A/R Management vs Debt Collection: What’s the Difference?
Gaviti
FEBRUARY 17, 2024
Since your company’s ability to get paid quickly directly impacts your cash flow, it’s important that you have a strategy for both your accounts receivable management to encourage the timely payment of invoices. For some customers, however, you’ll need another strategy altogether for collecting unpaid and overdue invoices: debt collection. These two strategies have different elements and are applied differently based on a range of factors that we’ll discuss below.
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