Remove Collection Effectiveness Index Remove Credit Management Remove DSO
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The Best Accounts Receivable Reporting Software Solutions of 2025

Gaviti

These types of reports include cash flow forecasting, aging reports, DSO calculations, and A/R performance. Track A/R performance metrics and KPIs such as collection rates, total A/R, DSO, customer risk, collective effectiveness index (CEI) and accounts receivable turnover ratio (ART). A/R performance.

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How Healthy Is Your Accounts Receivable?

Your Virtual Credit Manager

Subscribe now Days Sales Outstanding (DSO) From a credit perspective, DSO isn’t our favorite metric, but it is a standard used by accounting and finance professionals to reflect receivables turnover. The problem with DSO is that AR performance can be improving at the same time DSO is rising.

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Evidence It's Time to Adjust Your Collection Practices

Your Virtual Credit Manager

As you review your metrics, here are five signs that there may be a problem with your collection practices: DSO Is Rising: Days Sales Outstanding is the most common metric for measuring accounts receivable (AR) performance. If DSO is rising, you are falling behind. Collections is always playing a bit of catch up to sales.

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How to Automate the Collection Process to Eliminate Manual Tasks

Gaviti

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. Establish proactive credit management policies.

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Accounts Receivable Automation Best Practices

Gaviti

These reports not only help your A/R and finance team gain visibility of the collections team and individual team members, but allows for transparency across all other teams and stakeholders. 5) Streamline your dispute management Invoice and payment disputes are among the top reasons invoices remain unpaid for long periods.

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7 Strategies to Reduce DSO and Enhance Cash Flow

Gaviti

When accounting departments want a quick evaluation of the health of a business, they often look at their DSO, or days sales outstanding. Traditionally, a low DSO indicates that your company has capital available and is in good financial standing. This includes both current, past and overdue invoices. monthly, quarterly or annually).

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Accounts Receivable Analysis: Meaning, Objectives, Importance

Gaviti

KPIs for Accounts Receivables Collections Analysis When reporting on an accounts receivable analysis to the A/R team or other departments within your organization, there are different key performance indicators you can use to measure the health of your accounts receivable. The most common is DSO. Credit management and monitoring.