Overview of Receivable Management
Receivable Management is a Pro-active & Preventive solution to own the complete process of Receivables after Invoicing till collection of money by systematically tracking & following up at each and every milestone to ensure timely Collection of Debt & Reduced DSO.
Receivable management helps in maintaining outstanding payments from customers, warding off overdue or non-payment scenarios, strengthening the company’s financial position, and allowing the business to run smoothly.
By definition, it might seem like an elementary task to perform but in verity, it is the most complex job to administer the receivables as per the nature of the business. It’s no hidden secret that, as the business grows, the process also becomes lengthy and complicated, which tends to be more error-prone. In such cases, the account holder and software ought to be adjusted to fit the business requirements.
Prime Benefits of Receivable Management are:
Receivable management enables business finance to run smoothly, giving a comprehensive overview of cash flow while keeping a record of every transaction. Furthermore, it facilitates business owners to keep track of their day-to-day transactions, preventing them from granting loans beyond their credit policies.
Have you ever wondered what would happen if the receivable was faulty?
Ultimately, the business will incur an immense financial loss because of bad debts. Monitoring proper accounts will enable the business owner or account holder to keep a close eye on the payment schedule and regular follow-ups with debtors, avoiding any late payments, resulting in optimal cash flow.
The receivables management helps in monitoring the buyers and their transactional performance, giving owners the ability to maintain a close relationship with purchasers by providing them with irresistible discounts and coupons holding uninterrupted payment records. Thus, developing a firm and ever-lasting relationship with buyers.
Increased revenues result from improved receivable management. When businesses offer credit facilities to their customers, they generate maximum sales volume, since more customers opt to purchase items on credit in order to take advantage of such benefits.
Most Common Receivable Challenges Companies Face
What makes us stand out?
Each company faces the challenge of timely and correct collections from customers, and Pro-TEAM Solutions aids its clients with Receivables Management. With over a decade of experience in this field, we are known for our proficiency across India. Our experienced team is familiar with best account practices and uses in-house developed software to meet our clients’ needs and requirements.