|
|
|
05 Jun 2009
Atradius has contacted about 50 IT resellers requesting forward-looking financial information as it re-assesses its exposure to the channel.
The credit insurer kicked off a strategic review of all market sectors in the autumn. Last week it was the turn of the IT channel to come under scrutiny.
Talking to CRN, Marc Henstridge, head of risk for UK and Ireland at Atradius, said that most resellers affected had nothing to be scared of.
Further reading
“We have identified some of the potential at-risk businesses and are phoning them to discuss their order book and request information to allow us to keep underwriting their business,” he explained.
“We want to obtain sufficient information to tell our customers that they are weathering the downturn and have sufficient liquidity to see them through. If they have a static or a positive story to tell, we would encourage them to provide the level of information that has been requested.”
Atradius has requested both management accounts and a balance sheet for the year to date.
But, in a break from the norm, it is also demanding a cashflow forecast.
Those that do not respond within the two-week period are likely to have support withdrawn, said Henstridge.
“If you just look at backward information, you could make the wrong decisions and we need to ensure our customers are trading with the right businesses,” he said.
Phil Jones, UK sales and marketing director at printer vendor Brother, had mixed feelings on Atradius’ strategy.
“We use Euler [Hermes] as our primary insurer and it is no surprise to me that Atradius is trying to get more information. The challenge is that this is another piece of administrative work the reseller has to go through.”
However, Henstridge said Atradius’ actions are entirely justifiable.
“The resellers benefit from the credit limits we write on them and it is not a service they pay for,” he pointed out.
One reseller who was contacted by Atradius said: "This is not a problem for us. But a lot of people must be in trouble if Atradius is doing this five months into the year and the IT sector must be doing worse than we all thought."
In this video find out about the fast-growing Chinese vendor's plans for market domination and how the channel is its route of choice
Find out what gifts Acer has in store for partners for 2012 in this exclusive roundup of its recent conference
CRN's premier networking event is back on 17 May at the Ricoh Arena
Date: Thu 17 May 2012
Channel fighters preparing to square up once more on 24 May
Date: Thu 24 May 2012
The proliferation of endpoint devices within the enterprise has highlighted the shortcomings of one of the traditional approaches to data security
This Forrester report compares the costs and benefits of legacy email and productivity software with Google Apps
Dave discovers that rozzers are seemingly living in the technology dark ages
Mark Needham, founder of distributor Widget, argues that John Browett leaves for Apple with Dixons in better shape than when he arrived
|
|
|
Do you agree?
Have your say