The InterConnection VOLUME 7
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ISSUE 4
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JULY/AUGUST 2019
Wichita and Kansas City Sweep the 2019 CFDD National Awards Karen Durante
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he CFDD Awards and Installation Luncheon was held at Credit Congress on Tuesday, May 21. NACM Connect is proud of all the honors our region received from CFDD National. We appreciate the hard work and dedication of every one of you involved to make our chapters such successes. In recognition of outstanding chapter monthly meeting programs, CFDD National presented one award for each member classification: Class A chapters have 25 or more members and Class B chapters have 24 members or less. The 2019 monthly meeting winners were:
• Kansas City Chapter for Outstanding Regular Monthly Meeting – Class B
• Wichita Chapter for Outstanding Seminar/Workshop – Class A
• Kansas City for Outstanding Seminar/ Workshop – Class B
Chris Birdwell (center, left) and Nacy Watson-Pistole (center, right) receive Achievement Awards at the CFDD Chapter Awards Luncheon during the 123rd Credit Congress.
This past year, the CFDD Executive Committee noticed there were some new programs offered by chapters which were highly creative, clever and exciting while still very relevant to members. The Committee voted to recognize an exceptionally creative education program, an individual who brings incredible
achievement to our organization and emerging leaders with a new Star Award. We are very pleased to announce these premier Star Award winners from our local CFDD Chapters: Continued on page 29>>
NACM Connect Wraps Up Annual Meeting Season Lillian Novak, CGA
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s NACM Connect grows, so does our opportunity for educational events. Each spring and early summer, in the form of our local Annual Meetings, the educational calendar has its kickoff. This year our season began in Rochester, New York on April 10th and ended in Cleveland, Ohio on June 20th. All in all, ten events were held in Rochester, Chicago, Kansas City, St. Louis, Grand Rapids, Milwaukee, Omaha, Wichita, Indianapolis and Cleveland. Each annual meeting is a day-long event
that blends education with a networking event. The exception is in New York where the event runs for two-days in place of an annual conference. Over the course of the ten events, 260 members attended. Agendas are set by the local educational committees, who also work with NACM Connect staff to secure speakers. Many of the speakers, particularly on panels, are NACM Connect members with a particular expertise in an area of interest. Phil Lattanzio, NACM President and Lillian Novak, Vice President of Education, attend all or most of these events which affords them an excellent opportunity to get to know our members
better. Joining them is also the Regional Director for each territory and in many cases the Credit Reporting Consultant for the area. “Giving the members face time to the management team and the regional representatives helps to build the relationships between Association members and staff. We get to hear first hand what the members are looking for through their membership; and do our best to deliver,” commented Lattanzio. Several local seminars and roundtables are on the horizon as well as our premier educational events, our three NACM Connect Conferences. Watch your email, the NACM Connect website and this newsletter for more information.■
2019-2020
In This Issue
Board of Directors
Wichita and Kansas City Sweep the 2019 CFDD National Awards
1
NACM Connect New York Local Industry Credit Group Meeting
23
CHAIRPERSON Erica White, CCE Ferguson Enterprises
NACM Connect Wraps Up Annual Meeting Season
1
NACM Connect Pennsylvania Local Industry Credit Group Meeting
23
Save The Date 2019 Credit Conference
4
Event Calendar
24
VICE CHAIRPERSON Patrick Nelson ACCO Brands, Inc.
Missouri Credit Conference Agenda
5
Upcoming IOC Courses
26
Illinois Credit Conference Agenda
6
Congratulations New Designees!
27
NACM Connect Salutes Honor Flight Veterans
7
Credit 101 Graduates
27
123rd Credit Congress & Expo
8
Credit 101, 102, 103 Series – Illinois
27
Grand Rapids, Michigan Annual Meeting Photo Gallery
10
Credit 101, 102, 103 Series – Indiana, Michigan, Ohio
28
Pewaukee, Wisconsin Annual Meeting Photo Gallery
Upcoming IOC Courses
30
10
31
Omaha, Nebraska Annual Meeting Photo Gallery
Illinois SAP and A/R Users Group Meeting
11
Illinois Seminar: Collections Training
32
Wichita, Kansas Annual Meeting Photo Gallery
11
Illinois Roundtable: “My Customer Filed for Bankruptcy... Now What?”
33
Welcome New Members
12
34
Indianapolis, Indiana Annual Meeting Photo Gallery
Illinois: Rooftop: Chicago Cubs vs Washington Nationals
12
Indiana: Financial Statements
35
Cleveland, Ohio Annual Meeting Photo Gallery
12
Indiana: Customer Portals
36
Indiana: Lower Your Credit Card Rates
37 38
TREASURER Mike Hill, CCE Mitek USA, Inc. DIRECTORS—TERMS ENDING 2020 Christine Culbreth ArcelorMittal International America Michele Pancotto, CCE, CICP Radiant Clipper Ed Stauber Kevin Stinner, CCE, CCRA Pinnacle Agriculture Distribution DIRECTORS—TERMS ENDING 2021 Tracey Bland First Citizens Bank Staci Cima, CCE Crescent Parts & Equipment Co., Inc. Diana Hoffmann Rockline Industries, Inc. Brendon Misik, CCE, CICP Nutrien Dave Zahller, CCE Tubular Steel DIRECTORS—TERMS ENDING 2022 Joe Lange, CCE, CCRA Brenntag Great Lakes, LLC Adam D.Ross, CCE, CBF, CBA Feralloy Corporation George Valletti, CFO/COO Ginsey Home Solutions PRESIDENT Phillip J. Lattanzio, CCE NACM/Chicago-Midwest
An Approach to Teaching & Learning Ratio Analysis Using Low / High Risk Distinctions and Companion Ratios
14
Indiana Roundtable: Setting Credit Limits Without Financial Information
Illinois Construction Stuff and Stuff
17
Missouri Roundtable: Advancing to the Majors While Being a Good Teammate
39
Midwest Staffing Credit Career Corner
18
New York Roundtables
40
Caine & Weiner Quarterly Giveaway
20
NACM Connect National Industry Credit Group Meetings
41
21
Ohio Roundtable: Help! I’m Drowning in Deductions Ohio Roundtable: Collection Strategies
42 43
NACM Connect Illinois/Wisconsin Local Industry Credit Group Meetings
21
Ohio Roundtable: Credit Terms and The Cost of Doing Business
NACM Connect Indiana/Michigan/Ohio Local Industry Credit Group Meetings
22
Ohio: Lower Your Credit Card Rates
44
NACM Connect Nebraska Local Industry Credit Group Meeting
Ohio: Lower Your Credit Card Rates
45
22
Pennsylvania: UCC/Liens
46
NACM Connect Missouri Local Industry Credit Group Meetings
23
Wisconsin: Eastern Wisconsin Best Practices Group
47
SECRETARY Kerry Jensen, CPA NACM/Chicago-Midwest
NACM Connect
COUNCILOR Kurt Albright Uline
To provide a forum to its members within the credit profession for education, networking and business resources.
EDITORIAL STAFF EDITOR Linda Herbst Senior Marketing Administrator ASSOCIATE EDITORS Lillian Novak, CGA V.P. of Education and Marketing Margaret Krafft Marketing Administrator
Mission Statement
Vision Statement
Striving to have the most comprehensive and leading NACM affiliate serving the commercial credit profession by consistently exceeding the members’ expectations.
Value Statement
We are committed to the highest ethical standards and recognize that our Association must take a leadership role in our profession. Through our integrity and dedication we will earn the respect of our members as we know that our success as an Association depends on their trust in us. By creating strong relationships we will attain the loyalty of our members and alliance partners. We continuously seek to build an environment for learning to enhance the knowledge and expertise of our members.
The InterConnection newsletter is published bimonthly by NACM Connect, a not-for-profit Association affiliated with the National Association of Credit Management. For membership information, visit our website at www.nacmconnect.org, call 800.935.NACM or fax us at 847.253.6685. NACM Connect Headquarters is located at 3005 Tollview Drive, Rolling Meadows, IL 60008.
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JULY /AUGUST 2019 PAGE 2
Education Digest
Institute of Credit (IOC)
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tart the process of earning your professional designation and register today for the NACM Connect Institute of Credit (IOC) Summer/Fall of 2019. If you would like more information, please contact the NACM Connect Education Department at 800.935.6226 or email Lillian Novak at lillian.novak@nacmconnect.org.
IOC COURSES 2019 CBA (Credit Business Associate) Course Schedule
Each of these courses fulfills one of the CBA certification requirements. **Class available via Live Videoconference
Business Credit Principles **Business Credit Principles **Financial Statement Analysis 1 Financial Statement Analysis 1
Wednesdays, 8/6 - 10/8 6 - 9 p.m.
Mondays, 8/19 - 10/28 5:30 - 8:30 p.m. *No class September 2
Thursdays, 8/22 - 10/31* 5:30 - 8:30 p.m. *No class October 17
Thursdays, 8/29 - 11/7 5:30 - 8:30 p.m.
Beachwood, OH Rolling Meadows, IL Rolling Meadows, IL
SAVE THE DATES!
Creve Coeur, MO
MISSOURI
CBF (Credit Business Fellow) Course Schedule
Each of these courses fulfills one of the CBF certification requirements. **Class available via Live Videoconference
**Credit Law
Wednesdays, 8/28 - 11/6 5:30 - 8:30 p.m. *No class October 16
Rolling Meadows, IL
As a remote student you are able to take live classes via our videoconferencing platform from the comfort of your home or office. Questions? Contact Margaret Krafft at 847.483.6420 or email margaret.krafft@nacmconnect.org.
Evening Class Times: 5:30 - 8:30 p.m. Institute of Credit (IOC) CBA and CBF class times are usually in the evenings. Please refer to the specific class registration form for more details on instructors, locations, fees and times.
EXAM DATES & DEADLINES Application and Paperwork Deadlines September 13, 2019
St. Louis September 11-12
ILLINOIS
Chicago October 16-17
OHIO
Columbus November 5-6
Exam Dates Monday, November 4, 2019
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JULY/AUGUST 2019 PAGE 3
NACM Connect
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Missouri
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Illinois
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News
NACM Connect Salutes Honor Flight Veterans Lillian Novak, CGA
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ochelle Wilson, CGA, Regional Manager of the NACM Connect Missouri/Kansas Region had the privilege of accompanying her father, Staff Sergeant Lawrence Knopfel, on the June 8th Honor Flight from St. Louis to Washington, D.C. Sergeant Knopfel served in the U.S. Airforce during the Korean War where he was stationed in Korea and Japan. On the same flight, Dave Beckel, CCE, MiTek USA, Inc., long time member of NACM Gateway and past Chair of NACM National, accompanied his father, Norm Beckel. He was a Radarman First Class in the US Navy who served in Norfolk, VA. The June 8th Honor Flight recognized the sacrifice made by 2 veterans of WWII, 17
Dave Beckel, CCE (left) and his father, Norm Beckel, Jr. (center, left) visit Washington D.C. with Lawrence Knopfel (center, right) and his daughter, Rochelle Wilson, CGA (right) after partaking in an Honor Flight
veterans of the Korean war and 2 veterans of the Viet Nam War. NACM Connect salutes Sergeant Knopfel, Radarman First Class
Beckel, and all our veterans as we prepare to celebrate the 4th of July.
•
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JULY/AUGUST 2019 PAGE 7
News
123rd Credit Congress & Expo Lillian Novak, CGA
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he beautiful and newly opened Gaylord Rockies was the site of this year’s Credit Congress. As usual, NACM Connect was well represented by both members and staff. This year’s Congress was particularly memorable, marking the first such event with snow. Congratulations to Erica White, CCE, Ferguson Enterprises for being honored
as this year’s recipient of the CCE Designation of Excellence award. White is a long-time advocate of NACM as well as NACM Connect, serving on the Board of Directors for both and as Chair of NACM Connect. Also, kudos go out to Frank Schetski, CGA and Rochelle Wilson, CGA for growing the membership in the Connect regions of Wisconsin and Missouri/Kansas respectively. See you in Las Vegas in 2020! ■
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JULY/AUGUST 2019 PAGE 8
NACM 123rd Credit Congress & Expo Photo Gallery
MAY 19-22
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News
Grand Rapids, Michigan Annual Meeting Photo Gallery
May 9
Pewaukee, Wisconsin Annual Meeting Photo Gallery
June 6
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JULY/AUGUST 2019 PAGE 10
News
Omaha, Nebraska Annual Meeting Photo Gallery
Wichita, Kansas Annual Meeting Photo Gallery
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June 11
June 13
JULY/AUGUST 2019 PAGE 11
News
Welcome New Members Sara Prochelo Bartlett Grain Co LP
Indianapolis, Indiana Annual Meeting Photo Gallery
June 18
Jennifer Hewitt Bomarko Inc. Kerrell Wolfe Civil and Environmental Consultants, Inc. Lisa Raine Daktronics Taneitha Price Enterprise Fleet Management Ruth Writer Georg Fischer LLC Mark Billmeyer Guerbet LLC Angela Hlavac Gustave A. Larson Company Jeff Tepe McCabe Lumber Kylie Hadenfeldt Mead Lumber Company Cathy Wethington Milestone Contractors LP Michael Czopek MSC Industrial Supply Sandi Crooks Nucor Steel Birmingham Nedra Ware-Hood Polynt Composites
June 20
Cleveland, Ohio Annual Meeting Photo Gallery
Monica March Structural Plastics Corporation Brandon Hill Total Quality Logistics Katelyn Ratteree Watlow Electric Manufacturing Co Kim Greiner West Central FS
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JULY /AUGUST 2019 PAGE 12
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JULY/AUGUST 2019 PAGE 13
News
An Approach to Teaching & Learning Ratio Analysis Using Low / High Risk Distinctions and Companion Ratios Larry Grogan, CCE
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ne of the most rewarding parts of teaching is when, through trial and error, the teacher comes across a method that resonates with students. I was teaching my Financial Statement Analysis 1 class how to take a ratio result and label it as low, medium or high risk as one step in arriving at an overall risk rating for an account. That proved difficult for most students to grasp in large part because of the somewhat grey area in the middle. The next time around, I simplified the task by eliminating the ‘medium risk’ category and giving them 2 choices: low or high risk. I thought it would be worth sharing this approach with others who are interested in learning how to work with ratios or are in the process of teaching others to do the same. In each of the cases shown below, a ratio results or situation is presented. Assuming the facts noted are the only data available, students were asked to assign a low or high risk rating. I later provided some commentary to help develop their reasoning ability. My hope was that, if they understood a ratio and perhaps a related or ‘companion’ ratio, it would enable them to perform well on the case study section of the final exam which was focused on using ratios to risk rate a company. This is exactly how I do it in class: at first, one ratio at a time. Then we add a 2nd ratio or fact and see if the risk rating they assign changes. These ‘Companion ratios’ can provide insight into the quality of another ratio’s components. In the case of the Current Ratio, the analyst can use DSO and Inventory Days to assess the quality of the Accounts Receivables and Inventory respectively. If they find out the current assets are not turning over quickly enough to generate the cash needed to pay liabilities as they fall due, they might conclude that the current ratio is inflated and the business may actually be facing a liquidity crisis. What follows are several ratio results posing as questions. The reader can circle the risk rating they would assign and
then review the suggested rating and the reasoning behind it. The answers I provide are not absolute. Liquidity Ratios: Q1: Current Ratio is 3:1 Low or high risk? Answer: Low risk. $3 of current assets for every $1 of current liabilities is a good cushion, remembering some inventory may not get sold on a timely basis and when it does, it’s still 30 or more days away from being converted into cash. Also, accounts receivable may get slow paid or have some uncollectible accounts within it. In any case, a ratio of 3:1 allows for some shrinkage in these key current assets. Even if the true coverage shrinks down to 2:1, $2 of current assets covering every $1 of current liabilities is considered very good. Q2: Current Ratio is .5:1 Low or high risk? Answer: High risk. 50 cents of current assets for every $1 of current liabilities is inadequate coverage. The company will likely need to borrow to make up for its working capital deficiency. Do they have the capacity to do so? Or will they stretch
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their trade creditors? A best practice would be to look at the individual current assets and current liabilities to see where the problem lies. Also check related ‘companion’ ratios: DSO (how is the A/R turning over?) and Inventory Days (how is the inventory turning over?). Where are these numbers trending? Calling the Customer is always an option because even if the news is bad, you can at least gain some insight as to what they are doing to turn it around and incorporate it into your credit risk rating & recommendation. Q3: Current Ratio is 2.5:1 while Quick Ratio is .25:1: Low or high risk? Answer: High risk. Wow! When you remove inventory from the Current Ratio (which is what the Quick Ratio does), it suggests the largest current asset was inventory. Perhaps too much inventory. Inventory is two steps removed from becoming cash: 1) it must be sold 2) the related A/R then must be invoiced & collected. With just 25 cents available to cover $1 of Current Liabilities, this business will need a line of credit or will likely stretch its trade creditors way beyond their terms. You could elect to call the JULY/AUGUST 2019 PAGE 14
News Customer to get the story. Note: many trade creditors do not request & review financials so they may miss this problem. It may show up in credit reports or credit trade groups as ‘slow payment’, ‘credit terms removed’ or ‘account placed for collection’. Q4: Current Ratio is 1:1 and company has $3m available on their $4m line of credit: Low or high risk? Answer: Low risk. If a company has a bank line of credit with plenty of availability on it, they can use it to pay their creditors if their current assets are insufficient or are not being converted into cash fast enough. This is how many seasonal businesses survive. How would you know if they had a line of credit? You might see it as a note payable on the balance sheet or interest expense on the income statement. Footnotes often provide bank line details but if they were not provided, you can call and ask your customer for the amount of the line, current availability on it, are they in compliance with all covenants, and when the line expires. The Current Ratio is a popular and easy to understand ratio, but it must be used with caution. If the ratio is high, is it because the company’s A/R is not getting collected and its inventory is not selling? Or did the company recently acquire another company and all of its inventory and A/R? That can distort the ratio. Also, many companies try to minimize their investment in A/R and inventory and have a consistently lower Current Ratio by design – using their line of credit to cover any working capital shortfall. If their Current Ratio has been 1:1 over the last 3-5 years, it could because they are intentionally managing it to that level. Which suggests they are managing their operating assets quite well. Of all the ratios, I think the Current Ratio is one is a teacher’s best friend as there is so much more than meets the eye. Students learn to look beyond the ratio results to see the components of the ratio and to evaluate their quality as well as any trends in the ratio results. Leverage Ratios: Debt isn’t good or bad. It can magnify profits in some cases and magnify losses in others. If a company is borrowing to expand the business by capturing strategic opportunities, the use of debt can be prudent. However, if the company is borrowing to make up for minimal or negative Cash Flow from its Operations, that can lead to trouble. In either case,
important questions include: can the company cover the related interest expense from its operating income? Will they be able to comply with all of the covenants imposed by their bank? Will they be able to pay the principal as it becomes due? The footnotes in audited financials usually show what portion of the debt falls due each year. If you don’t have footnotes, email or call the Customer and ask. Q5: Total Liabilities to Net Worth: 3:1 Low or high risk? Answer: High risk: Total Liabilities of $3 for every $1 of Owner’s Equity means external creditors have a significantly higher stake in business than the owners do. In my opinion, when this ratio rises above 2:1 or 2.5:1, it gets to be a bit risky. It’s been said, “the more you borrow, the less you can”. It would be important to find out the reason for the borrowing. And use the companion ratio “Times Interest Earned” to see how many times the company’s operating income can cover its interest expense. 2-3 times or more at this level of leverage would lessen my concern. Especially if the business was consistently covering its interest expense 2-3 times over the last several years. Erratic interest coverage makes creditors nervous since if it falls too low, it may trip a bank covenant. Q6: Times Interest Earned (TIE): 3x (3 times) Low or high risk? Answer: Low risk: Formula: Operating Income / Interest Expense. 3x is good interest coverage, keeping in mind that 1x is considered minimal and inadequate. The higher the better. Many banks use this as a covenant ratio. For example, they could require the company to report its TIE ratio quarterly. If they fail to meet the target ratio result, there could be penalties including a fee to waive the covenant violation and a higher interest rate for the remaining life of the loan. In rare cases, it could cause the loan to be accelerated. Q7: Times Interest Earned: 1x (1 time). Low or high risk? Answer: High risk. $1 of Operating Income for every $1 of Interest Expense is too close for comfort. That means every dollar of Operating Income is needed to cover the company’s Interest Expense. After interest expense and income tax expense, the company will likely show a Net Loss. We’d prefer to see interest coverage of 2 times or higher. And so would their bank.
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Summary: If you use the ‘Total Liabilities to Equity’ ratio and its companion ratio, ‘Times Interest Earned’, you will a good idea of a company’s risk. And the more data you have on their line of credit, the better. Note: Total Liabilities includes Accounts Payable which is not considered to be a ‘pressing liability’ because it can be stretched. Not so with a bank note payable. It is interest bearing debt and banks do not tolerate stretching of due dates as well as trade creditors do. Activity Ratio: Q8: Collection Period (DSO) of 58 days on Customer terms of Net 30. Low or high risk? Answer: High risk. If company’s terms are Net 30 and they are getting paid in 58 days, that will constrain their Cash and their ability to get future orders from their suppliers if they have to delay paying their A/P. This ratio result might suggest poor credit decisions, poor collection results or a company that has surrendered its Net 30-day terms for much longer terms of Net 60 or more. Cash Flow Ratios: Q9: CFO (Cash Flow from Operating Activities) is $-200,000. Assume business is not a start-up. Low or high risk? Answer: High risk. A start-up business may have negative CFO in its early years. For a mature business, CFO should generally be positive. To find out why it is negative, look first at year over year change in A/R and Inventory. If one or both increased, that means they ‘used’ cash instead of ‘providing’ it. That may be what is driving CFO negative. A large pay down of A/P year over year could be a factor as well as that also would use cash. Also, if the Cash Flow Statement is starting with a Net Loss at the top, that can also limit the amount of cash flowing thru the business. The risk would be even higher if the company had 2-3 years in a row of negative Cash Flow from Operations because ultimately a business must generate cash from its operations, or it will go out of business. Q10: Cash Flow from Investing Activities (CFI) is $-400,000. Low or high risk? Answer: Low risk. CFI should be negative as it means the firm is investing to maintain or grow its asset base which will keep it competitive. When CFI is positive, it suggests the business is selling its assets to raise cash rather than investing in its Continued on page 19 >> JULY/AUGUST 2019 PAGE 15
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News
Illinois Construction Stuff and Stuff Norm Cowie, CCE
T
he roof fell on our heads.
Well, not exactly. We weren’t in the building when the roof collapsed due to a mini-twister, but if we had been, it would have fallen on our heads. That was our company’s Memorial Day present from the skies, so I’m typing this now from my car. Ha, no, I’m lying, I’m actually in a temporary office in one of our branch locations. Well, the office is permanent, but I’m a temporary resident. But it gets you thinking about things. Like when you just miss being hit by a truck running a light at the intersection, or like when I was using a six-foot heavy iron spike to slice roots while digging a trench and it fell on me, hitting my neck but missing my bald spot and the fragile bones that protect my thinking processes. Or when your daughter first starts dating and you realize she’s no longer a little kid. You know, close calls, near misses, near hits. Things that might turn your world upside down and next thing you know you’re in China or other hemisphere. But it didn’t hurt anyone, other than our landlord’s insurance agency, and that’s why people pay insurance, right? As a buffer against four inches of water causing a building to collapse. It’s certainly not one of those things you expect to run into on a regular basis, and the insurance company is probably thankful no one got hurt, because then they’d be on the hook for medical damages as well. Er, I mean, they’re thankful because they’re really nice caring people. In the meantime, we’re rebuilding, and we expect to be back in our headquarters in a few weeks. In the meantime, we are making do in makeshift work areas, and doing our best to make it look like it’s easy, though I still have no idea where my stapler is. Speaking of not easy things, the bill I’ve been talking about, well, writing about, SB 1636, which would make all insurance companies non-profit with their CEO’s making no more than twice anyone else is
making is close to becoming law. Wait, I just read what I wrote. Wrong law, there’s no way the insurance lobbyists would allow our government to improve insurance coverage. Actually, SB 1636 would make it mandatory to reduce retention on Illinois construction projects from 10% to 5% once a project is halfway done. It has passed both Houses, and now all it needs is the Governor to scribble his name on it. He has sixty days from the end of May to make that decision and find his pen. There’s a chance he might not sign it, so if you like this bill, shoot him a quick letter asking him to autograph it. And since I’m rambling a bit with this article, I wanted to revisit the roof/water thing. It’s no secret I’m not a big fan of the Oil Industry (just read my Adventures of Guy books, especially the third book, Helliburton), and I think we have the whole oil pipeline thing wrong. We should put pipelines all over, but not to slog tar pit sludge from Canada to Texas and then ship it out of the country from the Gulf. We should move water. Imagine huge pipelines going from Louisiana to California, from North Carolina to Arizona, from the Lost City of Atlantis to the Mojave moving flood waters from where we have too much water to places we don’t have enough. Think about the jobs it would create. And if there was a leak somewhere along the way, there are no toxins being dumped on people who don’t want a pipeline going through their property.
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Just water. That stuff we all need. The wet stuff plants like. You could even tax the water, so we’re looking at more revenue. I’m sure someone living in an arid place where they can’t even water their lawn would be happy to pony over some dough if it means they could water their azaleas. With water pipes crisscrossing the country, the steel industry gets a boost, flooded states get relief, parched states get some moisture, and, best of all, mermaids get an interstate highway. Maybe if they find out a way for the insurance companies to benefit, they could sic their lobbyists on our government and get it done. Norm ■ Norman Cowie, CCE is Director of Credit for Paramont-EO, Inc. Besides his regular column for InterConnection, he has written articles appearing in the Chicago Tribune, Cynic Magazine, Business Credit and the Herald News. His current book titled, "The Illinois Mechanics Lien Statutes … and other construction stuff" is available for sale through NACM Connect. He also has ten published humor/fantasy novels, some through traditional publishers Echelon Press, Quake Books and Draumr Publishing, although more recently he has transitioned over to Indie publishing. Norm can be reached at norm.cowie@paramont-eo. com, or feel free to visit him at www.normcowie.com which features past NACM Connect articles.
JULY/AUGUST 2019 PAGE 17
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GABRIEL BILLING ANALYST • Manages portfolio of U.S., Canadian and Latin American accounts • Implements new pricing to billing system • Assists with reporting FPA and Budget Analyses • Aging’s and cash flow analyses
• Monthly accruals • Bilingual Spanish • Available for Temp-to-Hire and Direct Hire • Seeking opportunities in the Chicagoland, IL. area
To view all of the available opportunities visit our website at www.nacmmidweststaffing.org Midwest Business Staffing is a subsidiary of the National Association of Credit Management NACM Midwest affiliate. Midwest Business Staffing is dedicated and committed to providing our members and clients real solutions for their need to staff with qualified financial professionals. We are the only firm in Chicago that specializes in the recruitment of business-to-business commercial credit, collections, accounts receivable and deductions professionals. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 18
NACM Connect
An Approach to Teaching & Learning Ratio Analysis Using Low / High Risk Distinctions and Companion Ratios <<Continued from page 15 future. Sears CFI had been positive for years leading up to its bankruptcy since they were selling more assets to raise cash that they were buying to repair or replace depreciating assets. Q11: Cash Flow Margin (Cash Flow from Operations / Sales) was 6% while Net Margin (Net Income / Sales) was 4%. Low or High risk? Answer: Low risk. Which might be the better indicator of the firm’s performance? Answer: In the first case, CFO, a ‘cash’ number, is in the numerator. In the second, Net Income, an ‘accrual’ number, is in the numerator. In class we learned Net Income does not necessarily represent a pile of cash. Why? Due to accrual accounting. So perhaps the first ratio is better since Cash Flow from Operations is all about cash. The text book and many companies will substitute Cash Flow from Operations for Net Income in the
numerator of some ratios and observe how the ratio performs over time. Why not use both and be aware of the ratio components being used and what they suggest? Audit Opinion and Footnote related: Q12: Auditor opinions: a) Unqualified b) Qualified c) Going Concern. Low or high risk? Answers: a) Low risk. Unqualified suggests the accountants believe the financials were in line with GAAP (Generally Accepted Accounting Principles). This is exactly what we want to see. b) It depends. The qualification may be minor or major. Read the entire opinion, then decide and be careful not to overreact. c) High risk: this opinion suggests the auditors do not see the business surviving another year. An example of this might occur when the customer desperately needs a bank line of credit to survive but
cannot obtain one or live with the terms offered. When it’s bank support is gone, the business may soon be gone. Q13: Bank line of credit covenant broken. Low or High risk? Answer: High risk. Covenants are usually based on ratios like Times Interest Earned or Fixed Charge Coverage. When a firm’s ratios don’t meet the banks requirements, they have broken the covenant which can have negative consequences for the business, including a fee to waive the covenant violation and/ or higher interest rate in the future. If you don’t have footnotes to the financials, you should email Customer and ask if they are covenant compliant and how much they have available on their line of credit as of the financial statement date and today’s date. Continued on page 29 >>
CONFIDENCE IN TOMORROW
• Grow sales safely, domestically and abroad, to new and existing customers • Protect your business from risk of customer default and catastrophic loss • Reduce Bad Debt Reserves • Obtain greater access to funding and secure better finance options • Expand export markets and offer competitive terms overseas
www.eulerhermes.us
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 19
Caine & Weiner News
Caine & Weiner 2019 Quarterly Giveaways NACM CONNECT
JULY | AUGUST | SEPTEMBER
Place a collections claim with Caine & Weiner anytime during the months of July, August and September and become eligible to win a $150 Williams Sonoma gift card.
Each claim you place will be eligible for the drawings. Enter as often as you like! For information on placing claims, please contact Jim McGee at 847-407-2348. You may also place a claim online at www.caine-weiner.com.
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 20
Credit Group Meeting Calendar NACM Connect National Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 10-11
National Water Products Credit Group
Sheraton Uptown, Albuquerque, NM, 2-day
July 11-12
National Manufactured Housing Credit Group
Ameristar Casino, St Louis, MO, 2-day
July 14-15
National Horticultural Credit
Hyatt Downtown, Columbus, OH, 2-day
July 18-19
National Tool & Accessories Manufacturers Credit Group
Hilton Garden Inn, Milwaukee, WI, 2-day
July 18-19
Meatpackers of America Credit Group
Hampton Inn Downtown, Denver, CO, 2-day
July 23-26
National Home Healthcare, Nursing & Food Credit Groups
Saint Kate The Arts Hotel, Milwaukee, WI. 4-day
August 8- 9
National Christian Suppliers Credit Group
DoubleTree Suites, Nashville, TN
August 13
National Metal Industry Raw Material Suppliers
Hyatt Place Nashville/Downtown, Nashville, TN
August 14
Northeast Regional Metal Distributors
Hyatt Place BWI, Linthicum, MD
August 19-20
National Plumbing, Pipe & Heating Credit Group
Marriott Courtyard, Chicago, IL, 2-day
August 20-21
National Home Centers Credit Group
Marriott Courtyard, Chicago, IL, 2-day
August 22-23
National Consumer Products Credit Group
Marriott Courtyard, Chicago, IL, 2-day
NACM Connect Illinois/Wisconsin Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 8
Builders Suppliers Group
DOC, Lombard, IL
July 9
Electrical Distributors Credit Group
Ditka’s, Oakbrook Terrace, IL
July 11
Northern Illinois Heating Wholesalers Credit Group
Weber Grill, Schaumburg, IL
July 16
Metal Distributors Credit Group
Ditka's, Oakbrook Terrace, IL
July 17
Institutional Credit Association Credit Group
Ditka's, Oakbrook Terrace, IL
July 25
Basic Material Credit Group
Michael Jordan's, Oak Brook, IL
August 8
Northern Illinois Heating Wholesalers Credit Group
Parker's, Downers Grove, IL
August 8
Builders Suppliers Group
Cougar’s Game, Geneva, IL
August 13
Electrical Distributors Credit Group
Ditka’s, Oakbrook Terrace, IL
August 14
Floor Covering & Wall Tile Credit Group
Conference Call
August 15
Ad Media Credit Group
WGN America, Chicago
August 20
Metal Distributors Credit Group
Mon Ami Gabi, Oak Brook, IL
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 21
Credit Group Meeting Calendar NACM Connect Indiana/Michigan/Ohio Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 11
Lumber & Building Materials Credit Group
Pietro's, Grand Rapids MI
July 11
Indiana Wholesale Floor Covering Credit Group
Conference Call
July 11
Columbus Wholesale Electric Supply Credit Group
McNaughton-McKay Conference Room, Columbus, OH
July 16
Indiana Electrical Suppliers Credit Group
Becker Conference Room, Indianapolis, IN
July 16
Automotive Suppliers Credit Group
Conference Call
July 17
Metal Service Center Credit Group
Antonio's, Canton MI
July 18
Indianapolis Building Trade Suppliers Credit Group
Blueberry Hill, Indianapolis, IN
July 18
Michigan Electric Supply Credit Group
Antonio's, Canton MI
July 18
Cincinnati Dayton Wholesale Electric Credit Group
Century Inn, Cincinnati, OH
July 19
Fort Wayne Building Materials Credit Group
Don Hall's Gas House Restaurant, Fort Wayne, IN
July 24
Plumbing & Heating Wholesalers Credit Group
Blueberry Hill, Indianapolis, IN
July 24
Cincinnati Construction Suppliers Credit Group
Stone Creek Dining, West Chester, OH
July 24
Cleveland/Akron/Canton Food Suppliers Credit Group
Iacomini's/Papa Joe's, Akron, OH
August 8
Cleveland Foreign Credit Group
Crowne Plaza Cleveland South, Cleveland, OH
August 8
Columbus Wholesale Electric Credit Group
McNaughton-McKay Conference Room, Columbus, OH
August 13
Electric Industrial Supply Credit Group
Pietro's, Grand Rapids MI
August 14
West Michigan Heating & Plumbing Wholesalers Credit Group
Brann's, Grand Rapids MI
August 15
Michiana Credit Association Credit Group
Lucchese's Restaurant
August 15
Cincinnati Dayton Wholesale Electric Credit Group
Century Inn, Cincinnati, OH
August 15
Michigan Electric Supply Credit Group
Mojave Cantina, Clawson, MI
August 16
Fort Wayne Building Materials Credit Group
Don Hall's Gas House Restaurant, Fort Wayne, IN
August 20
Indiana Electrical Suppliers Credit Group
Becker Conference Room, Indianapolis, IN
August 20
Automotive Suppliers Credit Group
Conference Call
August 21
Indianapolis Building Trade Suppliers Credit Group
Blueberry Hill, Indianapolis, IN
August 21
Metal Service Center Credit Group
Antonio's, Canton MI
August 28
Plumbing & Heating Wholesalers Credit Group
Blueberry Hill, Indianapolis, IN
August 28
Cleveland/Akron/Canton Food Suppliers Credit Group
Iacomini's/Papa Joe's, Akron, OH
August 21
Cincinnati Construction Suppliers Credit Group
Stone Creek Dining, West Chester, OH
August 28
Plumbing & Heating Wholesalers Credit Group
Blueberry Hill, Indianapolis, IN
August 28
Cleveland/Akron/Canton Food Suppliers Credit Group
Iacomini's/Papa Joe's, Akron, OH
August 21
Cincinnati Construction Suppliers Credit Group
Stone Creek Dining, West Chester, OH
NACM Connect - Nebraska Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 9
Omaha Builders Credit Group
Teleconference
August 13
Omaha Builders Credit Group
Teleconference
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 22
Credit Group Meeting Calendar NACM Connect - Missouri Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 11
Kansas City Builders Credit Group
The Peanut, Shawnee Mission, KS
July 16
Midwest Regional Food Credit Group
NACM Missouri Office, Creve Coeur, MO
July 17
Electrical Distributors Credit Group
Bartolino's, St.Louis, MO
July 19
Refrigeration & Warm/Cool Air Suppliers Credit Group
Bartolino's, St.Louis, MO
August 8
Kansas City Builders Credit Group
Hereford House, Leawood, KS
August 9
Central Illinois Electrical Distributors Credit Group
The Dublin Pub
August 16
Refrigeration & Warm/Cool Air Suppliers Credit Group
Bartolino's, St.Louis, MO
August 20
Midwest Regional Food Credit Group
NACM Missouri Office, Creve Coeur, MO
August 21
Electrical Distributors Credit Group
Bartolino's, St.Louis, MO
NACM Connect - New York Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 9
Western New York Food & Beverage Supply Credit Group
Ilio DiPaolo's Buffalo, NY
July 10
Rochester Plumbing & HVAC Credit Group
Conference Call
July 12
Buffalo Building & Construction Credit Group
Eagle House Buffalo, NY
July 15
Erie Building Credit Group
Ruby Tuesday's Erie, PA
July 16
Central New York Building Credit Group
Coleman's Syracuse, NY
July 18
Rochester Building Credit Group
Cerame's Rochester,NY
July 19
International Benchmarking
Sport O Kings Batavia, NY
July 23
Buffalo Plumbing & Electric Credit Group
Eagle, House Buffalo, NY
August 9
Buffalo Building & Construction Credit Group
Eagle House Buffalo, NY
August 13
WNY Food Credit Group
Ilio DiPaolo's Buffalo, NY
August 14
Rochester Plumbing & HVAC Credit Group
Conference Call
August 15
Rochester Building Credit Group
Cerame's Rochester, NY
August 19
Albany Building Credit Group
Scarborough's Albany,NY
August 20
Central New York Building Credit Group
Coleman's Syracuse, NY
August 23
Best Practices
Eagle House Buffalo, NY
NACM Connect - Pennsylvania Local Industry Credit Group Meetings DATE
GROUP
MEETING LOCATION
July 10
Food Credit Group
Bravo Restaurant, W Homestead, PA
July 10
Building Trades Credit Group
Matzoni's, Altoona, PA
July 16
Construction Credit Group
Bravo Restaurant, Cranberry Township, PA
July 17
Plumbing & Heating Credit Group
Walnut Grill, Wexford, PA
July 30
Electrical Suppliers Credit Group
Bravo Restaurant, W Homestead, PA
August 14
Food Credit Group
Bravo Restaurant, W Homestead, PA
August 14
Building Trades Credit Group
Matzoni's, Altoona, PA
August 20
Construction Credit Group
Bravo Restaurant, Cranberry Township, PA
August 21
Plumbing & Heating Credit Group
Walnut Grill, Wexford, PA
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 23
Event Calendar DATE
EVENT
LOCATION
TIME
PRESENTER / INSTRUCTOR(S)
July 9
NACM Connect Ohio – Dayton Credit 103
NACM Connect Dayton, OH
9 a.m. – 4 p.m.
Tom Shimko, CCE
July 10
NACM Connect Illinois – Rolling Meadows Credit 102 | Available Through Videoconferencing
NACM Connect Rolling Meadows, IL
9 a.m. – 4 p.m.
Rich Bellis, CCE
July 16
NACM Connect Ohio – Independence Roundtable Discussion
Kichler Lighting Independence, OH
8:30 a.m. – 10:30 a.m.
Michael Welday, MBA,CCE,RGCP
July 17
NACM Connect Ohio – West Chester Roundtable Discussion
UNO Pizzeria & Grill Union Centre West Chester, OH
11:30 a.m. – 1:30 p.m.
Jay Zimmerman John Hoffert
July 22
NACM Connect Illinois SAP Credit and A/R Users Group Meeting
NACM Connect Rolling Meadows, IL
8 a.m. – 4 p.m.
Linda Hass
July 23
NACM Connect Missouri – St. Louis Roundtable Discussion
Chris’ Pancake & Dining St. Louis, MO
8:30 a.m. – 9:30 a.m.
Erica White, CCE
July 23
NACM Connect Indiana – Indianapolis A Credit Professional's Guide to Financial Statements
Ferguson Enterprises Inc. Indianapolis, IN
8:30 a.m. – 12:30 p.m.
Susan Thomas, CCE, MBA
July 26
NACM Connect Wisconsin – Sheboygan Falls Best Practices Discussion Group
Fat Cow Pub & Eatery Sheboygan Falls, WI
12:15 p.m.
Erica White, CCE
August 6
NACM Connect Indiana – Indianapolis Roundtable Discussion
Kirby Risk Corp. Indianapolis, IN 46202
11 a.m. – 1 p.m.
Angela Mukuru, CBA
August 6
NACM Connect Ohio – Beachwood Business Credit Principles (10 weeks)
OMNOVA SOLUTIONS, INC. Beachwood, OH
6 p.m. – 9 p.m.
Matthew Meyer, CCE
August 7
NACM Connect Illinois – Rolling Meadows Credit 103 | Available Through Videoconferencing
NACM Connect Rolling Meadows, IL
9 a.m. – 4 p.m.
Rich Bellis, CCE
August 13
NACM Connect Indiana – Fort Wayne UTA – Learn How to Lower Your Credit Card Rates and How to Surcharge Your Credit Cards Legally Seminar
OMNOVA Solutions, Inc. Beachwood, OH
11:30 a.m. – 1 p.m.
Michael Williams
August 13
NACM Connect Ohio – Cincinnati Credit 101
Cincinnati Container Co., Inc. Cincinnati, OH
9 a.m. – 4 p.m.
Cliff Chamberlain, CPA
August 14
NACM Connect Ohio – Independence Roundtable Discussion
The ALL Family of Companies Independence, OH
8:30 a.m. – 10:30 a.m.
Matthew Meyer, CCE
August 14
NACM Connect Ohio – Columbus UTA – Learn How to Lower Your Credit Card Rates and How to Surcharge Your Credit Cards Legally Seminar
STAR LEASING CO. Columbus, OH
11:30 a.m. – 1 p.m.
Michael Williams
August 14
NACM Connect Illinois – Rolling Meadows A Guide to Proactive Collections and Effective Credit Department Communications Seminar
NACM Connect Rolling Meadows, IL
9 a.m. – 4 p.m.
Rich Bellis, CCE
August 15
NACM Connect Pennsylvania – Cranberry Township UCC/Liens Seminar
MARRIOTT COURTYARD Cranberry Township, PA
8 a.m. – 12:30 p.m.
Jerry Bailey Marla Zurlo
August 15
NACM Connect Illinois – Lincolnshire Roundtable Discussion
Half Day Brewing Company Lincolnshire, IL
12:15 p.m. – 2 p.m.
Claire Ann Resop Michael Richman
August 16
NACM Connect Ohio – Cincinnati UTA – Learn How to Lower Your Credit Card Rates and How to Surcharge Your Credit Cards Legally Seminar
FECHHEIMER BROTHERS CO. Cincinnati, OH
8:30 a.m. – 10 a.m.
Michael Williams
August 19
NACM Connect Illinois – Rolling Meadows Business Credit Principles (10 weeks) Available Through Videoconferencing
NACM Connect Rolling Meadows, IL 60008
5:30 p.m. – 8:30 p.m.
Jason Bogardt, CCE
August 21
NACM Connect New York – Buffalo Breakfast Roundtable Discussion
Original Pancake House Williamsville, NY 14221
9 a.m. – 10:30 a.m.
Anthony Mitchell, CBA
August 22
NACM Connect New York – Rochester Breakfast Roundtable Discussion
International House of Pancakes Rochester, NY
9 a.m. – 10:30 a.m.
Anthony Mitchell, CBA
August 22
NACM Connect Indiana – Elkhart Roundtable Discussion
Mid City Supply Elkhart, IN
11 a.m. – 1 p.m.
Stu Boswell, CBF
August 22
NACM Connect Illinois – Rolling Meadows Financial Statement Analysis I (10 weeks) Available Through Videoconferencing
NACM Connect Rolling Meadows, IL 60008
5:30 p.m. – 8:30 p.m.
Larry Grogan, CCE
August 23
NACM Connect Illinois – Chicago SOCIAL EVENT – Chicago Cubs vs Washington Nationals
Rooftop Chicago, IL
1:20 p.m. – 6 p.m.
August 28
NACM Connect Michigan – Grand Rapids Credit 101"
Behler Young Co. Grand Rapids, MI 49509
9 a.m. – 4 p.m.
Curt Johnson, CCE
August 28
NACM Connect Illinois – Rolling Meadows Credit Law (10 weeks) Available Through Videoconferencing
NACM Connect Rolling Meadows, IL 60008
5:30 p.m. – 8:30 p.m.
John Jaeger, CCE
August 29
NACM Connect Missouri – Creve Coeur Financial Statement Analysis I (10 weeks) Available Through Videoconferencing
NACM Connect Missouri Creve Coeur, MO
6 p.m. – 9 p.m.
Curtis Litchfield, CCE
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 24
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THE INTERCONNECTION
®
JULY/AUGUST 2019 PAGE 25
NACM Connect
Institute of Credit
2019 Course Schedule
3005 Tollview Drive Rolling Meadows, IL 60008 Phone: 847-483-6478 Fax: 847-253-6241 nacmconnect.org
All courses are available through live videoconferencing! CBA Courses Course Description
Fall
Business Credit Principles (10 weeks)
Mondays August 19 - October 28*
Financial Statement Analysis I (10 weeks)
Thursdays August 22 - October 31*
CBF Courses Course Description
Fall
Credit Law (10 weeks)
Wednesdays August 28 - November 6*
As a remote student, you can take live classes via our videoconferencing platform from the comfort of your home or office. Questions? Contact Margaret Krafft at 847.483.6420 or margaret.krafft@nacmconnect.org.
Evening Class Times: 5:30 – 8:30 p.m. *No Class on July 4 (Independence Day), September 2 (Labor Day), October 16 and 17 (Chicago Conference).
Course Fees Member – $450 (plus textbook fee**) Two coupons are valid per person.
Non-Member –$900 (plus textbook fee**)
**Additional rush charges may occur if registration is not submitted two weeks prior to start of class.
Tuition Must be Paid Before the First Class Begins. All registrations for NACM Connect educational events are taken online at nacmconnect.org. While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed.
Classes are subject to cancellation based on enrollment. Questions? Contact Lillian Novak at lillian.novak@nacmconnect.org or call 800.935.6226 THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 26
NACM Connect
CONGRATULATIONS! New Designees
CONGRATULATIONS! Credit 101 Graduates
CBF
Credit 101 JUNE 9
• Derek Tribble, CBF MFA
• • • • • • • • • • • •
CBA • Brandy Coppini, CBA Hammer Packaging • Elizabeth Osuna, CBA Lesman Instrument Company • Kris Stephenson, CBA Company Wrench
Alan Kelly, Branded Custom Sportswear Ann Blankenship, Nesco Rentals Beth Smith, Centro, Inc. Cindy Niewinski, Edward Don & Company Dianne Zidek, Edward Don & Company Eric Meginnis, L&W Supply Imelda Peralta, Edward Don & Company Jennifer Voytell, Ecolab Mary McCann, NACM Connect Max Weaver, Keim Lumber Co. Inc. Ronnie Hicks, Mytex Polymers US Corp. Teh Lien Gurt, NACM Connect
Classes now Available via Live Videoconference! Register for the
Credit 101, 102, 103 Series Upcoming NACM Connect 2018 Class Dates Credit 101
Credit 102
• October 9
Credit 103
• July 10
• August 7
• November 6
• December 11
Registration Information Class Time 9 a.m. – 4 p.m. Location
NACM Connect Headquarters 3005 Tollview Drive, Rolling Meadows, IL 60008 $230 per class Members
$460 per class Non-Members
Visit www.nacmconnect.org/course-schedules for more locations, information and registration.
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 27
Credit 101, Credit 102, & Credit 103 Registration Information Class Time 9 a.m. – 4 p.m. (Continental breakfast at 8:30 a.m., lunch not included)
$199 per class Members
$398 per class Non-Members
INDIANA | MICHIGAN | OHIO CREDIT 101
CREDIT 102
CREDIT 103
INDIANA Elkhart
Mid City Supply Co. Inc. 940 Industrial Pkwy. Elkhart, IN 46516
September 19
October 17
November 21
INDIANA Fort Wayne
Franklin Electric Co. Inc. 9255 Coverdale Road Fort Wayne, IN 46809
September 11
October 9
November 13
Behler Young Co. 4900 Clyde Park Ave. SW Grand Rapids, MI 49509
August 28
September 25
October 23
Cincinnati Container Co. Inc.. 5060 Duff Drive Cincinnati, OH 45246
August 13
September 10
October 8
MICHIGAN Grand Rapids
OHIO Cincinnati OHIO Dayton
NACM Connect Office 41 White Allen Ave. Dayton, OH 45405
OHIO Toldeo
Toledo / Sylvannia Township Branch Public Library 3900 King Road Toldeo, OH 43617
July 9
September 10 & 11 3:30 p.m. - 6:30 p.m. (Each Class)
October 8 & 10 3:30 p.m. - 6:30 p.m. (Each Class)
November 12 & 14 3:30 p.m. - 6:30 p.m. (Each Class)
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. Please Note:
• • • •
Payment must be received one week prior to class date “No Shows” will be responsible for full amount Classes subject to cancellation based on enrollment 0.6 CEUs available
Cancellation Policy: Cancellations must be received in writing (via fax email or mail) no later than one week prior to the class date to qualify for a full refund. Cancellations received later than one week prior to the class date do not qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. A 20% surcharge applies to late registrations and rebooking. If you have any questions, email info@nacmconnect.org.
Register online at www.nacmconnect.org THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 28
News
An Approach to Teaching & Learning Ratio Analysis Using Low / High Risk Distinctions and Companion Ratios <<Continued from page 19 Intangible factors: Q14: Customer is 3 months late in getting you their financials and they note they have been shopping for a new line of credit. Low or high risk? Answer: High risk. When public or private company financials are delayed, that can suggest high risk. Especially if you learn the company is shopping for a new line of credit. Some auditors won’t sign off on the financials until Customer has found a source of liquidity. When the business is unable to do so, their accountants might give them a ‘Going concern’ opinion which could ultimately lead them into bankruptcy. It’s always better to ask the customer the reason for the delay than not asking and assuming the worst. While you have them on the call, you can also ask “Hey, how’s the year shaping up for your business?” Q15: Bank line of credit expires 3 years from now. Low or high risk? Answer: Low risk. Many banks routinely expire business lines of credit annually and usually renew them. When a bank gives a company an expiration date 3 years into the future, it can be interpreted as a sign of strong bank support which is always a good thing. Q16: After a bad year, customer enclosed a management letter with their financials outlining the challenges they faced in the prior year and noted steps they plan to take to turn the situation around in the current year. Low or high risk? Answer: at first this sounds like ‘high risk’ but consider if they had elected to send their bad year financials to their creditors without any comments or not send them out at all? Creditors are more likely to work with a Customer who owns up to their problems and demonstrates they have a well thought out plan to overcome them. A letter like this opens the door for a follow-up call to learn more and perhaps earn more future business and loyalty. When you get the big picture, you might conclude that the risk is actually lower that what the numbers on their financials suggest. Remember: the numbers only tell part of the story. There are other nonfinancial or intangible factors to incorporate into your credit decision.
Q17: Company’s workers go on strike. Low or high risk? Answer: High risk. This could hurt their top line (sales). A long strike could put them at a great disadvantage to their competition and may also cause them to break supply contracts. Not good. You can’t see a strike coming by reading the financials. But your sales rep on the street can sense the tension on-site and provide an early warning. Q18: Public company with stock price of $220 per share with 3 years running of negative CFO and Net Loss. Low or high risk? Answer: Low risk. This sounds like Tesla. If the share price is that high with terrible results it suggests the firm still has many believers and can still sell more stock to raise cash if they need to. Some investors are very patient if the company has a good future story even if the present results are negative. Could be due to having a visionary founder or a product like an economical electric car that could go mainstream. It would be high risk if the stock price tumbled into double or single digits. Sears had similar terrible results, but it really had no future. How could one tell? The stock price was near $1 for months leading up to its bankruptcy. Q19: Public company with a Moody’s Rating of CCC: Low or high risk? Answer: High risk. Think like school grades: A is low risk. C is high risk. The rating agencies use letter ratings like this. Rating agency ratings (Moody’s, S&P and Fitch) are available on their respective web for free. Just go there and register. In conclusion, in class we usually go through 40 of these via Excel spreadsheet. Some are ratios. Others are non-financial facts (strike, flood, late financials etc.). Each situation requires a low or high risk rating and a justification. While we may not always agree on the risk rating, the process does cause each student to think about the ratio and its components, and in some cases, it’s companion ratio(s). My hope is that, in the process or working through these, students are able to reason through each situation rather than looking for a rule of thumb to decide for them i.e. “A Current Ratio of 2:1 is always good”. ■
THE INTERCONNECTION
Larry Grogan, CCE, is a Credit Analyst with BP Products NA. With over 25 years of credit experience, Grogan played a lead role in implementing credit score carding at BP and is past Chairman of the NACM Midwest Board of Directors. Grogan received a Bachelor of Science degree in Marketing from Bradley University and an MBA from Benedictine University. He is also a graduate of NACM’s Graduate School of Credit & Financial Management at Dartmouth College. Grogan is currently on the faculty of NACM Connect’s Institute of Credit’ and has taught classes, seminars and delivered on-site training on the topic of Financial Statement Analysis.
Wichita and Kansas City Sweep the 2019 CFDD National Awards <<Continued from page 1 Wichita Chapter for exceptional, consistent program achievements during the past year Chris Birdwell in recognition of his remarkable achievement, beyond his Area Director duties, for being instrumental in the efforts of creating and launching the Oklahoma City chapter In addition to the awards, two Area Directors were installed:
• Chris Birdwell, Credit Strategies
Manager for Pioneer Balloon Company in Wichita, Kansas will represent the membership and serve as liaison with the Chapters in Wichita and Kansas City
• Brett Bartling, CCE, CICP, Senior
Credit Analyst for Warren Distribution, Inc., in Omaha, Nebraska will represent the membership and serve as liaison with the Chapters in Omaha/Lincoln and Albuquerque
Congratulations to the Omaha, Wichita and Kansas City chapters as well as Chris and Brett.■ JULY/AUGUST 2019 PAGE 29
We Have the Solution! NACM Connect offers credit reporting products and solutions to help manage your business credit and assess associated risk.
NACM CONNECT’S PREFERRED PARTNERS
DOMESTIC BUSINESS REPORTS AVAILABLE
INTERNATIONAL BUSINESS REPORTS AVAILABLE
CONSUMER REPORTS/ EMPLOYMENT SCREENING AVAILABLE
TransUnion | Experian | Equifax
FOR MORE INFORMATION, CONTACT YOUR REGIONAL REP: Chicago/Illinois Craig Smith, Director of Credit Solutions 847.483.6484 Northern Illinois, Wisconsin & Nebraska Nick Pokrifcak • 847.483.6469
Missouri, Michigan, Kansas Rich Steinkoenig • 314.677.2804 Indiana, South West Ohio (Cincinnati/ Dayton areas), Pennsylvania Jim Kelly • 513.795.1740
THE INTERCONNECTION
New York, Ohio: Eastern, Northern and Central areas Darren Greene • 740.324.7507 Supports all NACM Connect Members Paula Slyder, CGA • 937.401.2710 JULY/AUGUST 2019 PAGE 30
Illinois
SAP Credit and A/R Users Group Meeting Open Forum Discussion Moderated by
Linda Hass, SAP Consultant Monday, July 22, 2019 NACM Connect 3005 Tollview Drive Rolling Meadows, IL 60008
Open Forum 8:00 a.m. - 4:00 p.m. Cost SAP User Group Members Registration Fees
Non-Member Fees
$175, SAP User Group Members, first attendee
$350, Non-SAP group member
$145, Each additional attendee from the same company
$450, Non-NACM member
(Price includes continental breakfast and lunch. Sorry, no coupons accepted for this event)
Registration Form Name:
Company:
Address:
City:
Phone:
Email:
What do you consider your level of expertise in SAP?
Member #: State:
Zip: Fax:
Beginner
Intermediate
Advanced
You will be invoiced for this meeting. Please submit payment once invoice has been received. Upon receipt of the invoice, if you wish to pay by credit card please call 1-800-935-6226
Please email your discussion topics to themis.vlahos@nacmconnect.org Fax this registration form to 847-483-6428 no later than Thursday, July 18, 2019 For more information, please contact Themis Vlahos, CCE at 800-935-6226, ext. 6428
THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 31
Illinois
Wednesday, August 14
NACM Connect
│
3005 Tollview Drive
Instructor: Richard Bellis, CCE
has been a Credit Professional and Senior Manager working for such companies as Polaroid Corporation, Platinum Technology, Robert Bosch Tool Corporation, Unilever and most recently, KeHe Food Distributors, Inc. He has taught Operations Management at the graduate level and has previously served on the Board of Directors for NACM Midwest. Richard currently is an instructor for NACM Midwest, teaching Credit Courses and is an active member of the Association of Credit Executives (ACE). His professional expertise is in the area of Credit and Collections, Cash Forecasting and Order-To-Cash processes with emphasis on organizational structure, policy and procedural improvements.
q
Wednesday, August 14 Registration deadline: August 1
Half day seminar:
q Morning Session (9 am–12 pm) q Afternoon Session (1 pm–4 pm) $149 | Member, $298 | Nonmember (one coupon per person)
q
Full day seminar: (lunch included)
$199 | Member, $398 | Nonmember
│
Rolling Meadows, IL 60008
Effective Credit Department Communications
Morning session
By definition “Communication” is the act or process of using words, sounds, signs, or behavior to express or exchange information or to express your ideas, thoughts, feelings, etc. to someone else. Important in both internal and external conversations, communcating in the right fashion will reap much more meaningful results. After this session you will know the attributes of good communication, types of communication, strategies for effective communications and the 7 C’s of Good Credit Communications.
A Guide to Proactive Collections
Afternoon session
Good collectors are proactive – they anticipate the responses and the attitudes of their customers before they make the collection call so they can act and react in a positive manner. In the afternoon session you will learn to be proactive by improving your skills related to collections. Through this interactive workshop you will learn to establish an effective routine, set collection call priorities and measure your collection effectiveness.
(two coupons per person)
Attendance at this seminar is worth .15 Continuing Education Units/CCE Recertification points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions?Email Contact Lillian Novak at lillian.novak@nacmconnect.org or call 847.483.6478 this form to registration@nacmconnect.org. You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 32
Illinois
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Northern Illinois
August Roundtable Discussions
MY CUSTOMER FILED FOR BANKRUPTCY… NOW WHAT? Guest Facilitators
Claire Ann Resop and Michael Richman (Attorneys at Steinhilber Swanson LLP, Madison, WI)
► Lincolnshire (Rescheduled Date) Thursday, August 15 12.15 p.m. (lunch) Half Day Brewing Company 200 Village Green Lincolnshire, IL 60069 Pre-registration is required! Registration deadline: 24 hours prior to the roundtable of your choice. $25 members, $50 non-members. One coupon per person is valid. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 33
Illinois
NACM CONNECT MEMBER SOCIAL EVENT
Editorial credit: Frank Romeo / Shutterstock.com
Let’s go out to the ballgame! Have some fun before summer ends – you deserve it. Enjoy food, drinks, the company of others and the northside’s favorite team!
Time: 1:20
pm
Only $65 per person ($209 value) One coupon per company accepted.
This event is open to NACM Connect members only. Limited number of tickets will be available on a first-come, first-served basis. Food, wine, beer and soft drinks included.
If you have any questions, please contact Lillian Novak at lillian.novak@nacmconnect.org or 847.483.6478
All registrations for NACM Connect events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed (one coupon per company accepted). All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Register online at www.nacmconnect.org THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 34
Indiana A half-day
Seminar
designed for Credit Professionals
A CR ED IT PR OF ES S IO
NA L’ S GU ID E TO
FINANCIAL STATEM
Tuesday • July 23
Registration Deadline: July 16
Breakfast 8:00-8:30 a.m.
8:30 a.m.–12:30 p.m.
This will be a half day interactive session – bring your lap tops so you can follow along using real financial statements and spreadsheets as we go through the concepts. You should expect to leave the session having a basic understanding of the following topics: • US Generally Accepted Accounting Principles (GAAP) for reporting financial information • Related accounting concepts and why they are important to credit professionals • What audited financial statements are and why they matter
ENTS
Ferguson Enterprises Inc 4110 N. Franklin Road Indianapolis, IN 46226
Attendees will be provided with an excel template that generates basic ratio and other comparisons which can be modified to adapt to individual company calculations or industry preferences. The group will work together with the instructor to develop a credit recommendation so there is hands-on training in addition to lecture.
Speaker: Susan Thomas, CCE, MBA Half day seminar: (Breakfast included)
• Each type of financial statement and how a credit professional uses it • Ratios that are most useful to support credit decisions • Putting it all together to make a credit decision – whether to grant, and what credit limit
$139 – Members (One coupon per person)
$278 – Nonmembers
Attendance at this seminar is worth .4 Continuing Education Units/CCE Recertification points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions? Contact Kelly Hall at kelly.hall@nacmconnect.org or call 317.225.4281 THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 35
Indiana
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Indiana
August Lunch Roundtable Discussion
CUSTOMER PORTALS Moderator: Angela Mukuru, CBA / Kirby Risk Corp
Tuesday, August 6 11:00 a.m. – 1:00 p.m. Location: Kirby Risk Corp. 1348 W. 16th St. Indianapolis, IN 46202
Come join us to discuss how you and your company deal with customer portals! • Changes in collection methods-less calls and e-mails? • Portal Entry • Benefits • Challenges • Sales, Operations and Collector functions/duties
Cost per Meeting $30 members, $60 non-members. One coupon per person is valid. Lunch included. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Register online at www.nacmconnect.org THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 36
Indiana
LEARN HOW TO
LOWER YOUR CREDIT CARD RATES A N D H O W TO S U R C H A R G E YO U R C R E D I T C A R D S L E G A L LY Presented By: Michael Williams, UTA
SIRVA, INC. │ 101 E. Washington Blvd. Floor 10 │ Fort Wayne, IN 46802
11:30 a.m. – 1:00 p.m. Tuesday August 13 (Lunch included)
$25 – Members (One coupon per person)
Registration Deadline: August 6
$50 – Nonmembers
Eliminate credit card acceptance fees while adhering to credit card network compliance requirements by using UTA’s automated surcharge solution for credit card payments accepted over the phone, online, or at the point of sale • Eliminate card network noncompliance exposure • Card validation occurs automatically upon card entry ensuring only qualified payments are surcharged • Surcharge notification and disclosure requirements will be provided prior to rollout • No software or integration required. No need to change your existing bank account nor your banking relationship • Fully PCI Compliant with secure off-site card information storage
Michael has served the NACM Membership as Vice Presiden of NACM Relations for over twenty years. A familiar face within the NACM, Michael has partnered with NACM Members to introduce creative solutions for credit card cost reduction, surcharging, and for simple cost effective credit card alternatives.
Ask for a one-on-one consultation Phone 305.606.6703 or 786.264.7019 Email mwilliams@unitedtranzactions.com
Attendance at this seminar is worth .15 Continuing Education Units/CCE Recertification points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions? Contact Kelly Hall at kelly.hall@nacmconnect.org or call 317.225.4281 THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 37
Indiana
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Indiana
August Lunch Roundtable Discussion
SETTING CREDIT LIMITS WITHOUT FINANCIAL INFORMATION Moderator: Stu Boswell, CBF
Thursday August 22 11:00 a.m. – 1:00 p.m. Mid City Supply 940 Industrial Pkwy. Elkhart, IN 46516
• Role of Experian and D&B Reports • Review of trade references • Importance of bank reference information • How to use sales “discovery” information • Art versus science Art versus science
Cost per Meeting $30 members, $60 non-members. One coupon per person is valid. Lunch included. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Register online at www.nacmconnect.org THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 38
Missouri
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Missouri
July Breakfast Roundtable Discussion
ADVANCING TO THE MAJORS WHILE BEING A GOOD TEAMMATE AND HOW TO EMBRACE STRIKEOUTS… WORKING ACROSS GENERATIONS, FAILURE, GROWTH, ETC… Moderator: Erica White, CCE, Ferguson Enterprises
Tuesday July 23, 8:00 a.m. – 9:30 a.m. Chris’ Pancake & Dining 5980 Southwest Avenue St. Louis, MO 63139 Cost per Meeting $25 members, $50 non-members. One coupon per person is valid. Breakfast included. Attendance at this roundtable discussion is worth .15 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 39
New York Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Eastern/Western New York
Roundtable Discussion Series Best Practices of Credit
How to Best Work with Sales Buffalo - May 15th Rochester - May 16th Moderator: Todd Fierstein, NACM Connect
Buffalo - June 19th Moderator: Rick Kivler, Robinson Home Products
Payment Plan Ideas & Options
Benefits of NACM
Buffalo - August 21st Rochester - August 22nd Moderator: Anthony Mitchell CBA,Crop Production Services
Buffalo - September 18th Rochester - September 19th Moderator: Mike McSparron, Admar Supply
Letters of Credit & UCC’s Buffalo - October 16th Rochester - October 17th Moderator: TBA Please select each meeting you plan to attend. All meetings are from 9:00 a.m. – 10:30 a.m. EST
Buffalo Location: Original Pancake House 5479 Main St. Williamsville, NY 14221
Rochester Location: International House of Pancakes 556 Jefferson Road Rochester, NY 14623
Cost per Meeting
$25 members, $50 non-members, one coupon per person is valid. Breakfast Included. Attendance at this roundtable discussion is worth .15 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 40
Ohio
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Ohio
July Breakfast Roundtable Discussion
HELP!
I’m Drowning in Deductions!! Tuesday July 16 8:30 a.m. – 10:30 a.m. Kichler Lighting 7711 E. Pleasant Valley Rd Independence, OH 44131
Moderator: Michael Welday, MBA,CCE,RGCP / Kichler Lighting
• Understanding your customer’s deduction process • Using root cause analysis to segregate deductions into manageable groups
• Working with sales to understand supply contract verbiage • Driving cross-functional change to fix broken internal processes • Streamlining workflow when deductions are inevitable • Implementing deduction management workflow with large customers Cost per Meeting
$25 members, $50 non-members. One coupon per person is valid. Breakfast included. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 41
Ohio
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. –Chuck Levy, CCE Credit Manager Fabick CAT
2019 Ohio
July Lunch Roundtable Discussion
COLLECTION STRATEGIES and MEASUREMENTS to IMPROVE PERFORMANCE Moderators: Jay Zimmerman/Fechheimer Brothers Co; John Hoffert/Formica Group
Wednesday July 17 11:30 a.m. – 1:30 p.m. Collection Techniques and Strategies • Know The Prospect/Account and The Potential Dollar Value • Be Aware of the Payment History • Have an Airtight Credit App with Terms of Agreement, PG and Signatures
• If It Doesn’t Feel or Smell Right, Don’t Offer Terms • If It’s An Existing Customer and They aren’t Paying Within Terms It’s a Great Time to Talk To Them About Expectations
• Have A Defined Collection Policy and Process
Location
Uno’s Pizzeria & Grill 9246 Schulze Drive West Chester, OH 45069
• Talk in Specifics, Not Generalities. Leave Nothing For the Debtor to Assume • Handle Excuses Professionally
Collection Measurements • DSO • CEI • Average Days Delinquent
• Bad Debt To Sales
Cost per Meeting $30 members, $60 non-members. One coupon per person is valid. Lunch included. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 42
Ohio
Roundtable discussions are a great opportunity to review, discuss, question and learn best practices with credit professionals of countless experience and backgrounds, across various industries and company sizes. It is a great opportunity to network with other credit professionals that you can later reach out to regarding the roundtable discussion or other related credit processes or circumstances. They are equally beneficial to both the newer and the more experienced. â&#x20AC;&#x201C;Chuck Levy, CCE Credit Manager Fabick CAT
2019 Ohio
August Breakfast Roundtable Discussion
CREDIT TERMS AND THE COST OF DOING BUSINESS Wednesday August 14 8:30 a.m. â&#x20AC;&#x201C; 10:30 a.m. The ALL Family of Companies
Moderator: Matthew Meyer, CCE / Valtris Specialty Chemicals, Inc.
Determine how much it costs to extend credit terms and how it impacts working capital
4700 Acorn Drive Independence, OH 44131 Cost per Meeting
$25 members, $50 non-members. One coupon per person is valid. Breakfast included. Attendance at this roundtable discussion is worth .2 Continuing Education Units/CCE Recertification points
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to meeting date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Email this form to registration@nacmconnect.org. Register online at www.nacmconnect.org You will be invoiced shortly. THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 43
Ohio
LEARN HOW TO
LOWER YOUR CREDIT CARD RATES A N D H O W TO S U R C H A R G E YO U R C R E D I T C A R D S L E G A L LY Presented By: Michael Williams, UTA
STAR LEASING CO. │ 4080 Business Park Drive │ Columbus, OH 43204
Wednesday August 14
11:30 a.m. – 1:00 p.m. (Lunch included)
$25 – Members (One coupon per person)
Registration Deadline: August 7
$50 – Nonmembers
Eliminate credit card acceptance fees while adhering to credit card network compliance requirements by using UTA’s automated surcharge solution for credit card payments accepted over the phone, online, or at the point of sale • Eliminate card network noncompliance exposure • Card validation occurs automatically upon card entry ensuring only qualified payments are surcharged • Surcharge notification and disclosure requirements will be provided prior to rollout • No software or integration required. No need to change your existing bank account nor your banking relationship • Fully PCI Compliant with secure off-site card information storage
Michael has served the NACM Membership as Vice Presiden of NACM Relations for over twenty years. A familiar face within the NACM, Michael has partnered with NACM Members to introduce creative solutions for credit card cost reduction, surcharging, and for simple cost effective credit card alternatives.
Ask for a one-on-one consultation Phone 305.606.6703 or 786.264.7019 Email mwilliams@unitedtranzactions.com
Attendance at this seminar is worth .15 Continuing Education Units/CCE Recertification points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions? Contact Kelly Hall at kelly.hall@nacmconnect.org or call 317.225.4281 THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 44
Ohio
LEARN HOW TO
LOWER YOUR CREDIT CARD RATES A N D H O W TO S U R C H A R G E YO U R C R E D I T C A R D S L E G A L LY Presented By: Michael Williams, UTA
FECHHEIMER BROTHERS CO.
Friday August 16
│
4545 Malsbary Road
│
Cincinnati, OH 45242
8:30 a.m. – 10:00 a.m. (Breakfast included)
$25 – Members (One coupon per person)
Registration Deadline: August 2
$50 – Nonmembers
Eliminate credit card acceptance fees while adhering to credit card network compliance requirements by using UTA’s automated surcharge solution for credit card payments accepted over the phone, online, or at the point of sale • Eliminate card network noncompliance exposure • Card validation occurs automatically upon card entry ensuring only qualified payments are surcharged • Surcharge notification and disclosure requirements will be provided prior to rollout • No software or integration required. No need to change your existing bank account nor your banking relationship • Fully PCI Compliant with secure off-site card information storage
Michael has served the NACM Membership as Vice Presiden of NACM Relations for over twenty years. A familiar face within the NACM, Michael has partnered with NACM Members to introduce creative solutions for credit card cost reduction, surcharging, and for simple cost effective credit card alternatives.
Ask for a one-on-one consultation Phone 305.606.6703 or 786.264.7019 Email mwilliams@unitedtranzactions.com
Attendance at this seminar is worth .15 Continuing Education Units/CCE Recertification points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions? Contact Kelly Hall at kelly.hall@nacmconnect.org or call 317.225.4281 THE INTERCONNECTION
JULY/AUGUST 2019 PAGE 45
Pennsylvania A half day seminar designed for Credit Professionals
UCC/LIENS
Presented By: Jerry Bailey and
MARRIOTT COURTYARD │ 150 Cranberry Woods Drive
Thursday August 15
Marla Zurlo, NCS
│
Cranberry Township, PA 16066
8:00 a.m. – 12:30 p.m. Breakfast 8:00–8:30 a.m.
$139 – Members (One coupon per person)
Registration Deadline: August 1
$278 – Non-members
UCC Filing Session: 8:30 a.m. - 10:20 a.m.
Lien and Bond Claim Session: 10:30 a.m. - 12:30 p.m.
• Impact to DSO, Cash Flow, Working Capital • Overview and Benefits of Secured Transactions • Basic UCC Filings • Purchase Money Security Interest Filings • Chapter 7 and Chapter 11 Bankruptcies • Types of Filing: Which is Right for Your Situation? • Leveraging Default • Who Might Use these Tools? • Security Agreements and Financing Statements • Forms and Filing Rules • Recognizing Opportunities to Take Security • Questions and Answers
• What are Credit Managers Saying? • Impact to DSO, Cash Flow, Working Capital • Justifying the Credit • A Brief History • Types of Liens • Terms, Legal Procedures and Ladder of Supply • State Laws: Similarities and Differences • Foreclosure Considerations • Bonds: Definitions and Types • Miller Act • Public Improvement Liens • Questions and Answers
Attendance at this seminar is worth .4 Continuing Education Units/CCE Recertification Points.
All registrations for NACM Connect educational events are taken online at www.nacmconnect.org While registering online, you will have the opportunity to choose your payment method. We are happy to take a credit card online or invoice you. You will also have the opportunity to apply coupons as allowed. All payments must be received one week prior to seminar date.
Cancellation Policy: Cancellations must be received in writing via fax, email or mail no later than one week prior to the meeting date to qualify for a full refund. Cancellations received later than one week prior to the meeting date DO NOT qualify for a refund of registration fees. Sorry, phone cancellations cannot be honored. If you have any questions, please email info@nacmconnect.org.
Questions? Contact Lillian Novak at lillian.novak@nacmconnect.org or call 847.483.6478 THE INTERCONNECTION
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Wisconsin
NACM CONNECT
EASTERN WISCONSIN BEST PRACTICES DISCUSSION GROUP LUNCHEON MEETING
We understand that information in today’s credit world is vital and participating in such a group will provide you with creditspecific education, contacts in the local credit community, along with the opportunity to share ideas and best practices with fellow colleagues. About the Best Practices Discussion Group Unlike traditional credit groups, the NACM Connect Best Practices Discussion Group is not industry specific. Your entire company may attend each meeting including your associates, members of the sales department and even the CEO of your organization. Any NACM member company is welcome to join the group. Each meeting will discuss best practices and no specific customers will be mentioned.
About the Group Meetings Four times each year, the Best Practices Discussion Group will hold a roundtable discussion. Local meetings will be held in the Sheboygan/ Kohler/Plymouth/Manitowoc/Fond du Lac area. We will focus on various credit-related topics relevant to today’s business professional. NACM personnel, a member company or guest speaker will facilitate a lunch meeting.
Objectives of the Best Practices Discussion Group
Next Meeting Topic: Building a Credit Culture That Lasts Guest Presenter: Erica White, CCE Ferguson Enterprises, Addison, IL
Date: Friday, July 26 12:15 p.m. (Lunch) Location: Fat Cow Pub & Eatery 406 Broadway Street Sheboygan Falls, WI (in middle of downtown area) Information or to Register: Please contact Frank Schetski at frank.schetski@nacmconnect.org or 414.232.4565
• Determine necessary improvements for your credit and/or accounting departments and organization. • Analyze how other organizations achieve high performance levels. • Use gathered information to enhance your company’s performance.
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JULY/AUGUST 2019 PAGE 47
The InterConnection
800.935.NACM
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