Case study - Metalco Incorporated: Credit insurance for the metals sector

Ben Green, President and Owner at Metalco Incorporated in Chicago, Illinois, explains how Atradius Trade Credit Insurance has helped him secure new business confidently.

Metalco was founded over 20 years ago to distribute high-quality metals to customers across the United States. 

Since then, its inventory has expanded to include domestic and imported metals produced around the world. When Metalco needed a credit insurer to become proactive in the steel sector, Atradius committed. Atradius has proven to be cost effective and provide meaningful coverage within the industry.

Our Role

To mitigate customer credit risk, increase new business deals and improve credit management processes at Metalco, Atradius provides the following: 

• Provides monthly reports on all customers, helping Metalco spot negative payment trends as early as possible to avoid losses.
• Review the creditworthiness of all new potential customers to determine if a new trading relationship can be made.
• Provides guidelines on smart trade credit limits with new and existing customers.
• Provides a team of experts to keep Metalco up-to-date on relevant industry and economic trends.
• Provides debt collection resources to assist when a customer fails to pay.
• Protects the business from unpaid invoices caused by customer bankruptcy, default or other reasons.

Results

With the backing of Atradius’s resources, Metalco has been able to expand business with existing customers and go after new business it previously would have shied away from. 

“We’ve been targeting a particular customer for a long time, and thanks to the quick turnaround in approvals from Atradius we were able to secure their business,” Green says.

The team of Atradius experts was able to analyze the financials of this new customer and extend insurance coverage within 48 hours. Their quick response allowed Metalco to secure the customer promptly, with the coverage they needed.

“Partnering with Atradius has helped us avoid missed opportunities,” Green says. “We can confidently seek out new customers that we wouldn’t normally partner with and avoid mistakes with financially unstable customers.” Additionally, Green’s customers say they feel safer sending their financial information through a third-party like Atradius when analyzing their credit viability. 

This reduces the fear of fraud and misquoted credit reference sheets for both parties. Green said the most important service Atradius provides is its quick communication. 
The team’s efficiency has helped Metalco win new business, stay up to date on industry trends and avoid lost credit.

About Metalco Incorporated

Founded in 1999, Metalco is a distributor specializing in high-quality ferrous and non-ferrous coil and sheet. Its inventory consists of domestic and imported coils, produced throughout the world. Through established relationships with quality domestic mills, international trading companies and ISO certified toll processors, Metalco provides excellent service to customers throughout the United States.