Construction
"The sub looked great on paper. Then they disappeared halfway through a $500K job."
Subcontractor bankruptcy mid-project, mechanics liens, GCs going under before paying you. Vet before you sign.
Industry-Specific Business Intelligence
"The sub looked great on paper. Then they disappeared halfway through a $500K job."
Subcontractor bankruptcy mid-project, mechanics liens, GCs going under before paying you. Vet before you sign.
"Net-60 on a $250K order. How do you know they'll still be in business in 60 days?"
You're the bank for your customers. Distributors average 12-15% of receivables in collections. Know who can pay you back.
"Your production schedule is only as reliable as your weakest supplier's balance sheet."
Supplier bankruptcy disrupts production. Custom orders from unreliable customers can't be resold. Identify the risk first.
"Regulatory pressure means you need documented decisions, not gut calls."
Banks, factoring companies, equipment and automotive leasing. Full visibility for compliant, defensible decisions.
"Volatile pricing and thin margins mean one slow-paying account can cascade into a crisis."
When margins are razor-thin, you can't afford to extend terms to the wrong customer.
"Restaurants have a 60%+ failure rate in their first 3 years. You're delivering weekly on Net-30."
Razor-thin margins can't absorb defaults. Check before you deliver.
"Recurring revenue feels safe, until a client disappears owing you three months."
Cleaning, landscaping, HVAC, snow removal. Seasonal cash flow creates risk. Protect your contracts.
"Perishable inventory plus slow-paying accounts is a recipe for disaster."
When your inventory has an expiration date, you can't wait 90 days to find out a customer won't pay.
"Six-figure orders on extended terms. Custom configurations that can't be resold."
Long payment cycles of 90-120 days are common. Know who you're extending terms to.
"You're selling to contractors who don't get paid until project completion. Their risk is your risk."
High contractor failure rates and project-dependent payment cycles make this one of the riskiest distribution verticals.
"Private practice failure rates are increasing, and they're your customers on Net-30."
Rising costs, insurance reimbursement delays, and staffing challenges are squeezing practices. High-value equipment on terms creates compounding exposure.
"Property management companies are slow to pay. Seasonal cash flow makes it worse."
Seasonal revenue swings, multi-year contracts with payment risk, and customers notorious for slow payment.
"Large custom orders. High material costs upfront. Customers delay payment until their end-user pays them."
Custom orders can't be repurposed on default. Seasonal volume swings compound the risk.
"100% custom orders that can't be resold. Event-based timelines. Payment comes after the event."
Branded, event-specific products are worthless to anyone but the customer. Default means total loss.
"Contractor payment depends on GC payment. Project delays equal payment delays."
Material-intensive upfront costs, contractor customers whose payment depends on GC payment chains, and once installed, materials can't be recovered.
"Large corporate orders on Net-60+. Payment contingent on client approval."
Approval delays, budget holds, and corporate procurement cycles stretch receivables well past original terms.
"Large bulk orders on terms. Customer concentration risk. Hazardous materials you can't easily redirect."
Specialized products, large bulk orders, and customers who often represent significant revenue concentration. Hazmat complexity makes default even costlier.
"You're essentially the bank for your customers. Are you underwriting like one?"
Wholesale distributors extend more unsecured terms than most businesses realize, Net-30/60/90 on five- and six-figure orders. When customers default, thin margins can't absorb it.
Regardless of your industry: if you extend Net-30, Net-60, or Net-90 terms, you’re making unsecured loans every day. B2B payment defaults are up 34%. Companies extending Net-60+ terms have 3x higher bad debt rates.
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