Your Virtual Credit Manager

JANUARY 17, 2023

It is important to keep in mind that trade credit — selling on terms in a B2B environment — is greatly affected by the transactional process. it just might help them pay you sooner! When changing the commission structure represents a major change for the Salesforce, a graduated approach over one or two quarters is recommended.

Credit and Collections 246

Credit and Collections Accounts Receivable (AR) Days Sales Outstanding Past Due Invoices 246

Your Virtual Credit Manager

FEBRUARY 27, 2024

Increased Bad Debt : Inadequate credit checks can result in over extending credit to high-risk customers, leading to slow payments and ultimately bad debt write-offs. By empowering individuals within each function to mitigate risks within their domain, you can strengthen your overall risk management framework.

Accounts Receivable (AR) 130

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

Your Virtual Credit Manager

FEBRUARY 28, 2023

The reduction in revenue and margin, while painful, will be a smaller price to pay than a large drop in incoming cash and the higher risk of a larger, damaging, bad debt. Offering Prompt Payment Discounts to customers can significantly advance your cash inflow from AR and reduce overall exposure to bad debt loss.

Bad Debt 130

Bad Debt Accounts Receivable (AR) Credit Risk Bankruptcy 130

Your Virtual Credit Manager

AUGUST 6, 2024

And when the risk does not warrant open credit terms ; How can we structure the transaction to ensure a profitable sale? The goal is not preventing bad debt losses but rather maximizing profits. If you should try to eliminate all bad debt losses, chances are you will forego sales to customers that will eventually pay.

Bad Debt 100

Bad Debt Credit and Collections Accounts Receivable (AR) Credit Risk 100

Emagia

FEBRUARY 21, 2025

Managing these receivables effectively ensures timely cash inflows and reduces the risk of bad debts. Reducing Bad Debts: Timely follow-ups can minimize the chances of non-payment. Mobile Payments: Utilize mobile payment solutions for on-the-go transactions. Why is tracking accounts receivable important?

Days Sales Outstanding 40

Days Sales Outstanding DSO Bad Debt Credit and Collections 40

Emagia

FEBRUARY 22, 2025

Dispute Prevention Proactively flagging potential disputes, AI agents analyze transaction patterns and customer behaviors to prevent revenue leakages before they occur. AI agents monitor transactions continuously, identifying anomalies and addressing them before they impact the organization’s financial health.

Bad Debt 40

Bad Debt High-Risk Accounts Transactions Collections Automation 40

Know-It Global

JUNE 20, 2023

It involves managing credit sales and making informed credit decisions, ensuring timely payment from customers, and minimising bad debt. A well-designed policy minimises the risk of bad debts and cash flow issues and also serves as a reference for employees involved in credit decisions and collections.

Bad Debt 19

Bad Debt Credit and Collections Debt Collections Credit Risk 19

Emagia

DECEMBER 30, 2024

In the intricate world of business-to-business (B2B) transactions, managing outstanding debts is crucial for maintaining financial health and ensuring sustainable growth. Understanding B2B Debt Collection B2B debt collection involves the process of recovering unpaid invoices between businesses.

Debt Collections 40

Debt Collections Credit and Collections Bad Debt Transactions 40

Your Virtual Credit Manager

JANUARY 3, 2023

Clear from your AR ledger as many of the clutter transactions as possible. During 1995, DSO was reduced by an additional 10 percent, and bad-debt write-offs cut in half. Share How to Clean Up Your AR Ledger Launch a collection program to collect all past due invoices at least 15 days late.

AR Automation 130

AR Automation Collector Credit and Collections Bad Debt 130

Emagia

DECEMBER 30, 2024

The Role of Debits and Credits in Accounting In accounting, debits and credits are fundamental concepts used to record transactions. Debits (Dr) and credits (Cr) are entries made in account ledgers to reflect changes in value due to business transactions. Why is managing accounts receivable important?

Accounts Receivable (AR) 40

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

Emagia

JANUARY 2, 2025

Efficient AR management ensures that payments are collected on time, improving the companys liquidity and reducing the risk of bad debts. AIs ability to scale quickly also means that businesses can handle growing transaction volumes without increasing costs. It represents a crucial part of a companys cash flow management.

Accounts Receivable (AR) 40

Accounts Receivable (AR) Invoice Collections Cash Applicator Automated Cash Application 40

Emagia

DECEMBER 23, 2024

Strategies for Optimizing AR and AP to Enhance Cash Flow Implement Clear Credit Policies: Establishing well-defined credit policies helps in assessing customer creditworthiness, setting appropriate credit limits, and reducing the risk of bad debts.

Accounts Receivable (AR) 40

Accounts Receivable (AR) Credit and Collections Bad Debt Order to Cash 40

Lockstep

JULY 27, 2022

Customer credit has become a more popular form of payment in both B2B and consumer transactions. Bad debt: If customers don’t pay their bills, businesses can end up losing money on the sale. . This can help businesses save time and money, while also reducing the risk of bad debt. .

Credit Scoring 89

Credit Scoring Accounts Receivable (AR) Bad Debt AR Automation 89

Your Virtual Credit Manager

MAY 16, 2023

Credit evaluations prevent more bad debts than collection efforts. While the credit limit you assign a customer is important, especially with your largest customers, the most common cause of bad debt losses are items that get missed in your collection process. There are over 30 million businesses in the US.

Bad Debt 100

Bad Debt Credit and Collections Default Small Businesses 100

TreviPay

OCTOBER 2, 2024

By utilizing the benefits that trade credit insurance provides, the partnership will enable companies to secure transactions and grow with confidence. Additionally, Allianz Trade now has a referral partner for trade credit insurance clients who also need advanced A/R automation technology for their transactions.

Bad Debt 64

Bad Debt Credit and Collections DSO Transactions 64

Your Virtual Credit Manager

FEBRUARY 7, 2023

By securing the payment mechanism that will be used during the customer onboarding process, payments are embedded in the transaction, eliminating most late payments. As invoices age further past due, the probability of a bad debt loss increases. The list can go on.

AR Automation 130

AR Automation Accounts Receivable (AR) Credit and Collections Bad Debt 130

Your Virtual Credit Manager

SEPTEMBER 13, 2022

If not approved, there should be an attempt to collect the disputed amount to avoid diluting profits, and if not collected, the deduction should be cleared by a bad debt write-off. Trade promotions are often taken as deductions, but are better managed as separate transactions. Well, it’s not.

Deductions 130

Deductions Credit and Collections DSO Accounts Receivable (AR) 130

Your Virtual Credit Manager

SEPTEMBER 10, 2024

Delaying collection activities can lead to reduced cash flow and bad debt losses. emails, calls, escalations) based on the debt size and associated risk. Maintain Complete Visibility of Customers and Transactions: Reliable, up-to-date AR data is essential for informed decision-making in Credit and Collections.

Credit and Collections 130

Credit and Collections DSO Deductions Accounts Receivable (AR) 130

Fundera

JANUARY 17, 2020

or bad debt deduction. Worthless Securities or Bad Debt Deduction. Claimed a deduction for worthless securities or bad debt? Each transaction in your business bank account should have more evidence to support it. Employment tax records. If you didn’t report income that you. Employment Tax Records.

Bad Debt 91

Bad Debt Deductions Insurance Companies Transactions 91

Your Virtual Credit Manager

SEPTEMBER 17, 2024

Photo by Willian Cittadin on Unsplash ) Neglecting collections can also lead to longer payment cycles, strained client relationships, and an increase in bad debt. They also kept very good records on their customers and their purchases, so there were no issues with transactional visibility.

Credit and Collections 100

Credit and Collections Accounts Receivable (AR) Bad Debt Credit Risk 100

Your Virtual Credit Manager

OCTOBER 2, 2024

Who absorbs any potential bad debt loss — does the lender have recourse to return the AR if they cannot collect it versus a non-recourse arrangement? Make a concerted effort to clear off as many of the clutter transactions as possible from your AR ledger. Click here for more details about working with Collection Agencies.

Past Due Invoices 130

Past Due Invoices Credit and Collections Deductions Accounts Receivable (AR) 130

Grit

MAY 26, 2024

Automated systems can handle large volumes of transactions with minimal human intervention, reducing the time and effort required for manual processing. This speed improves cash flow and reduces the risk of late payments and bad debt.

Collection Effectiveness Index 90

Collection Effectiveness Index Days Sales Outstanding Credit and Collections Bad Debt 90

Gaviti

JULY 24, 2024

Once paid, the A/P team records the transaction. Stay ahead of credit risk by setting credit limits and getting credit risk alerts in real time to minimize impact on your cash flow and the likelihood of bad debt. Sometimes, the team might wait until the deadline to hold on to cash for emergencies. Speak to a specialist today.

Credit and Collections 98

Credit and Collections Bad Debt Payment Portals Cash Applicator 98

Gaviti

SEPTEMBER 6, 2023

Manage Risk : Make informed credit decisions that minimize bad debt risk and ensure financial stability. Now, you have more options to facilitate seamless transactions. Gaviti partnered with CreditSafe to provide an accurate assessment of the potential risk of your customers. More options are on their way.

Cash Applicator 98

Cash Applicator Credit Application Collector Bad Debt 98

Your Virtual Credit Manager

SEPTEMBER 19, 2023

From this conversation, you will learn how perilous the bad debt risk is with this customer, and how urgent your reaction must be. The good news for small companies is that there are a growing number of Fintech firms that will offer Point of Sale financing for B2B transactions.

Credit and Collections 130

Credit and Collections Default Bad Debt Credit Risk 130

Waystar

NOVEMBER 16, 2022

Transaction costs are high and growing. “In the past decade, patients’ portion of healthcare responsibility has grown faster than workers’ earnings,” says Lauren Tungate, Waystar Solution Strategist. “At At the same time, providers are facing challenges of their own. Constantly evolving regulations make work more complex by the day.

Bad Debt 82

Bad Debt Transactions 82

Emagia

MARCH 3, 2025

Financial Stability : Reducing outstanding receivables minimizes bad debts and improves financial health. Invoice Generation and Delivery Invoices should be accurate, detailed, and sent promptly after the transaction. Operational Efficiency : Streamlined AR operations reduce administrative burdens and enhance productivity.

Days Sales Outstanding 40

Days Sales Outstanding DSO AR Reporting Credit and Collections 40

Fundera

DECEMBER 29, 2019

There are a couple of reasons why you might want to write off an invoice in QuickBooks : Bad debt. If you write off an invoice for a customer due to bad debt, you will want to retain this information so you don’t sell to that customer on credit again. How to Write off a Bad Debt Invoice in QuickBooks.

Bad Debt 52

Bad Debt Credit and Collections Default Invoice Amount 52

Fundera

FEBRUARY 13, 2017

Unfortunately, bad debt is a nearly inevitable risk of doing business—a fact acknowledged by the Internal Revenue Service. If the amount a client owed was included in your reported gross income for either the year the deduction is being claimed or for a prior year, you can write off that bad debt on your federal tax return.

Deductions 85

Deductions Bad Debt Credit and Collections Small Businesses 85

Your Virtual Credit Manager

APRIL 4, 2023

Supporting profitable sales through the extension of credit Collecting as much of the AR generated as possible by or near the due date to ensure a substantial cash inflow Mitigating the risk of bad debt losses These tasks are best accomplished in a tidy environment. Be decisive and action-oriented.

Past Due Invoices 100

Past Due Invoices Credit and Collections Deductions Accounts Receivable (AR) 100

Abrigo

JANUARY 14, 2021

payroll, tax forms) Employee/employer collusion Newly created and/or multiple bank accounts with abnormal transaction activity Consumer accounts rather than business accounts Rapid movement of money in and out of accounts Withdrawals made via cash or apps (i.e., Following the use of funds may lead somewhere other than what is expected.

Bad Debt 78

Bad Debt Small Businesses Transactions Default 78

Chaser

MARCH 23, 2023

In some industries, particularly in business-to-business transactions and for service providers, credit sales are common. If relying solely on sales to improve your cash flow, you risk factoring in cash inflows that may happen later than expected, or potentially not at all of the customer's late payment becomes a bad debt.

Bad Debt 87

Bad Debt Credit Sales Default Small Businesses 87

apruve

NOVEMBER 14, 2022

Despite the significant benefits, the administrative and operational costs of a manual credit process add up on both sides of the transaction. Top benefits of trade credit automation include: Focus on High-Value Transactions. It’s a known fact that in most businesses, about 20% of B2B customers generate these higher-value transactions.

Bad Debt 52

Bad Debt Credit and Collections Transactions Default 52

Fundera

AUGUST 2, 2017

Who it’s for: Small business owners, bookkeepers, controllers and other accounting professionals looking for tips and resources about bookkeeping workflow procedures, proper accounting treatment of certain transactions, and the use of accounting technology. 5minutebookkeeping.com Editor, Veronica Wasek, CPA.

Bad Debt 75

Bad Debt Small Businesses Credit and Collections Transactions 75

Emagia

OCTOBER 31, 2022

Spreadsheets and then ERPs were the beginning of digital adoption in finance, which digitalized the manual recording and processing of finance and accounting transactions. A study by Deloitte foresees how automation and blockchain , among others, can transform finance transactions touch-less and self-serving.

Credit and Collections 59

Credit and Collections Bad Debt Credit Management DSO 59

Emagia

FEBRUARY 20, 2025

By utilizing real-time data and analytics, companies can make informed decisions about extending credit, thereby minimizing the risk of bad debts. Credit Management Automation Implementing automated credit management allows businesses to assess customer creditworthiness efficiently.

AR Automation 40

AR Automation Credit and Collections Cash Applicator DSO 40

TreviPay

AUGUST 27, 2024

A higher turnover ratio means that companies are turning more outstanding payments into usable money, which leads to a healthier cash flow, high liquidity and demonstrates that the company is at a smaller risk of being in bad debts. What is a Good Accounts Receivable Turnover Ratio?

Credit and Collections 52

Credit and Collections Bad Debt Credit Sales DSO 52