$Atlantic/Tracy, a distributor of bearings and power transmission equipment, headquartered in Somerville, Mass., is trying to be more creative with its credit policy toward marginal customers. One company with a sizable outstanding balance was put on a COD basis and agreed to pay 150% of the value of each shipment until the balance owed was down to an acceptable level.

Atlantic/Tracy also assessed its expense-capitalization policy and decided to raise the point at which it capitalizes an item. For instance, a $400 desk, previously capitalized, is now written off as an expense item providing a greater tax shield to earnings.

EDITOR-NOTE:

This month's money-saving ideas were contributed by members of the Smaller Business Association of New England (SBANE). If you belong to an association, perhaps you'd like to get together and brainstorm for Buckstopper ideas. Write us and we'll send you as many Buckstopper cards as your group needs.

Any contributor whose idea we publish will receive an INC. Buckstopper moneyclip. Individual readers should simply fill in the postage-paid card bound into the magazine on page 94.