Jargon helps us communicate, especially if you are in on the lingo. But sometimes it can exclude people from engaging in the conversation. I remember the first time someone mentioned to me that an event was ‘one off.’ What did that mean? Eventually, ‘one off’ became so frequently used in my business that I was able to figure out, based on context, what the expression meant.
I recently conducted an unscientific study of 11 business people – Question: If I used the expression ‘trade credit’ would you know what I meant?
If you just asked yourself what is ‘trade credit’, you are not alone. Take a look at how these successful business people responded.
For the record, trade credit is the credit you extend to your customers allowing them to pay on terms (30 to 45 days is typical).