults, which can be worth it for large or concentrated exposures. Weigh the premium against the risk you carry.
What is the best protection against bad debt?
Prevention: credit-check customers, set firm terms, chase early, and avoid concentration. Insurance and finance handle the risk that remains after good discipline.
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.