The speed of business in the PHCP and PVF wholesale industry can be blazing fast, with materials flying in and out of the doors faster than most credit departments can handle. Deciding who can have company credit, how much credit and when to pull the plug are daily decisions that impact the bottom line.
A company’s success at managing credit and collections processes depends on its written credit policy. But many credit policies overlook the construction industry’s most effective cash protection devices: mechanics lien and bond claims. Here’s why lien protection is so important and how it fits into a company’s credit policy.