Credit & Trade References Form
We believe everyone should be able to make financial decisions with confidence. Dexter is the Growth Strategy Manager at Flowcast and Tillful. Living at the intersection of finance and technology, he is focused on building processes that enable business owners to more effortlessly gain access to financing and credit. The reference itself can be as simple as a name with its correspondent contact information. In this case, the lender calls to that name and asks some questions that aim to verify the credit record of the potential borrower. In other cases, the requirement is a letter with the opinion, precise data about the past or present credit and complete contact information.
A trade reference typically refers to such exchanges between businesses. Primary trade references include payment for parts, supplies and materials, but they might also involve advertising, printing, graphic design, software development and direct mail service. Consultants, decorators, attorneys and accountants generally constitute secondary trade references, as do cleaning, computer repair and collection services. Other secondary references might involve those involved in your business car leases, post office boxes or furniture rental. Even small corporations leave a financial trail behind them as they conduct business.
If you don’t have a payment history because you’re new, no one will extend you credit. But if no one will extend your credit, how do you create a payment history? Great trade references and a good credit profile means you are more likely to receive credit lines from reputable businesses. Of course, you can work with many reputable businesses, even with poor credit.
It has been ’s pleasure to conduct business with you for years/months. The company is applying for more credit, and I hope to be able to cite your name as a referee. This is because many struggling businesses may try to put off their suppliers for a month or two.
Floating net terms credit ties up cash flow and there’s still a risk of non-payment. Digital net terms solutions like Resolve manage the entire net terms process for you. Everything from credit checking, net terms financing, to payment processing and reminders.