April 6, 2017
Business failures set to blow if economy tanks

Business failures set to blow if economy tanks

Few people realise that the largest source of business funding in South Africa is provided by private companies themselves. Businesses extend credit to their customers and obtain credit from their suppliers, usually in the form of short-term funding which lasts for 30 to 60 days per transaction. This form of funding helps businesses both large and small to effectively manage their cash flow and diminishes the need for bank or state institution funding. Known as “trade credit”, many of these transactions are secured using trade credit insurance companies and the funding system operates as an efficient mechanism that facilitates enormous trade volumes in our country. The effect of a ratings […]
April 3, 2017

Debtsource and Hollard introduce new selected debtor insurance product

The credit management solution specialist Debtsource announced a new selected debtor insurance offering brokered for Hollard Trade Credit, which will be underwritten by Hollard Insurance. After extensive investigation into the current trade credit insurance market, Debtsource and Hollard have teamed up to offer a new product that gives clients the choice of insuring individual trade debtors, rather than only selecting comprehensive cover. The new product intends to minimise the risks resulting from non-payment when businesses extend credit to each other by way of goods sold or services rendered. Premiums will now be based on the risk grading of the debtor, rather than on prior claims or perceived industry risk. In […]
October 6, 2016
business rescue

Business Rescue – does it work?

There can be little doubt that South African companies are having a tough time. The local and global economy is growing at a snail’s pace and the business confidence index fell to a seven-year low in the second quarter of 2016. Obviously more companies are going into liquidation – correct? Not so! According to Stats SA the number of companies being liquidated has been in steady decline since it peaked in 2009. In that year just over 4100 businesses were liquidated, and this number has steadily decreased to just under 2000 in 2015. In the first six months of 2016 only 930 liquidations were recorded and at the current pace […]
September 7, 2016

Selected Debtor Insurance hits the market

Hollard Trade Credit have launched a new selected debtor insurance product which is being supported by the Debtsource credit risk management solution. After extensive investigation into the current trade credit insurance market, Hollard have launched its trade credit insurance offering – and it looks set to be a real winner. Rather than opting for comprehensive cover which is typically available in the market, Hollard decided to take a different approach and to offer clients the opportunity to select which debtors they wish to insure. Hollard is one of the largest insurance companies in Africa and has extensive operations that cover both short-term personal, commercial and life products. It is also […]