ERN Israel, founded by Rony Natanzon in 2001, has developed a unique method of servicing the outstanding check market in Israel. Currently the leading company in its field, ERN’s proprietary risk management systems allow its customer merchants the ability to accept checks without fear of return, thus increasing sales and eliminating risk for the business owner.
Israel’s Check Market
According to the figures of The Bank of Israel, the annual volume of checks turnover in Israel, totals more than NIS 905 Billion, including more than NIS 99 Billion in the consumer market. According to The Central Bureau of Statistics and other publications, 14% of adults use checks and this percentage is even higher in Israel’s periphery.
Guaranteed Payment of Checks
Businesses need to increase sales, to acquire new customers and to grow.
This requires the business to “go along with the customer” in any way possible, including the option of paying for the product or service in any form of payment chosen. In order to do so, and to avoid unnecessary financial risks (such as cash flow problems, collections and bad debt), thousands of businesses in Israel have joined the services of guaranteed check payment offered by ERN.
The company, using its unique databases and the most advanced risk management systems in the country, allows businesses to accept checks that were approved by ERN, without any fear. Thus, ERN assumes all financial risks in respect of those transactions and reimbursing their merchant customers if the checks return unpaid.
Service Advantages To The Business:
- Increased turnover from accepting more checks.
- Acceptance of checks from private customers, authorized dealers, corporations and other legal entities (such as associations, partnerships, etc.).
- Approval of diverse transactions (low as well as high amounts per transaction).
- No more bounced checks and collection problems.
- Less bad debt.
- Less financing and collection costs (opening files with the Execution Office, locating customers, seizures, etc.).
- Savings in personnel to deal with returned checks.
To The End-Customers:
- Choosing a convenient payment method.
- Effective cost management and control.
- The ability to spread payments over a longer period of time.
- True non-bank credit.
- The ability to make purchases even without a credit card.
- The option to buy more at greater amounts, without drawing on any bank credit facility.
Unique Risk Management Model
The name of the game in the Guaranteed Checks industry is the ability to approve as high a percentage as possible out of the transactions requested by the business at the point-of-sale (cash register), within a few seconds. Using its advanced risk management model, and qualitative information, ERN can guarantee Millions of transactions each year, worth Billions of Shekels, thus giving its business customers a service that allows them to increase their sales, expand the circle of potential customers and increase profitability.
Growth and Satisfaction
The marked satisfaction of ERN-customer businesses is reflected in its double-digit growth every year. ERN’s customer base includes nationwide chains in industries such as food, electrical appliances, furniture, clothing, footwear, home design, and vehicles chains. ERN also serves thousands of private small businesses from all sectors throughout the country.