SVT Company’s Credit Sales And Account Receivable Management Study

With the rapid development of economy of modern social, credit sale has gradually become the main trade model, and account for a large proportion of the transactions in the market. However, the credit system in China is still not perfect, especially the corporations in individual industry lack of credit, receivable accounts for the proportion of the total sales are too high, and the lack of mechanism of detection and prevention against risk. This thesis chooses the credit control in the SVT Co. Ltd. as the objective, base on the analysis the root cause and risk of accounts receivable management and sale on credit, indicates appropriate credit management system and method to promote the corporations development.SVT Co. Ltd is a company with stable operation in the security industry, it have the integrated functions, such as research&development, solutions for project, production and sales. Ten years of good operation established its position in the industry, but the accounts receivable and bad debts increased year by year caused by the sale on credit in historical competition. Now, our heads of the company have been aware of this problem, it is urgent to adjust the credit strategy so that we can reduce the risk of business and finance in process of sale on credit. This is very important for the development of SVT Co. Ltd.This thesis is base on the sales strategy of SVT Co. Ltd, combined with credit management theory and methods, as well as related research from inland and aboard, to develop a set of suitable system for SVT’s full credit management methods and specific implementation details. Conclusion of the study, as not only can promote the development of SVT, also in the same period of development of the domestic small and medium sized private enterprise credit management has played some guidance and reference.