Your Virtual Credit Manager

JANUARY 9, 2024

Then last week we looked at credit hold best practices. From a credit management perspective, these are largely reactive topics. In fact, once you decide to sell a customer on open credit, most of the accounts receivable (AR) management tasks that follow have a reactive component.

Credit and Collections 130

Credit and Collections AR Aging Accounts Receivable (AR) Deductions 130

Your Virtual Credit Manager

JULY 16, 2024

Once an order has been approved and fulfilled, the primary objective in terms of Accounts Receivable (AR) management is getting paid. Ensure the customer has received ALL the invoices and other documentation requested, and that there are no unresolved disputes or open deductions.

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Collector Accounts Receivable (AR) Past Due Invoices Credit and Collections 100

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?

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DSO Third Party Collections Credit and Collections Deductions 130

Your Virtual Credit Manager

SEPTEMBER 12, 2023

Effectively managing accounts receivable (AR) is essential for a company's financial well-being. Poor receivables performance affects cash flow, and it is no secret that cash flow problems are the leading cause of business failures. This in turn creates more work for your AR team.

Credit and Collections 130

Credit and Collections Bad Debt Accounts Receivable (AR) Deductions 130

Your Virtual Credit Manager

MARCH 21, 2023

Subscribe now Lessons to Be Learned Looked at from the perspective of somebody responsible for the management of a portfolio of accounts receivable (AR), the events surrounding the SVB collapse present a cautionary tale. Any enterprise extending credit to another business needs to have real treasury expertise.

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Accounts Receivable (AR) Bankruptcy Bad Debt Credit and Collections 130

Your Virtual Credit Manager

SEPTEMBER 26, 2023

Your accounts receivable (AR) and cash balances as of December 31, 2023, are very important numbers. Suppliers, lenders, and credit rating agencies place substantial importance on these numbers when assessing your liquidity and overall financial strength. What do you need help doing?

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Credit and Collections Accounts Receivable (AR) Deductions Collector 147

Your Virtual Credit Manager

FEBRUARY 21, 2023

Photo by Mockup Graphics on Unsplash The old saying goes that you can’t manage what you can’t measure. 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.

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DSO Credit and Collections Collection Effectiveness Index Bad Debt 130

Your Virtual Credit Manager

AUGUST 29, 2023

As you review your metrics, here are five signs that there may be a problem with your collection practices: DSO Is Rising: Days Sales Outstanding is the most common metric for measuring accounts receivable (AR) performance. If DSO is rising, you are falling behind.

DSO 130

DSO Credit and Collections Bad Debt Collection Effectiveness Index 130

Your Virtual Credit Manager

APRIL 18, 2023

So, how can a small business acquire high level functional expertise with its “Jack of all trades” workforce, especially in regard to managing the Accounts Receivable (AR) asset? Even so, if you are heavily selling big box retailers, they may be able to help you, especially if you have a backlog.

Bad Debt 130

Bad Debt Credit and Collections Third Party Collections Accounts Receivable (AR) 130

Your Virtual Credit Manager

OCTOBER 25, 2022

The result of timely and accurate Remittance Processing is an accurate Accounts Receivable (AR) Ledger, which provides the current status of every customer’s balance owed to you. Just click on this link to open an account and start getting the commercial credit Intel you need.

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Credit and Collections Accounts Receivable (AR) Cash Applicator Deductions 130

Your Virtual Credit Manager

JUNE 27, 2023

No two are alike, but they do tend to fall into some common groupings. Identifying the groupings within your customer accounts receivable (AR) portfolio enables you to deal with them all more effectively and efficiently. Firms that take a lot of payment deductions can fall into this category.

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Collector Credit and Collections High-Risk Accounts Accounts Receivable (AR) 26

Your Virtual Credit Manager

SEPTEMBER 17, 2024

To continue reading and learn nine areas of focus for supercharging your collection process, you must be a paid subscriber to Your Virtual Credit Manager. Do you need help assessing your customers’ credit risks? a 2% discount for payment within 10 days) to motivate faster payments.

Credit and Collections 100

Credit and Collections Accounts Receivable (AR) Bad Debt Credit Risk 100

Your Virtual Credit Manager

OCTOBER 17, 2023

To avoid unacceptably large credit losses, a system of credit controls and procedures must be implemented. The experts at Your Virtual Credit Manager are ready to help you improve cash flow and reduce AR risks during these challenging times. The better your credit controls, the more risk you can assume.

Bad Debt 130

Bad Debt Credit and Collections Credit Risk Accounts Receivable (AR) 130

Your Virtual Credit Manager

MARCH 12, 2024

As a result, trade credit, where businesses extend financing to customers, is undergoing rapid advancements, but it also poses high risks, especially in assessing creditworthiness, dealing with economic fluctuations, and fraud. Are there past due accounts you are trying to collect?

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AR Transformation Credit and Collections Accounts Receivable (AR) Order to Cash 100

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). Email YVCM about Consulting 5.

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

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. Laissez-faire doesn’t cut it.

Bad Debt 130

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

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. This reduces the time spent on manual reconciliation and ensures that financial records are up-to-date.

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AR Automation Credit and Collections Cash Applicator DSO 40

Your Virtual Credit Manager

APRIL 4, 2023

With a growing number of experts predicting a recession to hit later this year, and inflation and interest rates remaining at elevated levels, squeezing every dollar out of your investment in Accounts Receivable (AR) is more important than ever. Remember, a “clean” AR Ledger is the objective.

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Past Due Invoices Credit and Collections Deductions Accounts Receivable (AR) 100

The Esker Blog

JANUARY 10, 2023

The world of accounts receivable (AR) is still evolving as some companies transition back to office life, while many continue to operate in a new hybrid environment. What skills and technology do AR teams need to deliver strategic value? What accounts receivable goals should you be reaching for?

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AR Aging Accounts Receivable (AR) Credit and Collections Past Due Invoices 95

Your Virtual Credit Manager

MARCH 19, 2024

Whether you have automated the collection process or not, mapping out collection strategies for the different types of customers in your accounts receivable (AR) portfolio is an accepted best practice. Are there past-due accounts you are trying to collect?

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Bulk Transfer Credit and Collections Bankruptcy Third Party Collections 100

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. Disputes and deductions.

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DSO AR Automation Credit and Collections Bad Debt 52

Gaviti

APRIL 18, 2024

As an assessment and diagnostic tool, it’s hard to overstate the importance of your company’s accounts receivable (AR) collections aging report. What Is an AR Aging Report? This ensures your invoicing processes are aligned with their accounts payable. Disputes and deductions.

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AR Aging Credit and Collections Bad Debt Allowance for Doubtful Accounts 52

Your Virtual Credit Manager

JANUARY 24, 2023

Disputes and Deductions occur when a customer believes an order has not been satisfactorily fulfilled, or it has been invoiced incorrectly. Deductions occur when a customer pays an invoice less than the full amount (short payment) with no intention of ever making up the balance. The good news is your customer has sent you a payment.

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Deductions Accounts Receivable (AR) Credit and Collections Invoice Amount 130

Your Virtual Credit Manager

SEPTEMBER 13, 2022

Photo by Jp Valery on Unsplash Payment deductions, also known as chargebacks or short pays, happen when the customer pays less than the full invoice amount. They occur because a customer does not receive your product or service as ordered, or feels the invoice is incorrect. Many firms incur a substantial volume of deductions.

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Deductions Credit and Collections DSO Accounts Receivable (AR) 130

Emagia

DECEMBER 3, 2024

Introduction to Writing Off Accounts Receivable In the realm of financial accounting, managing accounts receivable (AR) is crucial for maintaining a company’s financial health. However, not all receivables are collectible, leading businesses to write off certain amounts.

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Accounts Receivable (AR) Allowance for Doubtful Accounts Bad Debt Credit and Collections 40

Your Virtual Credit Manager

JANUARY 21, 2025

Broadly defined, the credit’s contributions involve approving new customers for open terms and new orders at the front end of the O2C cycle. Photo by Ries Bosch on Unsplash ) There is a complementary relationship between credit and collections and the other O2C functions. Do you need help improving cash flow?

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Order to Cash Credit and Collections Bad Debt Accounts Receivable (AR) 130

Your Virtual Credit Manager

DECEMBER 24, 2024

Photo by CDC on Unsplash Credit & Collection results suffer greatly from lack of attention and expertise. Perhaps more than any other SMB function, Accounts Receivable (AR) Management gets put on a back burner because it is nobody’s prime responsibility. What else can be done?

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Credit and Collections Collector Bad Debt Accounts Receivable (AR) 130

Your Virtual Credit Manager

MARCH 11, 2025

Businesses have been digitizing ever since the introduction of accounting software in the 1960s. Your Virtual Credit Manager is a reader-supported publication. To receive new posts and support my work, please subscribe for just $5 per month ($49 yearly). Do you need help improving cash flow?

Days Sales Outstanding 130

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

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. Why is Receivables Automation Important?

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Days Sales Outstanding DSO Credit and Collections Cash Applicator 40