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The sooner your business collects on its invoices, the lower your financial risks and the better your financial position. That means your accounts receivable team will want to do everything in its power to increase cash flow and reduce your DSO.
With increased interest rates and inflation, businesses are facing increasing pressure to collectcash faster. Benefit from fast and accurate cashapplication that requires also no human intervention. In 2025, successful businesses will: Analyze payment trends to refine credit terms and collection strategies.
How do you currently manage the invoicing and payment collection process? For example, they may wait until the end of the year to address outstanding receivables, consuming more time and resources than it would if the collections were managed consistently throughout the year, as close to the invoice date as possible.
In this blog, you’ll learn about the most important cash flow metrics and cashapplication KPIs for CFO performance and their relationship to your overall financial planning. What is a CashApplication KPI? AverageDaysDelinquent (ADD) ADD is an essential cash flow metric.
Advanced accounts receivables solutions offer autonomous invoice-to-cash platforms that include artificial intelligence (AI) capabilities as sanity checks for current decisions while at the same time offer suggestions to proactively optimize results. The only way to identify these needs is to discuss the matter with your collections team.
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