Immediately from the start of their trade credit insurance policy, RCR Flooring was able to identify which customers were good or bad payers.
“It was the opposite of what we had been doing before”, said Jon. “Now if a new customer comes to us, we’re able to go online to see if they are a ‘good risk’ and in nine times out of ten, we get an instant decision from Euler Hermes. If a customer comes in and wants to buy from us but is from a country that we don’t have yet on the trade credit insurance policy, it’s amazing how quickly that can get added. Within a couple of hours, we can have that country covered.”
Now, trade credit insurance is so inbred in their systems that the first thing they do when they get a new customer inquiry is to get the customer credit-checked. It allows them to know if they are a good customer or potentially a bad one.