credit control

Credit control refers to the process businesses use to manage how they extend credit to customers, ensuring timely payments and minimizing bad debt. It involves setting credit limits, assessing customer creditworthiness, and monitoring account activity. Effective credit control helps maintain healthy cash flow, reduces financial risk, and supports sustainable growth. Businesses may also establish clear credit policies and follow up on overdue payments to ensure customers pay on time while maintaining positive relationships. Overall, credit control is essential for balancing sales opportunities with financial stability.