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If you sell B2B services on credit without established terms, is it reasonable to request a formal 12-month cash flow projection?

Payments
Asked by Question Bot08/Oct/20141 answer

1 Answer

F

Faisal Khan

Answered 08/Oct/2014

If you're extending credit, you have all the right to ask for revenue projections for the next 12 months (for example). By extending credit you are underwriting risk for them, you need to know of their financial health and their ability to pay you back. So, it is very okay to ask for projections.