Debt and Credit Control Management for Individuals and Corporations

Course overview

There are few to no entities or individuals that have never applied debt management and credit control knowledge. Any person or company that is operational depends on ample credit management to have a foreseeable financial future. The lessons offered in this course give the participant a comprehensive understanding from scratch to closing debt negotiation deals. This program is equipped with highly-interactive activities and real world-scenario examples that enhance the participant’s interest and passion for debt management and credit control at a personal and corporate level. The course highlights the theoretical basis of debt management, deeply analyzing the analytical techniques that businesses, individuals, and credit control participants require. Parties holding credit control and debt management responsibilities will find the course a vital necessity. Participants with general business knowledge interest and those planning to undertake credit control or debt management careers in future will also find the course content useful.

TARGET AUDIENCE

• Managers interested in learning about credit control and management
• Participants who wish to pursue credit control management as a career
• Entrepreneurs and business leaders/managers for debt management
• Investment banks
• Financial institutions
• Legal or financial advisors during fraud investigations
• Consultancy firms
• Finance managers for leverage management
• Financial policy-makers
• Others

Learning Objectives

After completion of this course, participants should be conversant with the following:

• Master the strategies used in debt collection.
• Understand emerging issues in debt collection and credit management.
• Initiate and oversee debt collection steps and rationale behind the same.
• Comprehend the debt negotiation process and arriving at the mutually agreed payment.
• Understand legal factors behind debt collection and credit management
• Understand how business environmental factors affect debt collection and credit management

Our Unique Training Methodology

Let me explain to you how this course is different from the thousands of other courses available on the internet.

• Pre-Assessment – Before beginning, a pre-assessment will be provided to assess the knowledge and skills of the participants.
• Lecture/Discussion – Lecture & discussion interactive session on the basics of human resource management to make participants more engage with the course.
• Guided Group Exercises – Dividing the class into small groups, an exercise, or a case study to work through.
• Hands-on Application – Providing participants with a hands-on application of the concepts they have learned.
• Post-Assessment – Question & answer session for solving all queries.

Training Medium

This Behavioral Interviewing training is designed in a way that it can be delivered face-to-face and virtually.

Course Duration

The training can be in the form of a full-fledged 40-hour program or a 15-hour crash course covering 5-hour content per day within 3 days.

Pre-course Assessment

• Planning your introduction – the brief will be shared with participants via mail
• Reading Reviewing the course outline training modules and sharing any rising amendments no more than 48 hours’ prior
• Questionnaire answers will remain confidential and used only for purposes of understanding the participant’s expectation in this class.

Course Modules

Module 1. Introduction

• Introduction exercise: What the importance of credit management?
• What is credit management
• The evolution of credit management
• Users of credit and debt management information
• Significance of credit management

Module 2. What is Effective Debt Collection?

• Introduction exercise: Participants to voluntarily narrate any first-hand or known personal experience of debt collection.
• Compilation of debt collection data and communication
• Demanding debts ethically
• Debtor classification process and techniques
• Check-listing collections
• Preparing the debtor’s movement schedule
• Oral peer-discussion question: How do you plan to debt management ethics in your ideal future career?

Module 3. Controlling Bad Debts

• Introduction exercise: Oral peer-discussion and response on what constitutes bad debts.
• Debt control and authorization
• The role of auditing in debt and credit management
• Invoicing and invoicing reminders
• Placing credit limit for customers
• Physical checks and controls
• Conducting customer background checks
• Seamless communication with customers
• Application of technology in debt and credit management
• Legal and policy compliance in debt and credit management
• Live peer-discussion question: Participants should use any three public companies of their choice and identify their trend of long-term loan from the financial statements.

Module 4. The Steps of Debt Recovery

• Introduction exercise: Oral discussion-participants to list any steps of debt recovery known to them.
• Stakeholder consultation
• Conducting due diligence
• The letter of demand
• Handling feedback
• Raising legal action
• Food for thought: What would you do as the company credit controller if your manager asks you to offset their friend’s debt from the company’s books?

Module 5. Negotiating Debt Settlements

• Designing follow-up letters
• Setting the uncompromised minimum
• Refreshing the customer about their debt situation
• Calling for a counter-offer
• Avoiding personal interests and compromise
• Closing exercise: Participants to prepare personal statements for any range of transactions of their choice

Module 6. Preliminary Accounting for Debt and Credit Managers

• Understanding debtor’s days versus creditor’s days
• Understanding the cash conversion cycle
• How to increase company cash flow through effective debt management
• Evaluating the leverage of a company and its ability to pay debt in future
• Food for thought: What would you do about an outdated debt where Branch A and Branch B of the same company owe one another equal amounts of debts?

Module 7. Emerging Issues in Debt Collection and Credit Management

• Introduction exercise: Peer discussion on what participants think sustainable debt management is.
• Debt management during economic crisis
• Artificial intelligence and debt management
• Sustainable debt management

Module 8. Legal Issues in Debt and Credit Management (Customized for Participant)

• Introduction exercise: Written peer discussion (Discuss any new aspect that you think should be introduced in debt and credit management)
• Guarantors and collateral in debt management
• Introduction to laws in property auctioning
• The position of the constitution on debt and credit management
• Case laws involving debt and credit issues

Lessons Learned

“The quickest to borrow are the slowest to pay,” German saying.

Henry Shaw once observed that debt, similar to any other trap is easy to albeit difficult to come out of. It is easy to start being in debt without knowing. Completing this course should make you realize that debt management is applicable everywhere in life. By now, you should have learned the meaning of the terms “debtor” and “creditor”, how to analyse the debt status of any entity, and decided how you want to apply your credit control knowledge. As a brand of this esteemed course, you are great enough to conquer your related life goals.