Welcome to Cooper Electric Supply Co. Giving our customers the quality service and support they need are the most important values of our company. As you begin your experience with us, we would like to provide you with some valuable information and tips on Credit to continue good credit status with us; you can rely on us as an information resource. Having the right people to perform the service you require, plus providing the right products for the job, is a total quality experience.

Want to know about business basics? Accounting, bookkeeping and budgeting are usually second-nature to many customers. Cooper will work with you to discuss some basic business and credit tips. We encourage you to join community organizations like Chamber of Commerce. This will give you the opportunity to develop professional relationships with accountants, bankers, and lawyers that you may someday need to use in your business.

Completing a Credit Application with Cooper? It is very important to remember to include a tax exempt certificate and a bond certificate if the job is bonded. If you need more information on how to obtain these documents, please contact out Credit Department at (732) 747-2233.

What can you do when receiving your invoices? Take advantage of cash discounts whenever offered to you. By paying your bills in advance, this will increase your credit worthiness with Cooper.

And Remember Always……Be Fiscally Responsible!

Did You Know?
The first most important aspect of credit for any business is time in business (tenure). A company's business tenure can be verified through Dun & Bradstreet, a national business credit reporting agency.

What are the 4 C’s companies look for?

A business’s creditworthiness is ultimately determined by what are known as the “4 C’s of Credit” – Character, Capacity, Capital and Conditions.

Character: includes factors such as: size, location, number of years in business, business structure, number of employees, history of principals, appetite for sharing information about itself, liens, judgments or pending law suits, and comments from references.

Capacity: assesses the ability of the business to pay its bills, i.e., its cash flow. It also includes the structure of the company’s debt—whether secured or unsecured—and the existence of an unused lines of credit.

Capital: assesses whether a company has the financial resources (obtained from financial records) to repay their creditors. In general, this portion of the credit report is the one most closely reviewed by the credit analyst.

Conditions: considers the external factors surrounding the business under consideration - influences such as market fluctuations, and industry growth rate.

How can you improve your business credit profile?

Managing your business credit profile is an ongoing responsibility, and can be accomplished by:

Communication
1. Monitoring the information that is contained in your credit report for changes
2. Supplying proper information about your business
3. Getting your key vendors to report your payment history with them

By managing your business credit profile, you will not only avoid mistakes and omissions, but you can be confident that your business is always being evaluated in the best possible light.

Here’s some tips to continue great credit status…..

Paying on time. The payment experiences other companies have with you are the most impactful data in your business credit profile. For this reason, you should ensure that you pay within the terms set forth by your suppliers. This is the most direct way to drive a positive credit rating.

Ensuring all relevant trade experiences are represented. Are you paying large sums on a timely basis to key suppliers and lenders that aren't being reflected in your profile? If so, you are missing out on a key opportunity to get the credit you deserve for paying your bills on time and for conducting a larger volume of business. You should check your profile twice a year, to make sure that all the vendor payment relationships are captured.

Keeping your personal finances in good order. If you are the owner of a business, your consumer credit profile also may be reviewed by prospective creditors. How well you manage your personal finances can impact your company’s creditworthiness. Keep in mind, though, that your business and personal ratings are separate and distinct. One is not used to directly impact the other.

Keeping your business credit profile in good order. Accuracy, timeliness, completeness and consistency of data is important. If you see accounts that aren’t yours, mistakes your bank made or false negative contact credit report companies to rectify the errors.

Keep an eye on the key financial indicators in your own report to see how they compare to other companies in your industry. In doing so, you can benchmark yourself, identify areas for improvement and assure a profile with adequate information for a satisfactory credit investigation.

We hope you find this information beneficial to your success with working with us. Cooper is here to assist with any of your questions. Please contact out Credit Department at (732) 747-2233 for any concerns or additional information you may need. Or you can email us at acctrec@cooper-electric.com.

Again….Remember Always……Be Fiscally Responsible!