Definition

Storing all money-related documents in an organized way. Keeping records tidy makes checking on finances and taxes much easier.

What to consider

  • Ensure timely payments to maintain good credit.
  • Negotiate better terms when possible.
  • Review credit policies periodically.

Real world scenarios

  • A retailer tracks its credit limits and payment histories to maintain a healthy credit profile.
  • An entrepreneur negotiates favorable credit terms with suppliers.
  • A small business monitors customer credit to reduce defaults.

Related terms

Entrepreneurial Finances