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This creates cash flow shortages, an increased risk of baddebt, and a significant work requirement to mitigate the impact of late payments. Those who are financially weak (high credit risk), in addition to essentially turning down the faucet for your cash inflow, present a higher risk of never paying for everything they owe.
Email us to learn how the experts at Your Virtual Credit Manager can help you clean up your AR Ledger and increase cash flow by improving your Collection Process. The first month after we automated a few basic tasks to supplement our accounting package, we realized an increase in collections of 30 percent.
If you discuss credit terms with a competitor, you are in violation of anti-trust statutes forbidding price fixing. It affects the level of baddebt loss (uncollected Accounts Receivables) you suffer. The increased risk of a significant baddebt loss that your firm bears. are acceptable and make economic sense.
These days, with various data points related to your customers available in the public domain and technologies available to collect and analyze them in the way it is required, the credit authorization process is mostly driven by data and analytics provided by ARautomation tools.
With our AI-powered cash application, AP automation, collections and disputes, and Bill Pay solutions, your company can achieve high ARautomation, collections, and payment matching rates of up to 99%.
With our AI-powered cash application, collections and disputes, credit risk management, and Bill Pay solutions, your company can achieve high ARautomation and payment matching rates of up to 99%.
In the modern accounting landscape, integrating this principle with automation tools is increasingly essential. But how does A/R automation software align with the accounting matching principle and help support businesses that want to do their bookkeeping this way? Address any discrepancies promptly to maintain accuracy.
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