Nowadays, the enterprise competition of the competitive market in China becomes
fiercer and fiercer. In order to expand the market share rapidly and improve the competitive
advantage of products, the main way is the credit sale of account receivable, followed by the
credit risk of account receivable. At present, many enterprises have less awareness to the
credit risk, and their credit management system needs more development. Most of them just
focus on the current high profit of their books instead of considering whether the delinquent
and occupied current capital can take back in time, so that bad debts of account receivable
cause great damage. So, the important parts of enterprise operation and management are the
account receivable relationship of enterprises, the cash flow of enterprises and the fund
requirement of reproduction. Through effective credit management system of customers and
credit assessment model, the enterprise can reduce vastly the risk of account receivable, speed
up turnover of capital, increase the utilization ratio and add enterprises’net profit to guard
against the operating risk of enterprises and capital loss. This article begins from account
receivable situation, analyzing the main reason of account receivable risk, and aims at the
problem of credit risk to expound the credit management system of customers and the
establishment of credit management system.
