Credit reference agency Graydon has invested in a new venture that it has claimed will help VARs improve their financial management and strengthen their credit rating.
Graydon has teamed up with Dutch credit management firm Maxcredible and the two companies have formed Graydon Maxcredible, recently renamed Graydon Cashflow Solutions. Graydon holds a 51 per cent stake in the new venture and Maxcredible holds 49 per cent. It offers a range of services tailored to the channel, including advice on credit application processing, portfolio management, invoicing and cash collection.
Martin Williams, managing director of Graydon, told CRN: “We believe this service is unique to the UK. In the IT industry, the bigger distributors admit they would do more business with smaller VARs if their back offices were as good as the front office. But because a lot of VARs have been set up by former sales directors of large organisations, they tend to leave the back office behind, which presents a higher risk to distributors.”
Williams added that the services will help VARs appear less risky to banks and creditors.
Nitin Joshi, founder of channel advisory service ChannelMoney, said: “Providing the full spectrum of credit management services offers the missing link. It allows VARs to concentrate on their core business and leave the credit function to the sector experts.”
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