Your Virtual Credit Manager

NOVEMBER 1, 2022

Photo by Kenny Eliason on Unsplash Effective collections is the single most important factor for achieving reliable cash inflows. Effective collections can also reduce bad debt losses by compensating for a liberal or weak Credit Control function. The solution to the collections challenge therefore starts with Prioritization.

Credit and Collections 130

Credit and Collections Past Due Invoices Bad Debt Accounts Receivable (AR) 130

Your Virtual Credit Manager

AUGUST 29, 2023

Effective collections are crucial to maintaining a healthy cash flow and the financial stability of your company. If your business is struggling with cash flow or AR balances are growing, it could be a sign that your collections policy requires updating. There are a myriad of issues that can affect collections.

DSO 130

DSO Credit and Collections Bad Debt Collection Effectiveness Index 130

Your Virtual Credit Manager

APRIL 2, 2024

Commercial credit scores predict the likelihood of a business fulfilling its financial obligations, particularly regarding debt repayment and trade credit. Their greatest value, however, may be not what they can tell you about an individual company, but what they can tell you about your entire accounts receivable (AR) portfolio.

Credit Scoring 130

Credit Scoring Credit and Collections Bad Debt Credit Risk 130

Your Virtual Credit Manager

JUNE 11, 2024

My first exposure to the power of accounts receivable (AR) automation came in 1990 when I was credit manager at ERICO Fasteners, a mid-market, specialty metals manufacturer. The first month after we automated a few basic features to supplement our accounting package, we realized an increase in cash flow of 30 percent.

AR Automation 130

AR Automation DSO Collector Accounts Receivable (AR) 130

Gaviti

FEBRUARY 4, 2025

The world of Accounts Receivable (AR) is evolving rapidly. With increased interest rates and inflation, businesses are facing increasing pressure to collect cash faster. In 2025, successful businesses will: Analyze payment trends to refine credit terms and collection strategies.

Average Days Delinquent 59

Average Days Delinquent Credit and Collections AR Metrics Accounts Receivable (AR) 59

Emagia

DECEMBER 30, 2024

Understanding the nuances of accounts receivable (AR) in accounting is crucial for maintaining accurate financial records and ensuring effective cash flow management. The Role of Debits and Credits in Accounting In accounting, debits and credits are fundamental concepts used to record transactions.

Accounts Receivable (AR) 40

Accounts Receivable (AR) Days Sales Outstanding Credit and Collections Bad Debt 40

Your Virtual Credit Manager

FEBRUARY 20, 2024

(Photo by Carlos Muza on Unsplash ) A Framework for Choosing Suitable AR Metrics Businesses should carefully assess their specific needs, objectives, and operating context when selecting metrics for accounts receivable (AR) performance measurement. Where do you need to improve? Like any metric, DSO has limitations.

DSO 130

DSO Days Sales Outstanding Credit and Collections Accounts Receivable (AR) 130

Emagia

FEBRUARY 21, 2025

Managing accounts receivable (AR) is crucial for maintaining a healthy cash flow and ensuring the financial stability of a business. Effective tracking of AR involves implementing clear processes, utilizing appropriate tools, and regularly monitoring key performance indicators (KPIs).

Days Sales Outstanding 40

Days Sales Outstanding DSO Bad Debt Credit and Collections 40

Lockstep

JUNE 15, 2022

For B2B businesses, credit management is essential for accounts receivable (AR) management success. Proper, healthy credit management allows for steady cash flow, better collections management and a manageable days sales outstanding (DSO). . Getting Started .

AR Automation 91

AR Automation Bad Debt DSO Accounts Receivable (AR) 91

Your Virtual Credit Manager

JUNE 25, 2024

In order to maintain optimal cash flow, your accounts receivable (AR) portfolio needs to remain in good shape. That can be a constant battle because all the mis-steps made during the order-to-cash (O2C) process will accumulate in your AR, and given time, clog it up.

Bad Debt 130

Bad Debt Credit and Collections Days Sales Outstanding DSO 130

Emagia

MARCH 3, 2025

The Accounts Receivable (AR) Process Cycle is a fundamental component of a company’s financial operations, encompassing the series of actions taken to manage and collect payments owed by customers for goods or services provided on credit. Electronic invoicing helps in quick delivery and tracking.

Days Sales Outstanding 40

Days Sales Outstanding DSO AR Reporting Credit and Collections 40

Your Virtual Credit Manager

SEPTEMBER 10, 2024

To optimize the order-to-cash (O2C) process, it's crucial to understand the significant role Credit and Collections plays. This function must collaborate closely with sales, fulfillment, shipping/logistics, and accounting, all of which are integral to converting an order into cash.

Credit and Collections 130

Credit and Collections DSO Deductions Accounts Receivable (AR) 130

Your Virtual Credit Manager

MAY 14, 2024

Since payment of Accounts Receivables (AR) is the primary source of regular cash inflows for most companies, you need to also track your AR to not only maintain its health as well as to better manage it and ensure maximum cash inflow. Why Are Metrics Needed if You Have an AR Ledger?

AR Metrics 130

AR Metrics DSO Credit and Collections Accounts Receivable (AR) 130

Your Virtual Credit Manager

FEBRUARY 21, 2023

That certainly holds true for business processes, including the management of your Accounts Receivable (AR) and the part it plays in the order-to-cash process. If your AR is deteriorating, you better diagnose the problem as quickly as possible so you don’t incur cash flow problems and bad debt losses.

DSO 130

DSO Credit and Collections Collection Effectiveness Index Bad Debt 130

Your Virtual Credit Manager

DECEMBER 6, 2022

If your sales are consummated via payment at the point of sale, which may involve “pay with order” or “pay on delivery” protocols involving a credit card or an online e-payment product, managing Accounts Receivable (AR) will not be big issue for you.

DSO 130

DSO Credit and Collections Bad Debt AR Aging 130

Emagia

FEBRUARY 21, 2025

In today’s rapidly evolving financial landscape, businesses are continually seeking ways to enhance efficiency and optimize cash flow. One critical area ripe for innovation is accounts receivable (AR) management. The question, “Can accounts receivable be automated?”

AR Automation 40

AR Automation Days Sales Outstanding DSO AR Metrics 40

Your Virtual Credit Manager

APRIL 11, 2023

Accounts Receivables (AR) require active management. Any O2C friction that results will ultimately have a negative affect on AR performance. Photo by Elisa Ventur on Unsplash When a company’s AR under-performs, the consequences are substantial. There are multiple costs and vulnerabilities that emerge.

Bad Debt 130

Bad Debt Credit and Collections Accounts Receivable (AR) Days Sales Outstanding 130

The Esker Blog

JANUARY 3, 2023

Days Sales Outstanding (DSO) is a common measure for how long it takes a company to collect on an invoice. The goal is to reduce DSO to have the lowest DSO possible and quickly recover payment on accounts receivable (AR). DSO = ($125,000 / $950,000) × 365 days = 48. Are they well trained?

DSO 98

DSO Accounts Receivable (AR) Credit and Collections Days Sales Outstanding 98

Your Virtual Credit Manager

DECEMBER 19, 2023

If you are an executive at a small or mid-sized business, chances are you are in the process of putting together a budget for 2024, or have already done so. Maybe you have factored in an incremental improvement in DSO, but how much thought have you given to how you are going to meet that budgeted goal?

DSO 130

DSO Third Party Collections Credit and Collections Deductions 130

Your Virtual Credit Manager

JULY 25, 2023

Turning your inventory over faster and your payables slower will add cash to your balance sheet, as will raising capital by selling shares in your company or getting a loan or line of credit. The other option you have involves improving the performance of your accounts receivable (AR).

Best Possible DSO (BPDSO) 130

Best Possible DSO (BPDSO) DSO Cash Forecasting Credit and Collections 130

Gaviti

FEBRUARY 2, 2025

Understanding and improving the processes that influence your business operating cycleespecially accounts receivable (AR) managementcan significantly enhance financial performance. DSO represents the average time taken to collect payments after a sale. Clear communication with customers.

DSO 52

DSO Credit and Collections Accounts Receivable (AR) Days Sales Outstanding 52

Emagia

FEBRUARY 21, 2025

Introduction to Accounts Receivable Software Understanding the fundamentals of accounts receivable software is the first step in choosing the best solution for your business. What is Accounts Receivable Software? Frequently Asked Questions What is accounts receivable software?

Payment Portals 40

Payment Portals Accounts Receivable (AR) Days Sales Outstanding Cash Applicator 40

Emagia

JANUARY 27, 2025

A crucial aspect of maintaining a healthy cash flow is effective accounts receivable (AR) management. When AR processes are slow or disorganized, businesses face delayed payments, increasing the risk of bad debts and cash flow disruptions. to simplify payment processing and reconciliation.

DSO 40

DSO AR Metrics Accounts Receivable (AR) Days Sales Outstanding 40

Emagia

FEBRUARY 20, 2025

Automating accounts receivable (AR) is a strategic move for businesses aiming to enhance cash flow, reduce manual workloads, and improve overall financial efficiency. Importance of Automating Accounts Receivable In today’s fast-paced business environment, manual AR processes can lead to delays, errors, and inefficiencies.

AR Automation 40

AR Automation Credit and Collections Cash Applicator DSO 40

Your Virtual Credit Manager

JULY 11, 2023

Accounts Receivable (AR) is among the three largest assets on most companies’ books — inventory along with plant and equipment are the other two. AR is also the primary source of cash to fund daily operations. For example, if collections are constant and sales are rising, DSO will increase.

Best Possible DSO (BPDSO) 100

Best Possible DSO (BPDSO) DSO AR Metrics Credit and Collections 100

billtrust

NOVEMBER 1, 2022

The primary goals of accounts receivable The best KPI for accounts receivable Ten AR optimization goals you should accomplish How to get paid faster with key collection strategies How accounts receivable automation can eliminate manual tasks. The less money outstanding, the better flow will be.

Accounts Receivable (AR) 52

Accounts Receivable (AR) Bad Debt Days Sales Outstanding DSO 52

Gaviti

JULY 11, 2024

Benefits of Accounts Receivable Automation Software Whether your goal is to automate the collections process with accounts receivable automation software or scale it as your company grows,you’ll want to look for a solution that offers the most benefits for your business. Having a proactive collections strategy.

DSO 52

DSO AR Automation Credit and Collections Bad Debt 52

Emagia

JULY 3, 2023

Cash Application Automation for True Straight-Through Processing It takes a lot of human effort for your internal accounts receivable (AR) personnel to manually match payments to customers’ accounts. Consider using cash application software and AR automation to simplify this procedure and reduce manual labor.

Automated Cash Application 52

Automated Cash Application Cash Applicator Days Sales Outstanding AR Automation 52

The Corcentric Blog

JUNE 27, 2023

Accounts Receivable automation has been increasingly adopted by businesses as a way to streamline their financial processes and optimise their cash flow. Many similar technologies are already in use for accounts payable (AP) departments, such as algorithms and AI to automate the processing of invoices received.

AR Automation 52

AR Automation Accounts Receivable (AR) DSO Days Sales Outstanding 52

Gaviti

FEBRUARY 6, 2023

And with the proliferation of AI and machine learning tools in the digital landscape, 2023 is the perfect time for accounts receivable (AR) teams to examine their processes and find areas for improvement through better technologies, tactics, and process management.

AR Automation 52

AR Automation Accounts Receivable (AR) DSO Days Sales Outstanding 52

Emagia

AUGUST 19, 2024

Generative AI (GenAI), a more recent evolution in artificial intelligence, is poised to redefine the Finance and Accounting (F&A) landscape, particularly in areas like Order-to-Cash (OTC) and accounts receivable (AR) management.

Cash Applicator 52

Cash Applicator AR Automation Accounts Receivable (AR) Days Sales Outstanding 52

Emagia

JUNE 19, 2023

Credit Invoice Contrary to other types of invoices on this list, credit invoices are used to provide money to someone rather than to seek it. Debit Invoice Debit invoices, unlike credit invoices, are issued by the customer when they have been underbilled. Businesses may consider legal action or AR factoring.

AR Automation 52

AR Automation Past Due Invoices Accounts Receivable (AR) Days Sales Outstanding 52

Your Virtual Credit Manager

MARCH 11, 2025

Businesses have been digitizing ever since the introduction of accounting software in the 1960s. Over the past quarter century, these tools have become much more robust as it relates to O2C activities, but still do not provide a unified solution that addresses all the activities performed by credit and collections as well as the AR function.

Days Sales Outstanding 130

Days Sales Outstanding Credit and Collections DSO Accounts Receivable (AR) 130

Emagia

DECEMBER 30, 2024

In today’s fast-paced business environment, efficient management of accounts receivable (AR) is crucial for maintaining healthy cash flow and ensuring organizational profitability. AR automation emerges as a transformative solution, streamlining financial transactions between companies and their customers.

AR Automation 40

AR Automation Accounts Receivable (AR) Days Sales Outstanding Credit and Collections 40

Emagia

FEBRUARY 5, 2025

As a CFO or an accounts receivable (AR) professional, your primary responsibility is to ensure that your business maintains healthy cash flow by efficiently managing accounts receivable processes. However, managing AR can often be a complex and challenging task.

AR Automation 40

AR Automation DSO Accounts Receivable (AR) Days Sales Outstanding 40

Emagia

FEBRUARY 14, 2025

Understanding Integrated Receivables Automation Solutions An Integrated Receivables Automation Solution is a technology-driven platform that consolidates various accounts receivable (AR) processes into a unified system. Inefficient Collections: Lack of systematic follow-ups may lead to increased overdue accounts.

Days Sales Outstanding 40

Days Sales Outstanding DSO Credit and Collections Cash Applicator 40

Emagia

DECEMBER 30, 2024

Accounts receivable (AR) is a critical component of a company’s financial health, representing the outstanding invoices or money owed by customers for goods or services delivered but not yet paid for. Efficient management of accounts receivable ensures steady cash flow and minimizes the risk of bad debts.

Days Sales Outstanding 40

Days Sales Outstanding DSO Credit and Collections Bad Debt 40