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Receivables Turnover vs. Days Sales Outstanding (DSO): What’s the Difference?

Gaviti

Two critical key performance indicators (KPIs) that help your accounts receivable team optimize collections are receivables turnover and days sales outstanding (DSO). These two KPIs aren’t perfect, but they inform decisions that ultimately determine how much cash you have available. It is often assessed only annually.

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What to Look For When Purchasing an Accounts Receivable Software

Gaviti

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. Self-Service Payment Portal. Cash Application. Credit Management.

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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. However, days sales outstanding are subject to a range of factors and targets should always be based on the wider context of the business and industry.

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7 Best Accounts Receivable (A/R) Automation Software Vendors

Gaviti

If you’ve decided your business is ready to move to automating its A/R, you’ll want to find the best A/R automation software, also called invoice to cash software, that suits your needs. Automate the matching of invoices to payments, eliminating human error involved with manual matching and accelerating the bank reconciliation process.

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Accounts Receivable Analysis: Meaning, Objectives, Importance

Gaviti

Are you able to collect invoices on all of the revenue your business generates? How quickly are customers paying their invoices? What are the average days sales outstanding? Are you offering discounts for early payment? How much cash is the company gaining or losing? Others might like to pay online.