Calculate the cost of waiting for payment, following up, carrying risk, and possibly losing the money. Set a credit limit, approval rule, due date, and action for overdue balances. Do not give every customer the same terms without reviewing their history.
For new buyers, use deposits or smaller orders until trust is established. Record all credit sales and stop extending credit when agreed dates are repeatedly missed. Price the terms honestly rather than hiding the cost in every customer’s price.
KobStore can make the standard offer and payment conditions clear before a Kenyan customer enquires. The seller still needs a controlled credit policy based on evidence.
