e-bcm: e-bcm Sees Registrations Speed Up As Credit Crunch Bites Small Business

Aug 14, 2008 (M2 PRESSWIRE via COMTEX) -- SBCO | Quote | Chart | News | PowerRating -- The number of companies signing up to use the on-line credit checking service has accelerated as firms start to raise their game to counter the higher risk of bad debt

Registrations for e-bcm, the on-line credit reporting and management service that is specifically designed for use by small and medium-sized enterprises, have accelerated over the past few weeks as businesses start to respond to the higher levels of risk that they are being exposed to as a result of the knock-on effects of the credit crunch.

The number of new companies signing up to use the site has risen significantly. At present close to 30 new registrations are being made each week with the total number now approaching 3000. Dennis Scott, Commercial Director of e-bcm, says that while some of the rise in usage can be attributed to existing users spreading the word about the service the credit crunch and rising concern over the potential for bad debt is also a major factor. Equifax recently reported that the total number of business failures in July 2008 rose by 29 percent compared to the same month last year.

"The economic squeeze is affecting everyone and small businesses are now starting to feel the pinch", says Scott. "We have noticed a steady increase in registrations over the past few weeks and we think this is partly down to more SMEs looking to guard themselves against the risk of potential bad debt."

Scott says that this should be seen as a positive development. "All businesses know that it makes sense to check up on prospective customers and to assess their ability to pay before you extend credit to them, but far too few of them actually do that - it is all to easy not to worry when times are good and indeed, the risk is lower when the economy is in good health. But right now that's not the case and all businesses need to take a more cautious approach. And if they get into the habit now, they may start to run credit checks as a matter of course when conditions improve."

Checking credit on the e-bcm site is quick, simple and inexpensive. Businesses that register with the site can start to use the service for as little as GBP2.49 per month. They can get very swift and accurate assessments of the level of credit that it is safe to offer to new customers and call off detailed reports on companies and directors as required.

Launched at the start of 2007, e-bcm provides small businesses with a quick and easy way to check the credit-worthiness of new customers and chase-up payments courteously and professionally. As well running credit checks and obtaining company reports, e-bcm subscribers can use the service to issue Final Demand Letters to chase up payment and if necessary, call in the services of a professional debt collection agency on a no-win, no-fee' basis.

With almost four million small businesses in the UK, delayed payment means that employees and owner-managers have less disposable income and are more likely to build up debt to finance wage and supplier payments. Late payment already contributes to the demise of thousands of small firms every year. BACS estimates that over GBP16 billion is owed to small firms at any one time.

About e-bcm

e-Business Credit Manager Limited (e-bcm)is an end-to-end, credit and debt management service designed to help small businesses make use of professional financial resources to reduce risk, minimise late payments, avoid bad debt and improve cash flow. The aim of the service is to make it easier for the UK's estimated four million small businesses to more efficiently manage their credit granting and collection routines.

The company's management team has over 60 years of combined experience working with small businesses in the IT, telecommunications, construction and agricultural industries.

Chairman and CFO of e-bcm, Vic Jackson, an accountant and Member of the Institute of Credit Management, spent his main career with J I CASE, the major US Construction and Agricultural Equipment manufacturer. Jackson was UK Finance Director and Managing Director of Case Credit Limited, Case's in-house finance subsidiary, before taking on the role of Director for Treasury and Credit for the whole of Europe.

Managing Director of e-bcm, John Carter, is also the founder and Managing Director of Direct Market Services Limited (DMSL), the leading distribution partner for British Telecommunications plc. (BT). He previously worked as a business consultant and in senior positions with Brother UK.

Commercial Director of e-bcm is Dennis Scott. In a 17-year career at BT, Scott held a number of senior management positions and was most recently General Manager of Distribution Sales at BT Business Indirect Channels. He left BT in March 2006.

CONTACT: Dennis Scott, e-bcm Tel: +44 (0)7860 567 940 e-mail: dennis@e-bcm.co.uk WWW: http://www.e-bcm.co.uk Neville Street, Stella Six, Press & PR Tel: +44 (0)1743 246 917 Tel: +44 (0)7967 717 259 Fax: +44 (0)1743 291 816 e-mail: nev@stellasix.com WWW: http://www.stellasix.com WWW: http://www.shropshiredramacompany.co.uk

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