Sep 21, 2018

Posted by & filed under Credit.

Published in the Sussman Shank LLP Spring 2018 Newsletter

Businesses of every size confront privacy and data security issues on a near-daily basis. Employees, consumers, customers, and clients are more concerned with the safety of their personal information than ever before. At the same time, the risks from lax security measures have never been greater. The following are questions that business owners and their advisors should be asking to determine compliance with privacy laws and preparedness for a cyber incident (data breach).

1. What kind of data does your business store?

Compile an inventory of the data that your business stores. Find out who the data belongs to, how your business received the data, and where that data is stored.… Read the rest

Sep 21, 2018

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How Can I Protect My Business?

Train Your Employees

  • Your best defense is an informed workforce. Explain to your staff how scams happen and share this brochure with them. Order free copies at FTC.gov/Bulkorder.
  • Encourage people to talk with their coworkers if they spot a scam. Scammers often target multiple people in an organization, so an alert from one employee about a scam can help prevent others from being deceived.
  • Train employees not to send passwords or sensitive information by email, even if the email seems to come from a manager. Then stick with the program — don’t ever ask for sensitive data from employees by email.

Verify Invoices and Payments

  • Check all invoices closely. Never pay unless you know the bill is for items that were actually ordered and delivered.
Read the rest

Sep 21, 2018

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In 2010, Universal City (Universal) hired Coast Iron & Steel Co. (Coast Iron) to build a new ride at the Universal Studios Hollywood. Coast Iron subcontracted the installation of the metalwork to United Riggers & Erectors, Inc. (United Riggers). The initial subcontract between Coast Iron and United Riggers was for $722,742, but was increased by change orders to approximately $1.5 million. United Riggers completed its work to Coast Iron’s satisfaction.

In August 2012, Universal made its final retention payment to Coast Iron. However, Coast Iron refused to pay any retention to United Riggers due to disputes over change order requests from United Riggers which increased the subcontract price by approximately $350,000. United Riggers then filed suit to collect these sums, including prompt payment penalties under California Civil Code Section 8814 for failure to timely pay retention.… Read the rest

Sep 21, 2018

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Cash Flow: D&B Credit Advantage leverages Dun & Bradstreet’s analytics to determine risk in the marketplace and calculate the predicted default rate for each account in your portfolio. That information – combined with your data on how accounts are paying you – helps you to benchmark and validate that your bad debt reserve is maximizing working capital.

Growth: With D&B Credit Advantage, you’ll be able to provide sales opportunities for your business development and sales teams by identifying existing customers who represent a low credit risk but could have the propensity to buy more.

Ask your NACM representative to learn more about D&B Credit Advantage!… Read the rest

Sep 21, 2018

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Private and public construction laws across the United States are two sides of the same coin. The state statutes are similar yet different but often vary greatly. Even within the same state, laws differ depending on the type of project (private, public, commercial or residential). Construction creditors need to be on the lookout for several items when making a credit decision, including job information and the state laws where the project is located.

These two elements are often intertwined and knowing who the customer is and where a party fits within the chain of command on the project can determine what steps must be taken according to state law. A creditor who takes their job seriously will do their best to gather as much information as they can, which includes the location of the project, the customer’s information and, if applicable, information about their customer’s customer.… Read the rest

Jul 19, 2018

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Talk of trade wars and tariff hikes dominate the financial news. It has become difficult to go through a day in which we aren’t sidetracked by headlines speaking of protectionism and the destruction of free trade.

Despite this negative overtone, the US economy is on track to perform better than it has since the early 2000’s. For instance, job openings are at historic highs and companies are scrambling to find and retain qualified talent. Manufacturers specifically are reporting that their growth opportunity is so strong that their performance is being throttled by a talent and labor shortage. We also hear the same challenges being echoed across construction, transportation, healthcare, and many other sectors.

These are signs of a rapidly growing economy, one that could easily hit 3.3% annualized GDP growth for the first time in more than 14 years, since well prior to the Great Recession.… Read the rest