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Payment delays and bad debt losses quickly lead to sensitive short-term liquidity problems. A professionally organised Accounts Receivable Management secures the existence of your SMEs. Prevent yourself from falling into a threatening liquidity trap.
The aim of Accounts Receivable Management is to avoid payment defaults and to secure liquidity in the long term. Even before concluding a contract, your SME should check the creditworthiness of each business partner . In this way, you largely avoid payment defaults in advance.
If payment is nevertheless delayed, Accounts Receivable Management ensures that your customer is reminded of his payment obligations as quickly as possible and will be motivated to pay.
Accounts Receivable Management is of great importance from a strategic point of view. The question here is how Debtor Management as part of Working Capital Management fits into the corporate strategy.
From an operational point of view, Accounts Receivable Management is understood in a narrower sense as the implementation measures for the above-mentioned requirements. It covers the following areas.
Do you want to have your customers' money on your bank account faster? Here you will find 9 tips for fast payment receipt.
Export-oriented SMEs face special challenges in Accounts Receivable Management. You are certainly familiar with the customs of business dealings on a national level. But what if you win a new customer in other European countries or even from overseas?
It’s sure: When things get difficult, they get even more difficult abroad.
Foreign languages, different time zones, different ways of thinking and behaving and above all a different legal situation make problem solving difficult. With these six tips, you as the CFO can reduce the risk of payment defaults.