Once a small business has established a firm written credit policy and has clearly communicated it, the next step in building an effective credit policy is to ________.
A)send invoices promptly
B)determine what percentage of sales are being written off as bad debt
C)create a simple credit application
D)create a "tracking file" of events

Question

Quizplus · Accepted Answer

Sending invoices promptly is crucial as it ensures that customers are aware of their payment obligations and timelines, which helps in maintaining cash flow and enforcing the credit policy effectively.

Once a Small Business Has Established a Firm Written Credit