Entrepreneurship & Small Business

credit application needed

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  • Mar 1st, 2007 8:18 am
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Deal Addict
Apr 2, 2003
1392 posts
51 upvotes
Richmond Hill

credit application needed

Anyone know where I can get a sample credit application form? I need one for products, including a qualifier for late payments, something saying that the person signing is authorized to sign on behalf of the company etc. Is there a standard somewhere (could not see anything online).
6 replies
Deal Addict
Apr 2, 2003
1392 posts
51 upvotes
Richmond Hill
I need a credit application to send to customers that want me to invoice them for product that is shipped prior to them paying for it.

I did manage to find a few examples but wanted some expertise on what should go on the form - balancing what's required from an accounting standpoint vs what's reasonable from a customer's standpoint.
Banned
Feb 20, 2007
207 posts
Small or large amounts? If smaller amounts, just use this wording:
CREDIT APPLICATION AND AGREEMENT To: Canucklehead Enterprises Incorporated
Carrying on Business As: Canuckle Services
At: 123 Fake Street
Richmond Hill, ON A1A 1A1
Phone: (905) 555-1234
Fax: (905) 555-2345
(Hereinafter referred to as the "Creditor")

From: ABC Company Inc.
Carrying on Business As: ABC Sales
At: 123 Any Street
Toronto, ON A1A 1A2
Phone: (905) 555-3456
Fax: (905) 555-4567
(Hereinafter referred to as the "Debtor")

1. The Debtor hereby applies to the Creditor for credit in the amount of $1, 000.00 to purchase items from the Creditor.

2. Any items or services purchased through any credit granted to the Debtor by the Creditor shall be paid for in full within 30 days of the date of the Purchase.

3. Failure to pay may result in Interest charges at 12% per annum calculated daily and charged and compounded monthly as well as collection or legal action against the Debtor.

4. THE CREDITOR MAY REQUEST CREDIT HISTORY AND ACCOUNT INFORMATION FROM ANY SOURCE THEY FIND REASONABLE INCLUDING, BUT NOT LIMITED TO, EQUIFAX CANADA INC. AND THE D&B COMPANIES OF CANADA LTD. OR ANY AFFILIATE OF THESE COMPANIES WITH REGARDS TO THE DEBTOR AS WELL AS ANY SHAREHOLDER, DIRECTOR OR OFFICER (OR THE SOLE PROPRIETOR OR PARTNERS, IF APPLICABLE) OF THE DEBTOR.

For the Debtor: I HAVE AUTHORITY TO BIND THE CORPORATION




______________________________________
Per: Name and Title

Date: __________________
At: ________________________, Ontario
Approved and Accepted by the Creditor, THIS IS A LEGALLY BINDING AGREEMENT ONCE A COPY WITH SIGNATURES FOR THE DEBTOR AND CREDITOR ARE RECEIVED BY BOTH PARTIES. I HAVE AUTHORITY TO BIND THE CORPORATION




______________________________________
Per: Name and Title

Date: __________________
At: ________________________, Ontario
Member
Aug 23, 2006
351 posts
94 upvotes
Mississauga
yeah, thats more or less what my company uses too. Occasionally though we use D&B and pay them a small payment for them to do the checks. Because sometimes the other companies give us our competitors as "creditors" and well... its not always a good thing to let them know you're winning their customer =D

and we also had a case where one of the creditors lied and said the customer never purchased from them when in fact they did for a whole year.
-Dan.
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Deal Addict
Apr 2, 2003
1392 posts
51 upvotes
Richmond Hill
This is fantastic - thanks so much for taking the time to post the doc and also the heads up on creditors/competition - never considered that :)
Deal Addict
May 18, 2006
2873 posts
70 upvotes
Windsor
Somehow when I read the title I saw credit card application. :lol: Maybe I should get my glasses checked. :eek:

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