How to Write a Credit Policy for Your Business

The book, "Become the Squeaky Wheel," by New Hampshire author Michelle Dunn, says the different ways people use and extend credit makes or breaks your credit policy and bottom line, which could result in less or more sales and money for your business.

"Business owners all have different types of businesses but can all extend credit," explains Michelle Dunn. "So it should only make sense that no two credit polices can be the same."

Dunn explains that one major difference is if you have a service or retail business. Your credit policy should use multiple facets to cater to prospective customers but also protect the business owner.

"You are limited in what you can and can't ask a prospective customer in order to extend them credit," says Dunn. "Business owners need to be aware of what these questions are and what the laws are before they create their credit policy." Your credit policy helps to filter customers so you don't have to spend your time chasing your money. Your best policy will be short, easy and to the point, it will avoid long-winded statements and a lot of legal or big words. Always create your forms with the reader in mind, the easier and clearer the better.

Michelle Dunn has over 17 years experience in credit and debt collection. She is the founder of Never Dunn Publishing, LLC, is a writer, consultant and the Editorial Advisor for Eli Financial Debt Collection Compliance Alert Newsletter. Michelle started M.A.D. Collection Agency and ran is successfully for 7 years. She also owns and runs Credit & Collections.com an online community for credit and business professionals.

She has written 5 books in her Collecting Money Series. She is currently writing a book for the Streetwise Series, part of the Adams Media Corporation. In addition to writing and marketing her books, Michelle moderates and runs Credit & Collections.com and was a member of The American Collectors Association for 9 years. Visit http://www.michelledunn.com or http://www.credit-and-collections.com for more information on any of Michelle's books or services.

In The News:

Export Opportunities For Small Businesses And Help For Getting Started  ForbesExporting is one of the best ways to grow any business—small, medium, or large. Fortunately, there are plenty of resources available for the wannabe exporter.
Workshop aids small business owners  Santa Cruz SentinelSANTA CRUZ — Small businesses are one of many things that bring life to Santa Cruz County. Full of entrepreneurs, artists and other creative ventures, small ...
2019 Small Business Outlook Survey Shows High Optimism  Business WireQuickBridge survey shows small business owners are confident about their future growth prospects.
What is Cash Flow and Why is it Important for Small Business?  Small Business TrendsSmall Business Trends contacted several experts to get an answer to, "What is cash flow?" and why it's so important to your success.
New ThinkPad L390 Series Laptops Designed for Small Business Users  Small Business TrendsThe New Lenovo ThinkPad L390 Series are now more affordable for small businesses. Here's what they offer for an affordable price.
From beer to planes, small businesses feel shutdown pain. Here's how to get some financial wiggle room  CNBCMany non-government-related small businesses are feeling the effects of the federal shutdown, as the processing of necessary paperwork comes to a halt.
Small Businesses’ $2 Billion Problem: Government Shutdown Leaves Loans in Limbo  Wall Street JournalThe Small Business Administration has stopped approving routine small-business loans, forcing some entrepreneurs to consider costlier sources of cash.
Five small business trends for 2019  IOLGiven the state of the economy and the rapid change in the business environment, 2018 was a tough year for many SMEs.
Intuit QuickBooks and GIPHY Team Up to Celebrate the Small Business Community in “BACKING YOU” Campaign  Business WireIntuit QuickBooks unveils first GIF collection specifically designed for small business owners and independent workers, featuring Danny DeVito.
Boostpoint Launches Open Beta Stage Digital Ad Solution for Small Business  PRNewswireLANCASTER, Pa., Jan. 17, 2019 /PRNewswire/ -- Building a brand name isn't just for big businesses with big budgets. Boostpoint has launched the open beta ...
7 tips to make your small business an Instagram star  USA TODAYGet out your pink paint. Or your coral, or yellow or teal. By the time you finish reading this column, you're going to be painting one wall of your small business a ...
Small Business Adds 89K Jobs in December 2018  Small Business TrendsAccording to the December 2018 ADP Small Business report, small business employment numbers skyrocketed with 89K jobs added during the month of ...
Small business outlook for 2019 in the Monadnock Region  Monadnock Ledger TranscriptFunding and the lack of population density in rural communities remain as some of the largest challenges for those looking to start small businesses in the ...
Square unveils new debit card for small-business customers  MarketWatchSquare Inc. on Thursday announced a new debit card for small-business owners, a move that enables the fintech company to further participate in the ...
GoL, LBDI Sign US$2M Small Business Pro-poor Development Loan Scheme  Liberian Daily ObserverThe Government of Liberia through the Ministry of Finance and Development Planning (MFDP) along with Ministry of Commerce and Industry (MoCI) and the ...
Interests of Big and Small Businesses Are Sometimes at Odds  Hawaii Business MagazineBig businesses generally have greater infrastructure and management depth that allows them to delegate specific issues (like labor law, contracts and taxes) to ...
Announcing the “New” BizSugar, Here's a Sneak Peak  Small Business TrendsWe're excited to announce some big news about our sister site BizSugar.com. There's a brand new BizSugar! Here's what you can expect.
N.S. tax credit to boost startup, small business investment  TheChronicleHerald.caNova Scotia has launched a new tax credit aimed at spurring more investment in startup companies and small- and medium-sized businesses. Effective ...
Small Business Social Media Do’s and Don’ts  Business 2 CommunityWhen you compare your social media statistics to your competition what are you measuring? Do you consider the accounts with the highest number of people ...
Cañon City in top 10 for Small Business Revolution  KOAA 5CAÑON CITY – A Southern Colorado city is in the top 10 for a contest that aims to revitalize small towns across America. The Small Business Revolution ...
Timing, planning key for small-biz tax considerations  Cleveland Jewish NewsWhen the new year rolls around, many individuals have their minds on taxes. But for small businesses, tax planning is often a year-round endeavor.
Want To Keep Your Business Small? Paul Jarvis Is Your Man  ForbesTell your entrepreneurial friends you want to turn your business into the next Epic Games, Magic Leap or Instacart and you'll get plenty of social reinforcement.
Roundup: Entergy refunds / Small business loans / Offshore tops onshore shale  Greater Baton Rouge Business ReportDollars and cents: Entergy customers in Louisiana will receive refunds on their power bills in January, February, and March after the Louisiana Public *Service* ...
Opinion: GOP Efforts to Undermine Obamacare Threaten a Small Business in La Jolla  Times of San DiegoInvalidating the Affordable Care Act pushes our healthcare system to the brink and threatens hundreds of thousands of small businesses.
Three online tips for small businesses  IOLIn a time when most people make purchasing decisions while browsing their smartphones, business owners cannot afford to not be online.
Alternative funding solution to Brexit finance problems for small businesses  http://smallbusiness.co.ukSmall businesses may be feeling the uncertainly of Brexit but financiers are focussed on the sector to survive and grow.
5 Easy Steps to Start a Freelance Business  Small Business TrendsStarting out as a freelancer? Here's what you need to budget for right away so you can find success with your freelance startup.
Starting a Small Business in China  China Economic ReviewChina is a country with an economy that is growing and developing quickly, and it's viewed as one of the strongest economies in the world, second only to the ...
Small business owner adopts the families of two government workers  ABC Action NewsAs federal workers struggle to pay the bills during the ongoing government shutdown, one small business owner in Pinellas County is stepping in to help two ...
New Facebook Small Business Podcast 3.5 Degrees Launches Today  Small Business TrendsThe new Three and a Half Degrees podcast launched today by Facebook aims to pass on unique small business learnings that can help other entrepreneurs.
9 Tools for More Effective Content Marketing Campaigns in 2019  Small Business TrendsThese days a digital marketer has to balance social, *content*, email, and other inbound marketing tactics. Here are 9 *content* tools to help.
Conflicting Research Leaves Doubt Over Small Business Confidence  pymnts.comNew research presents a conflicting and complex picture of small business optimism as hiring plans, economic outlook and political uncertainty change.
Victorian Small Business Commission launches its first video conference mediation  The Border MailVictorian Small Business Commission launched its first video conference mediation.
Turning Pointe Academy receives Small Business of the Year Award  Journal & CourierTurning Point Academy was awarded the 2018 Small Business of the Year Award Wednesday night during a ceremony held at Midtowne Oven.
Hermann Wurst Receives Small Business Award — By Hermann Chamber of Commerce  The MissourianThe Hermann Area Chamber of Commerce awarded Hermann Wurst Haus the Distinguished Small Business Award Jan. 10 at the Gerald Engemann Memorial ...
WKU TOUTING SMALL BUSINESS ACCELERATOR  WCLUWestern Kentucky University in Glasgow is excited to announce their new Student Business Accelerator. Often times, students plan on becoming entrepreneurs ...
Small Business Forum – presented by BizTimes Media  BizTimes.com (Milwaukee)In this new event, local and national business owners will speak candidly about growing and building small businesses. A keynote presentation by John ...
Small business revenues fall as govt shutdown persists  WTOPSmall companies across the country are losing business because of the shutdown. Federal contractors, especially those who rely on the government for most of ...
Entrepreneurship and Small Business Critical in Diversifying W.Va.'s Economy  West Virginia Public BroadcastingJohn Deskins, Director of the West Virginia University Bureau of Business and Economic Research, joins host Suzanne Higgins for a discussion on the state's.
Federal shutdown impacts millions in local small business loans  Cincinnati Business CourierAlice Boykin had secured financing through banks and HCDC to buy an Over-the-Rhine building and open up a first-for-Cincinnati Japanese spa with plans to ...
6-billion-peso credit package announced for small business owners  Mexico News DailyPresident López Obrador has announced a microfinance program of interest-free, one-year loans for small business owners.
Durant welcomes Small Business Revolution co-host and team  KXII-TVDURANT, Okla. (KXII) -- The city of Durant is in the running to be featured in an online show where several small businesses downtown would get a half a million ...
How 2020 Presidential Hopeful Kirsten Gillibrand Has Fought for Small Businesses  Inc.Kirsten Gillibrand thinks she can defeat President Donald Trump in 2020. No, it's not too early to skim her résumé for indicators of her understanding of key ...
Cañon City to host rally as part of Small Business Revolution and you're invited (#mycanoncity)  Canon City Daily RecordIf you haven't heard what all the buzz is about downtown, you might want to consider binge watching the Small Business Revolution - Main Street series online ...
Description of the Small Business Investment Company Debenture Program - January 2019  JD SupraA Small Business Investment Company (SBIC) is a privately owned and operated company that makes long-term investments in American small businesses and ...
Canadians bring solar power to off-the-grid Africa  The Globe and MailA schoolchild reads with the help of a solar-powered light. M-Kopa customers in Tanzania, Kenya and Uganda pay for their solar panel units in small increments ...
New Rules for Small Business Government Contractors | McGuireWoods LLP  JD SupraOn Dec. 17, 2018, President Trump signed the Small Business Runway Extension Act of 2018 into law. It amends § 3(a)(2)(C)(i)(II) of the Small Business Act “by ...
Tributes to the voice of small business in Mid Devon, Chris Prentis  Devon LiveHe pioneered the concept of the garden trampoline, bringing them to the UK with his Supertramp business.
Can Alexa for Business Help Your Small Business?  Small Business TrendsThe Amazon Alexa for Business *service* allows employees to streamline and automate work production and carry out certain tasks from home or other locations.
Small business owners work 17 days’ overtime per year  HR NewsSmall business owners in the UK work an average of 2366 hours per year in order to make their business a success, compared to 1950 for an average UK.
Alternative Small Business Finance Provider Capify Receives £75 Million Credit Facility From Goldman Sachs  Crowdfund InsiderCapify, a UK-based alternative small business financing provider, announced on Thursday it received a £75 million credit facility from Goldman Sachs Private ...
What Congress Giveth to Small Business, the SBA Says Not So Fast  JD SupraIn our December 26, 2018 blog post, we addressed the Small Business Recovery Extension Act of 2018, by which Congress extended to five years the lookback ...
Love Or Hate Glitchy Chatbots, There Are Big Benefits For Small Businesses  ForbesWhether you're checking out a website or logging into your bank, chatbots are often clamoring for your attention in the corner of your screen, promising help and ...
Small Business Contributes to Massive Christmas Season on Amazon  Small Business TrendsThe final 2018 holiday season sales on Amazon was one for the record books. And small and medium businesses contributed to more than 50% of the items ...
The Federal Government Shutdown Is Blocking Almost $200 Million in Small Business Loans Per Day  Inc.With each new day of the government shutdown, hundreds of additional small business owners are left without a crucial source of capital.
Starting a small business in UAE? Here are the many costs to consider  gulfnews.comSmall business owners run their business out of their understanding and experience. However, certain avoidable wrong practices or an inadequate ...
Chamber of Commerce Small Business of the Year: SPARK45 ignites passion for health and wellness  Coastal View NewsThe Carpinteria Valley Chamber of Commerce will award SPARK45 Small Business of the Year honors at their annual Community Awards Banquet on Jan. 26.
5 Retail Lessons from Holiday 2018  Small Business TrendsThe holiday shopping season is in our rear-view mirror. Get ready for 2019 with these lessons from the 2018 holiday retail trends.
SFA welcomes funding to support small business develop ecommerce platforms  Mayo AdvertiserThe SFA welcomes the announcement to support a further 3000 small/micro businesses with funding and training to develop their online capabilities in 2019 ...
Irish Small firms are struggling with recruitment General, news for Ireland, Ireland,StartUps,  Business WorldThe Small Firms Association (SFA) today launched a new online platform as part of its National Grow, Scale, Succeed campaign to empower small firms to ...
Sandia Labs ups small business spending in New Mexico  Albuquerque Business FirstSpending with small New Mexico firms jumped by nearly $50 million in FY18.
Koleen Hassey: As town prepares for 'Small Business Revolution,' please take down boards  Canon City Daily RecordTo the building owner at Fourth and Main streets: With the competition for "the Small Business Revolution" heating up, now is the time to join the community and ...
10 Tips for Learning and Growing as an Entrepreneur  Small Business TrendsShares. |. Print This Article. Email this Article. 0. Shares. Email this Article Print This Article. Successful entrepreneurs know the importance of lifelong learning.
Small Business workshop | Local Business  The Trinity JournalThe Small Business Development Center will hold a free Financial Management Workshop from 5:30 to 7 p.m. Tuesday, Jan. 29, at the Shasta College Trinity ...
Small businesses thrive in East Nashville  WKRN News 2As East Nashville evolves, some people are being pushed out of the area to make room for the new, but some local businesses remain constant.
Government shutdown leaves breweries, small businesses in limbo  Dayton Daily NewsAs the partial shutdown of the federal government enters its 25th day, the closure has created a small backlog of Small Business Administration loans, affecting ...
Main Street weathers government shutdown—for now—but small businesses start to feel pinched  CNBCAs the U.S. government shutdown enters its third week, on the verge of becoming the longest in history, Main Street is getting creative to stay afloat.
Amazon's Relationship with Small Business Owners: Is the Platform Beneficial?  Atlanta Small Business NetworkIn light of the recent Amazon Growth program, small business owners have to decide if the platform's benefits outweigh the potential costs.
Small business government shutdown cheat sheet  Fox BusinessSmall business owners share tips to survive the partial shutdown.
The Top Five Small Business Trends To Monitor In 2019  ForbesAs we welcome 2019, attention is shifting to what's on the horizon for small businesses in the year ahead. The reality is that the nature of work is evolving. During ...
Small-business tax deduction has CPAs scratching their heads  Star TribuneNEW YORK — Millions of small business owners will be in uncharted waters this tax season as they try to determine if they qualify for a deduction that could ...
Wix Ascend Launched to Help Small Businesses Grow Their Brand  Small Business TrendsWix Ascend helps SMBs directly connect with customers with new tools such as SEO, price quotes, marketing, and live chat with customers.
NJCPA Supports Governor Murphy's Drive to Foster Small-Business Growth But Not Full Minimum Wage Rise  InsiderNJNJCPA Supports Governor Murphy's Drive to Foster Small-Business Growth. But Not Full Minimum Wage Rise. Statement by Ralph Albert Thomas, CPA (DC), ...
Small businesses across Ontario have bumped up their minimum wage  Daily HiveOntario businesses that offer staff $15 minimum wage, alongside (at least two, often more) paid sick days and fair scheduling are growing in number.
Jacksonville small businesses bearing brunt of government shutdown  Jacksonville Business Journal"It reminds me of consulting we had to do in '08 and '09," said Janice Donaldson, regional director of the Florida Small Business Development Center at UNF.
LendIt Fintech Releases New White Paper on Small Business Banking  Lend AcademyMuch has been written about the innovations in consumer banking and how fintech has changed the retail banking landscape dramatically in the past decade.
Evernote Promises To Fix A Long List Of Problems...And Other Small Business Tech News This Week  ForbesHere are five things in technology that happened this past week and how they affect your business. Did you miss them? 1 — New Evernote CEO vows to spend ...
'Downward spiral': Push for training, apprenticeships rethink  The Sydney Morning HeraldSmall businesses are seeking a national blueprint for workplace training and apprenticeships in 2019 amid claims business owners are being forced to do more ...
Research reveals third of Manchester’s small businesses at risk of overpaying tax  Business Up NorthA tax-return software provider has revealed that, with just two weeks to go, almost a third (29%) of Manchester's small businesses are still yet to submit their ...
Budget 2019: For These Small Businesses In Gujarat, Loans Take Far Too Long  BloombergQuintDelayed loans and late subsidy disbursal make business difficult for small and medium manufacturers in Gujarat.
Working with McConnell: Contracting opportunities at Wichita’s military city  Wichita Business JournalRecurring contracts at McConnell Air Force Base represent millions of dollars in potential value for Wichita businesses.
Google Maps deterring outback tourists, say small firms  BBC NewsTourism operators in Australia claim inaccuracies in Google Maps are deterring potential visitors, by making remote attractions appear further away than they ...
Small Business Real Estate Platform Truss Raises $15M  American InnoChicago startup Truss, a commercial real estate platform that helps small businesses find office space, just raised a new round of funding to grow its technology.
How to Survive a Government Shutdown: A Guide for SMBs  Business.comHere's how your small business can survive a protracted government shutdown and overcome the cash flow challenges associated with it.
The Brexit Effect: How Will Small And Medium Sized Businesses Cope?  ForbesBrexit for many has been nothing but doom & gloom; thus prevented people from making necessary decisions; i.e. business expansion , buying property etc.
GST burden on small businesses eased  The HinduThreshold for businesses in most States doubled to ₹40 lakh; small firms allowed to file annual returns.
Minimum Wage 2019 -- What's the Law in Your State?  Small Business TrendsDid you know that 22 states raised their minimum wage 2019 rate rules? Here's a rundown of where each state stands currently.
Trends for Small Businesses to Leverage in 2019: Voice and Philanthropy  Small Business TrendsThese 2019 small business trends are going to be important for owners to consider, especially how they impact customer engagement and employee ...
Small Business Revolution gets raucous welcome  Durant Daily DemocratSpeaking at the Student Union on the Southeastern Oklahoma State University Campus Tuesday night, Amanda Brinkman gave her evaluation of Durant's ...
Cyber Readiness Institute Tackles Lack Of SMB Readiness  Small Business TrendsTo combat a lack of small business cybersecurity readiness, a new program aims to embed cyber policies and processes into every organization.
Labor’s trust tax ‘to hit small business the most’  The AustralianThree of the top five seats most affected by Labors plan to impose more than 17 billion in tax on family trusts over the next decade are Labor or Greens, ...
China tackles trade war with tax cuts for small business  The Australian Financial ReviewChina has put private sector tax cuts at the frontline of President Xi Jinping's battle to combat a slowdown in the world's second-largest economy, as trade tariffs ...
One-third of Small Businesses Start with Less Than $5000  Small Business TrendsThe latest startup funding statistics show that close to a third of entrepreneurs get going with less than $5000. Here's a look at all the numbers.
Spotlight: vidbuild Offers Video Ad Solution for Small Businesses  Small Business TrendsIf you need video ad making software for your small business, vidbuild is looking to provide the answer. Here's what they offer.
‘This is ridiculous’: Small-business owners can’t get loans as shutdown enters Day 20.  Washington PostBrooks Troxler is a small-business owner in North Carolina who's known as “Trox the tech” for his ability to fix any computer problem. Business is growing and ...
The 2019 Government Shutdown and What it Means for Small Business  Small Business TrendsHow long will the 2019 government shutdown last, and how will it affect your small business? Here are some answers for owners.
The new Congress will do nothing for small business – and that's fine by us  The GuardianWith Democrats and Republicans each controlling one chamber, gridlock is a certainty – which is great because small business hates uncertainty.
The big problem of micro and small enterprises  Business StandardRead more about The big problem of micro and small enterprises on Business Standard. Under pressure, many banks are in perennial search of Mudra loan ...
Five Factors To Concentrate On When Growing A Small Business  ForbesGrowing a small business can be difficult. For entrepreneurs just starting out, it can seem as if there are infinite factors that need to be accounted for. But no one ...
Gigs, ghosts and apps: The top 3 small business trends on the rise in 2019  USA TODAYAs has become an annual tradition, I am once again looking into my crystal ball to detect the top trends that look most likely to affect your small business over the ...

Taking Stock

Back when I owned an inventory-based business, one of my... Read More

Take a Break - Have a Pity Party

Pity parties are nothing new. In fact, we do it... Read More

Franchisee; Vacation Managing

Do you own a franchised business? Over 400,000 franchised businesses... Read More

Secrets of Cleaning Truck Trailers in Your Fleet from a Veteran Truck Washer

Cleaning the trailers towed by big trucks is not easy,... Read More

Small Business Survival Tips

No matter what kind of small business you have, you... Read More

Should I Franchise or Not?

A reader of one of my online sessions asked should... Read More

Choosing A Business Thats Right For You

Q: I really want to start my own business, but... Read More

Creating a Dynamite Account Plan

Why do you need an account plan?When you first decide... Read More

Effective Customer Interviews Make Life Much Easier!

One of the critical success factors for service-related businesses is... Read More

The Perfect Mission Statement

One way to determine your companies mission statement is based... Read More

Want to Grow Your Business? Make an Irresistible Offer

My clients and many of my readers are small and... Read More

How to Use Graphs and Charts in Your Business Plan

Many people ask how many graphs or charts they should... Read More

Small Business Credit Card Advantages

Obtaining a business credit card enables the small business owner... Read More

Who Does Over Disclosure Really Hurt In Franchising?

Costs of over regulation and over disclosure end up hurting... Read More

Freelance Tips: How to Cope with Spring Fever When Theres Work to Be Done

We all know how glorious those first warm days of... Read More

How To Cut Expenses And Manage Your Business

If you own a small business, you should know that... Read More

Trailblazer Interview with Diane J. Levin, Partnering Solutions

Today is a Red Letter Day! It's special because today... Read More

Making Your Product Desirable For Alliance Partners

How do you make sure you have the business solutions... Read More

Tracking Revenue For MORE Profits

The revenue history is a vital piece of your power... Read More

Small Business Computer Security, the Basics

Anyone in business today realizes both the natural dependency on... Read More

Choosing a Truck Wash Location in Nevada, Case Study

There are several well-known truck washes in the Great State... Read More

A Day in the Life of a Self Employed Professional

It's Monday morning and Connie the Consultant sits in her... Read More

Franchising Companies Relationship Strategies

Franchising Corporations need to maintain an iron fist when it... Read More

So What? How to Elicit Benefits from Features

"So what?" is a lovely question.It can lead to a... Read More

Does Your Small Business Marketing Suffer From The Bulldog Effect?

If you're an entrepreneur responsible for your own small business... Read More