International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Credit Risk Management Procedures Solutions for Health & Wealth of your Business Presented by: Richard Miller – IRC Europe BPIF – Networking For Printers Forum

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group IRC Overview Established in 1993, International Risk Consultants (Europe) Limited (IRC) is now one of the largest specialist credit and political risk brokers in the UK. Staff of 50 with over 850 years of experience and knowledge. Offices in London, Glasgow, Leeds and Birmingham. With traditional values, we hold personal services, loyalty and high ethical standards at the core of everything we do for our clients. Clients use us as a resource that they can draw upon to enable them to grow and trade effectively both at home and overseas. Our people work in close knit teams but with a national presence and skills to find the best possible solutions for our clients. We utilise our strong relationships with insurance companies and our position in the broking market for the benefit of our clients. From November 2007, IRC were proud to become a subsidiary of RK Harrison Holdings Ltd.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Current Situation In these volatile and uncertain economic times, we have seen an evident movement in claims. Within our client base we have seen a 36.68% increase in the number of claims in the first eight months of 2008, compared to the same period in Credit Insurance claims increased by 58% to £97m in the third quarter of 2008 and by 34% year on year* (*Source: ABI) Insures continue to respond to applications for insurance on individual merits. Euler Hermes receives 30,000 applications per month. Approx 80% get a positive response. In the first three months of 2008, company administrations stood at 858, 54% higher than the previous three months, according to Insolvency Service statistics. Rising energy and food prices, decreasing consumer confidence, falling house prices and increasing restrictions on the availability of capital will all contribute to the number of business failures in As we enter into recession we face an uncertain and unprecedented future.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Credit Management Some effective steps you can take to enhance your management: Maintain a regular, open and honest dialogue with your customers and ask them to provide you with as much information as they can on their business. Always get credit checks and references for new customers but also regularly update them for existing customers. Have clear credit control procedures and a credit control manual, available to anyone in the business. Make sure your employees abide by them at all times. Ensure that your customers understand them. Include a reminder with your invoice and ensure your invoices are correct and checked to make sure all relevant information about the purchase and job are include to reduce any ambiguity.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Credit Management Monitor your debtors list every day and implement your credit control procedures without delay. Cash flow is the life blood of a business. By reducing your terms of payments could ensure a quicker payment. Specify your terms as "payment received" rather than payment sent. Invoices seem to get lost in the post or never received, this delays payment to you. A way to reduce this is to call your customer before any invoice is due and ask them for confirmation that they received their latest order. Always include "retention of title" clauses in your contracts to increase your chances of getting back your unused products. Don't be afraid to call your customers if payments are late. It is your money and due to you. Never extend credit terms beyond the original terms without good reason and without reference to someone else in your organisation to agree as well.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group What is Credit Insurance? Credit insurance protects against insolvency, non-payment or protracted default, by offering balance sheet protection against the effects that often result from a large bad debt or indeed a number of smaller debts. In addition, policies also provide a number of benefits by way of company financial data and information, industry data and collection services. Trade debtors represent, in some cases, up to 40% of a companys assets. This is, in some cases, the largest asset on a balance sheet and often is unprotected, unlike the usual assets of property, contents and people. Credit insurance comes in many different forms: Whole Turnover/Multi Buyer – Covering all buyers Top Account – Covers the largest accounts only (80% of turnover from 20% of buyers) Single Risk – Covers a single buyer only Domestic/Export – Both or either type of trading can be covered Political Risk – Cover actions by foreign governments

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group The Advantages of Credit Insurance Profit and cash flow liquidity protection. Rapid cash flow replacement in the event of a claim. Promotes risk avoidance by focusing credit control upon problem accounts. More informed position when making commercial decisions to promote and enhance sales growth and potential. Access to the financial history and credit worthiness of potential buyers. Credit management is enhanced as cash flow improved and days sales outstanding are reduced.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group The Advantages of Credit Insurance Lines of finance are made more accessible and borrowing capabilities are enhanced by the increased security. Bad debt reserves can be reduced therefore freeing up capital to reinvest. Longer terms of payment can be offered to win a contract. Payment solutions can be negotiated when a debtor hits cash flow problems to trade them out of financial difficulties. By the very nature of the pricing and policy structure, the cost of a credit insurance policy is infinitely less than the cost of the risk.

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group The Role of IRC in the BPIF Financial Alliance We are the link between the insurance market and the BPIF members providing advice and guidance to them and working intricately with them to find the best possible solutions however complex. Pre-market assessment. Engage with members to assess the risks they are facing and build a policy structure to present to the market. Comprehensive market consultation. Working with all our insurers to ensure the best possible cover and competitive pricing structure are obtained. Day to day service. With dedicated points of contact we are always available to handle enquiries and amendments and keep members informed of changes that may effect their policy performance. Claims Mediation. In partnership with members we provide continual advice and efficient pro-active negotiations with insurers to create the best possible settlement. We also provide other business support tools, such as; Training, Compliance and Soft Auditing

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Member Benefits Access to one of the largest specialist credit insurance brokers in the UK Exclusive insurance programmes Access to a dedicated panel of high quality insurers A client support team dedicated to the BPIF Visibility – IRC attendance at BPIF events – the ability to ask questions and get the answers your business needs Providing informative literature and updates Professional advice

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Conclusion Solutions for the health and wealth of your business: Information - Get as much information on your buyers and their financial capabilities as you can Protection - Make sure your business is adequately covered against bad debt and protect your cash flow Advice – Wherever possible always seek professional advice Get the basics right! – Follow your basic financial management steps Discipline – Dont deviate from your credit control procedures

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Any Questions?

International Risk Consultants (Europe) Ltd is a division of the R K Harrison Group Contact Details For further information please see our website Alternatively please contact: Richard Miller Business Development Broker Tel: Mob: International Risk Consultants (Europe) Ltd 52 Leadenhall Street London EC3A 2BJ