Your Virtual Credit Manager

SEPTEMBER 3, 2024

billion in annual sales was dissatisfied with the management of its Accounts Receivable (AR). Days Sales Outstanding (DSO) was at 63 days on predominantly Net 30 day terms. Over the next eight months: DSO was reduced from 63 to 41 days $61 million in AR was converted to CA$H Bad debt expense was reduced by $2.2

Accounts Receivable (AR) 130

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

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

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. It is a measure of AR turnover.

AR Metrics 130

AR Metrics DSO Credit and Collections 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. Use data-driven insights to improve customer segmentation and prioritize high-risk accounts. Reassess what data you are using to measure success.

Average Days Delinquent 59

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

Your Virtual Credit Manager

FEBRUARY 27, 2024

Wen that happens accounts receivable (AR) performance also tends to suffer. Customer Dissatisfaction : For example, if credit limits are too restrictive or payment terms are unclear, customers may become frustrated and take their business elsewhere.

Accounts Receivable (AR) 130

Accounts Receivable (AR) Bad Debt Days Sales Outstanding 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.

DSO 52

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

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

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). What is Days Sales Outstanding (DSO)?

Days Sales Outstanding 40

Days Sales Outstanding DSO Bad Debt Credit and Collections 40

Emagia

FEBRUARY 20, 2025

Introduction In today’s fast-paced business environment, efficient management of accounts receivable (AR) is crucial for maintaining healthy cash flow and ensuring financial stability. Manual AR processes are often time-consuming and prone to errors, leading to delayed payments and strained customer relationships.

AR Automation 40

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

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

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. How does automation benefit the accounts receivable process?

Days Sales Outstanding 40

Days Sales Outstanding DSO AR Reporting Credit and Collections 40

Your Virtual Credit Manager

JULY 25, 2023

The other option you have involves improving the performance of your accounts receivable (AR). Chances are there is a substantial amount of liquidity that is trapped in your AR portfolio. What you want to do is close the gap between DSO and BPDSO.

Best Possible DSO (BPDSO) 130

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

Your Virtual Credit Manager

SEPTEMBER 10, 2024

Specifically, Credit and Collections is responsible for approving new customers for credit terms and managing orders at the beginning of the O2C cycle, while also monitoring risks within the Accounts Receivable (AR) portfolio and collecting overdue payments, both of which are post-sale activities.

Credit and Collections 130

Credit and Collections DSO Deductions Accounts Receivable (AR) 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

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. and then multiplying that figure by the number of days in the period you are using.

Best Possible DSO (BPDSO) 100

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

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. Final Thoughts.

Bad Debt 130

Bad Debt Credit and Collections Days Sales Outstanding DSO 130

The Esker Blog

DECEMBER 13, 2022

With the New Year right around the corner, it’s an opportune time for finance leaders to review, reassess and rethink their accounts receivable (AR) strategies. Within the invoice-to-cash (I2C) process, there are many areas that AR leaders could focus on. Is your DSO longer than the industry average?

Accounts Receivable (AR) 97

Accounts Receivable (AR) DSO Bad Debt Invoice to Cash 97

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

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. How can Emagia help optimize my accounts receivable process?

DSO 40

DSO AR Metrics Accounts Receivable (AR) Days Sales Outstanding 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). . Get Started with Lockstep Today! Learn More.

AR Automation 91

AR Automation Bad Debt DSO Accounts Receivable (AR) 91

Your Virtual Credit Manager

JANUARY 30, 2024

The evolution of Accounts Receivables (AR) automation has revolutionized our collection strategies. Manual collection processes centered on an aged accounts receivable trial balance (ARTB) lack the regimentation and efficiency brought about by automation.

Credit and Collections 130

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

Lockstep

JUNE 1, 2022

As the Federal Reserve tightens interest rates at the highest level in over 20 years, it’s a good time to review your manual accounts receivable (AR) processes to seek out your unresolved cash traps. It’s no surprise that rising interest rates are causing companies to evaluate their AR and cash position. .

AR Automation 78

AR Automation Accounts Receivable (AR) DSO Credit and Collections 78

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. By leveraging Emagia’s platform, businesses can improve efficiency, reduce days sales outstanding (DSO), and enhance overall financial performance.

Accounts Receivable (AR) 40

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

Your Virtual Credit Manager

SEPTEMBER 13, 2022

They occur because a customer does not receive your product or service as ordered, or feels the invoice is incorrect. Should you confirm that the customer is indeed correct, the deduction is removed from the Accounts Receivable (AR) ledger via a credit memo.

Deductions 130

Deductions Credit and Collections DSO Accounts Receivable (AR) 130

Lockstep

MAY 19, 2022

Designed as a shared inbox, Lockstep Inbox is meant for the individual or a team in the accounting department who communicates directly with customers and/or vendors. As needed, accounting teams can upgrade to paid plans that have advanced automation. Get Started with Lockstep Today! Learn More. The post What is Lockstep® Inbox?

Accounts Receivable (AR) 114

Accounts Receivable (AR) DSO Transactions 114

Lockstep

MAY 4, 2022

Is your AR aging creeping beyond resolution? Are you even able to review and report on your aging accounts receivable? The role of accounts receivables (AR) teams is increasingly important as the backbone of your organization’s financial health. Enter Award-Winning Lockstep .

AR Automation 83

AR Automation Accounts Receivable (AR) AR Aging Credit and Collections 83

Lockstep

NOVEMBER 16, 2022

In today’s fast-paced, competitive business environment, it’s more important than ever to optimize your accounts receivable (AR) processes. One way to do this is by leveraging automated customer communications as part of your broader accounts receivable automation strategy.

AR Automation 90

AR Automation Accounts Receivable (AR) Days Sales Outstanding DSO 90

Your Virtual Credit Manager

APRIL 2, 2024

As such, they are just one of the many tools, such as credit reports, supplier and bank references, and financial statement analysis, that can help assess a business's creditworthiness. Commercial credit scores are often not as well understood as consumer credit scores such as FICO.

Credit Scoring 130

Credit Scoring Credit and Collections Bad Debt Credit Risk 130

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? API Access : Allow for custom integrations with other business tools.

Payment Portals 40

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

Lockstep

DECEMBER 15, 2022

Ensuring this secure connection allows Acumatica customers to leverage the award-winning accounts receivable automation technology to elevate Acumatica users’ collections strategy, while DSO by 30%. About Lockstep: Lockstep is a connected accounting network that automates accounting workflows between companies.

Accounts Receivable (AR) 77

Accounts Receivable (AR) DSO 77

Emagia

FEBRUARY 3, 2025

Managing accounts receivable (AR) is a critical part of maintaining a companys cash flow, but one of the most significant hurdles in AR management is handling disputes. Impact: Increased Days Sales Outstanding (DSO). Resources are diverted toward resolving the dispute instead of focusing on other tasks.

Accounts Receivable (AR) 40

Accounts Receivable (AR) DSO Days Sales Outstanding Transactions 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

Your Virtual Credit Manager

NOVEMBER 1, 2022

The key factors informing your prioritization scheme are: The amount of the past due accounts receivable (AR) The age of the past due AR (e.g, It also will typically deliver a 10-20 percent improvement in Days Sales Outstanding (DSO) within six months to a year. 15 days or 120 days?)

Past Due Invoices 130

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

Lockstep

MAY 17, 2022

This week, we are celebrating the success of our wonderful customers, because accounting teams are the backbone of every business. Even more so, without the organization and fortitude of the accounts receivable (AR) teams, cash flow would be a “cash trickle.” .

Accounts Receivable (AR) 52

Accounts Receivable (AR) Days Sales Outstanding DSO 52

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.

Accounts Receivable (AR) 52

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