Credit for customers.

5 replies

sunnysideurp · 12/04/2023 00:02

I run a small business, and have recently thought about the opportunity to provide my customers with a credit option.

There are lots of companies online providing this service, but wondered if anyone had any recommendations? I am worried about choosing a company with the wrong fit for my business and my customers.

Thanks in advance.

OP posts:

Jumpingvert · 14/04/2023 22:52

We work with a company called Shermin Finance

Original poster

sunnysideurp · 15/04/2023 00:40

Thanks for the recommendation, JV. Do you rate them?

OP posts:

Jumpingvert · 15/04/2023 07:37

We haven’t had any negative feedback but it’s a fairly new relationship.
If you want to PM me I can put you in touch with someone there who might be able to help

filka · 15/04/2023 08:03

Do you think this will help you to get sales that you would not get without offering a credit option? Otherwise there isn't really any point...

And is there any cost or risk for you? Is there any comeback on you if the debt goes bad? That would need to be measured against the extra sales that you might achieve.

Jumpingvert · 15/04/2023 08:17

filka · 15/04/2023 08:03

Do you think this will help you to get sales that you would not get without offering a credit option? Otherwise there isn't really any point...

And is there any cost or risk for you? Is there any comeback on you if the debt goes bad? That would need to be measured against the extra sales that you might achieve.

Credit CAN help you get more business in some circumstances (I just wrote a piece on it for our company website). If you outsource then you don’t have to be regulated in the same way, you are an introducer. You can offer it yourself but then you have to be FCA regulated. If you outsource it won’t be you chasing the debt either if there’s an issue.
Its not a good idea in all cases to offer credit but it can work if done correctly and create more revenue

Flip