2 min read
Definition
A trade debtor is a customer who owes a company money for goods or services delivered on credit. Trade debtors are current assets and represent income earned but not yet received.
In plain terms
It's money that's yours in principle but still sitting in a customer's account. Profit on paper, but not cash you can use.
Why it matters for your company
High trade debtors strangle cash flow; reducing debtor days frees the money, and invoice finance unlocks it early. See how to reduce debtor days.
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Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.