Posted on January 26, 2014
  If you've spent any time doing it you'll quickly realize accounts receivable is one of the hardest jobs to do. It doesn't matter if you're the business owner making it part of your weekly chore list or if it's your full time job as part of the accounts receivable department. When considering how to focus back on your core business one of the best ways is to outsource this component of your business. Increase your cash flow Unpaid invoices, slow paying customers, and high day sales outstanding are the makings of a failed business. In order to run a [...]
Posted on January 25, 2014
How's your accounts receivable lately? Late paying customers, past due invoices, high days sales outstanding, oh my! But how did we get here and what can be done to fix it? Most businesses don't end up running into difficulty because they don't provide a good service or no one likes their product. Most of the time it's just that delicate balance between invoices outstanding and bills coming due. We call this cash flow. I know you've heard this from your accountant many times, but what does it really mean? It just means if you've billed your customers and they take [...]
Posted on January 24, 2014
  Managing accounts receivable is one of the biggest pains in any business, let alone managing the turnover. But despite it's difficulty, it is also an extremely important part of managing any business and keeping cash flow headed in the right direction. Today we'll discuss some of the ways you can mange turnover so it doesn't get you or your business in the wrong place at the wrong time. First up, do you know your receivables turnover ratio? When thinking about trying to improve or manage accounts receivable turnover we need to know where we stand. The easiest way to [...]
Posted on January 23, 2014
  Have you ever heard of days sales outstanding? If you run a business you need to! Think of it like the pulse of your business. It's a way to measure how quickly you're getting paid when you bill or invoice a customer. It's critical because every business runs on cash and if you run out of it, you're business can quickly go from stellar performer to broken down on the side of the road. So lets look at why it's so important. Lets imagine this month you bill your customers $20,000 for your awesome service or product, that feels good [...]
Posted on January 23, 2014
  Remember that days sales outstanding thing, it's the amount of time it takes for customers to pay you and it's super important for a very important reason, it's really like taking the temperature of your business. Do you have a fever? And we're not talking for more cow bell, we're talking about for cash. The life blood of any business is its cash flow. The ability for it deploy funds in the service of paying vendors and growing the business. But how do you know if your business is going to have enough cash to make it? Enter days sales [...]