How to manage Account Receivable effectively?
How to manage Account Receivable effectively? Accounts Receivables affects cash flow of any organization. Slow customers would require you to draw down your cash reserves to sustain ongoing business operations. Besides, as customer account balance get older, the probability of collecting those accounts diminishes. Here are some of the best practices could improve the receivables process and thus help improve cash flow, and maintain a healthy the bottom line: Raising Invoices from the System Now a days most of the financial system facilitates issuing invoicing directly from the system on meeting a pre-determined criterion i.e. on delivery of goods or end of the month, etc. This will ensure your customers receive your invoices on time without manual intervention. In addition, generating invoices through the system reduces chances of errors in invoice preparation. Multiple Online Payment Options An increasing number of businesses are now receiving and paying using E...