Remove Average Days Delinquent Remove Bad Debt Remove Credit Application
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Top Accounts Receivable Strategies for 2025

Gaviti

Many companies use ADD (Average Days Delinquent) or look at the ratio of open invoices to overdue invoices. Ensure you have alerts set up so that you are aware when a customer is near their credit limit or to know if a customers credit score has changed. Reassess what data you are using to measure success.

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How to Automate the Collection Process to Eliminate Manual Tasks

Gaviti

Although different A/R solutions deliver different metrics, cash balance and days sale outstanding only scratch the surface of measuring performance. Consider tracking A/R performance metrics that include best possible DSO , average days delinquent (ADD), collective effectiveness Index (CEI), and accounts receivable turnover ratio (ART).