The result obtained indicated that the credit management strategies sub-variables-credit risk assessment, debt recovery strategy, receivable collection policy, have positive and statistically significant impact on the liquidity sub-variable-Ability to pay, level of bad debt, and cash inflow (R=.654 R 2 =.632, p=.0<.05 R=.692, R 2 =.674, p=.0<. One-way ANOVA was used for descriptive statistics, and a simple regression analysis method was used to test the formulated hypotheses. 342 valid responses were returned by the participants and analyzed. 500 staff representing 60% of the population were used as the sample population upon which copies of questionnaire were administered. The descriptive survey research design was implemented. This study evaluated the impact of credit management strategies on the liquidity and profitability of quoted chemical & paints manufacturing companies in Nigeria. The issue of low liquidity has been traced to weak credit management resulting in a poor receivable collection when due and bad debt losses.
Extant literature showed the failure of many manufacturing organizations was due to poor profit maximization emanating from lack of adequate liquidity to initiate viable investments.
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