Monday
Jun222009
Using put options successfully as bankruptcy protection
Monday, June 22, 2009 at 03:18PM Excerpt from ICBA Advantage Issue 3 - Spring 2009
Businesses want solutions that provide protection against the results of distressed customers going bankrupt. The ICBA member for Mexico, Brazil, Hong Kong, China and the U.S. gets client requests for creative and sound solutions to this problem. Yet, credit insurance is not always an available option.
An alternative that works to good effect is an Accounts Receivable Put Option (A/R Put)