Your Virtual Credit Manager

NOVEMBER 1, 2022

Effective collections can also reduce bad debt losses by compensating for a liberal or weak Credit Control function. The task is twofold: Optimizing cash inflows (and avoiding bad debt) confined by the number of requests for payment that can be made within a specified time period.

Credit and Collections 130

Credit and Collections Past Due Invoices Bad Debt 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

APRIL 11, 2023

To avoid these types of events you need to establish credit limits based on a customer’s creditworthiness, set parameters for approving orders for all customers both new and old, and then stick to the boundaries you have determined. There are multiple costs and vulnerabilities that emerge. An under performing AR.

Bad Debt 130

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

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). . Getting Started .

AR Automation 91

AR Automation Bad Debt DSO Accounts Receivable (AR) 91

Your Virtual Credit Manager

DECEMBER 6, 2022

This software firm did not actively manage its AR. The company ended up writing off millions of dollars in bad debt. Even worse, the company’s stock price was depressed because of the company’s high Days Sales Outstanding (DSO) , a common measure of AR management effectiveness.

DSO 130

DSO Credit and Collections Bad Debt AR Aging 130

Gaviti

APRIL 11, 2024

What are the average days sales outstanding? How much bad debt does the company have, and how has this changed over time? Are we offering the right amount of credit to customers based on their creditworthiness? Credit management and monitoring. How quickly are customers paying their invoices?

Bad Debt 98

Bad Debt Credit and Collections Collection Effectiveness Index DSO 98

Your Virtual Credit Manager

SEPTEMBER 10, 2024

Consequently, Days Sales Outstanding (DSO) increased by almost 50 percent with customer delinquency deteriorating so much that this supplier’s borrowing capacity under its asset-based credit facility was severely restricted. Do you need help assessing your customers’ credit risks?

Credit and Collections 130

Credit and Collections DSO Deductions Accounts Receivable (AR) 130

Your Virtual Credit Manager

MAY 14, 2024

To continue reading and learn the daily, weekly and monthly AR metrics you should be tracking, you’ll need a paid subscriber to Your Virtual Credit Manager …our standard subscription is only $5 per month or $49 annually. Learn More About Credit Reports Please share this newsletter with your small business customers.

AR Metrics 130

AR Metrics DSO Credit and Collections Accounts Receivable (AR) 130

TreviPay

MARCH 20, 2023

Credit management is integral to accounts receivable management. Good credit management supports consistent cash flow, smooth payment collections, customer satisfaction, and much else. It covers multiple different smaller components involved in issuing, monitoring, and collecting credit.

B2B Credit 52

B2B Credit Credit Management Credit and Collections Days Sales Outstanding 52

Gaviti

OCTOBER 30, 2023

When traditional credit management and cash application is automated, it reduces the need for staff and makes the credit management and customer payment process more efficient. Your financial staff has rates of high turnover. You want to simplify a complex process that involves multiple stakeholders.

Days Sales Outstanding 75

Days Sales Outstanding Invoice Collections Credit and Collections DSO 75

Emagia

FEBRUARY 5, 2023

Credit Management The starting point in the AR process is credit check, though that is part of broader OTC process. Having few customers with bad creditworthiness and track record or history on board can disrupt the entire AR management and cash flow of a company.

AR Automation 52

AR Automation Days Sales Outstanding DSO Credit and Collections 52

Gaviti

JULY 11, 2024

Simplify workflows and improve A/R processes such as invoice distribution, tracking payments, credit management, bank reconciliation and dispute management. Simplify customer payment by offering multiple types of payment, including credit cards, debit cards, ACH transfers , electronic wallets, and more.

DSO 52

DSO AR Automation Credit and Collections Bad Debt 52

Gaviti

NOVEMBER 24, 2024

Although different A/R solutions deliver different metrics, cash balance and days sale outstanding only scratch the surface of measuring performance. Establish proactive credit management policies. Consider these best practices to ensure you get all the benefits you bought the system for in the first place.

Credit and Collections 52

Credit and Collections DSO Average Days Delinquent Collection Effectiveness Index 52

Gaviti

FEBRUARY 6, 2023

Given the rising infation and interest rates, managing late payments should be a top priority for businesses in 2023. As a top area of focus, consider metrics like your days sales outstanding (DSO) rates and how small changes to processes can improve the accounts receivable cycle.

AR Automation 52

AR Automation DSO Accounts Receivable (AR) Days Sales Outstanding 52

Eagle Business Credit

MAY 2, 2024

Credit checks and risk assessments ensure that terms are aligned with customer reliability, reducing the likelihood of bad debts. This can be achieved by offering discounts for early payments, enforcing stricter credit terms, or using invoice factoring services to get immediate cash.

Days Sales Outstanding 40

Days Sales Outstanding Credit and Collections Bad Debt DSO 40