2 min read
The supply-side risk
Just as a single big customer is risky, a single critical supplier is too. Their failure, a price shock or a delivery gap can stop your operation. It mirrors customer concentration risk on the buy side.
Reducing it
Qualify a second source, hold sensible stock, and keep a cash buffer for shocks. Address it in your continuity plan so a supplier problem is manageable, not fatal.
What it means for you
Credicorp lends to your company, not to you personally, and takes no personal guarantee. A standby facility helps you absorb a supply-chain shock without a personal guarantee. See business loans or apply online.
Frequently asked questions
Is single-supplier dependence a real risk?
Yes. If that supplier fails, raises prices or cannot deliver, your production and cash flow are directly exposed. Alternatives reduce the risk.
How do I reduce supplier risk?
Qualify a second source, hold reasonable stock, and plan for disruption in your continuity plan, backed by a cash buffer.
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.