Insights
Why You’re Not Getting Paid (Yet): The Impact of Institutional Budget Cycles on Receivables Collection
Bureaucracy, Not Bad Debt Unlike commercial buyers who can cut a check when they want, institutions operate on rigid fiscal calendars that govern when and how payments can be made. Your receivable might be clean, approved, and even scheduled for payment—but still sit unpaid for weeks or months. Understanding these cycles is critical to collecting...Read more→
A/R Deduction Recoverability by Age
Accounts Receivable deductions can dilute revenues from 5% in industrial companies to 20% in consumer products companies. These deductions arise from various issues, including ordering and billing errors, returned merchandise, pricing discrepancies, trade promotion deals, payment discounts, shipping errors, and non-compliance with customer vendor policies. Deduction overcharges, far from being exceptional, are a common occurrence....Read more→
Collection Agency Should be Part of Your Collection Workflow
All businesses face cash flow issues during challenging economic climates, making it especially difficult to collect customer payments within the agreed-upon terms. To optimize your collection efforts and cash flow, it is essential to reevaluate the priorities of your collection department, including the utilization of third-party collection agencies. Making timely referrals to these agencies for...Read more→
Machine Learning in Credit & Collection Scoring
Managing receivables is a crucial aspect of B2B financial management. Late or unpaid invoices and bad debts can significantly impact cash flow, causing businesses to struggle to meet their financial obligations. Companies rely on various tools, including payment and credit scoring, to prioritize their B2B collection activities to stay on top of outstanding payments. Payment...Read more→