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Underline Credit Agreement

Underline Credit Agreement

Aug 6th, 2022

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How to Underline Credit Agreement

4.6 out of 5

5 votes

In this five-minute legal master series, Nicholas D. Kralik, a board-certified creditors' rights attorney, discusses the importance of credit agreements. He emphasizes that, while there's excitement in acquiring new customers, creditors must consider the potential risk of those customers becoming debtors. When extending credit, businesses are essentially lending their own money, which may not be repaid. Kralik advises that the start of a business relationship is the best time for creditors to proactively establish rights and remedies they may need if the customer fails to comply with payment obligations. Preparation for collection should begin from day one, despite the reluctance to think about it.

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