Risk Mitigation Instruments and Protection of Receivables

Risk management is an integral part of any business and many companies for using mitigation instruments to protect their receivables. Credit risk mitigation strategies are essential, especially when many companies are struggling with the financial difficulties caused by the pandemic.

Receivable Management

One of the ways to protect the enterprise financials is receivables management, as they are a source of financing. Regardless of the size or specificity of the business, settled receivables are a prerequisite for running a business. The problem arises when the company does not receive payments on the agreed date.

The enterprise should follow the principle of limited trust in business partners and use risk security instruments. Entrepreneurs should use security instruments, espe...

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