Advantages of selling on credit to a business

[Augusta]

The truth is that a lot of businesses thrive better because of credit sales though a business owner will love to sell on cash basis only but this might not be feasible as some customers will want to buy more goods but on credit.You can go ahead to sell as the business will benefit from it

So what's the advantage of credit sales to a business

customer loyalty

This will be the first advantage to the business as the customers would be loyal to the business and not patronising others in the industry.

High volume of sales

The business will make more volume of sales daily. There's something about selling on credit people would want to buy more since they are not making payment immediately.

Customer retention
The truth is that customer loyalty comes with customers retention. When once you capture people and make them loyal to your business, you are invariably retaining them in your business to continue with patronage.

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[eldavis]

Truth be told, there are certain customers you may not be able to turn down when they come for credit sales, either due to the nature of their relationship with you, or how far you have gone with them. Then again, everything with an advantage also has its disadvantage as well. Selling on credit could also lead the company or business owner into losses or worse debts. I have seen cases where trusted customers refuse to pay up their debt after buying on credit. There are even some customers who out of the goodness of your heart you might have helped out but in the end they pay you back with evil by not paying back what they owe you.