Benefit of outsourcing accounts receivables
By Adarsh Dutt
Outsourcing accounts receivable to someone with experience gives you the opportunity to deploy the best available specialist knowledge, to leverage the maximum efficiency from your cashflow.
Calculating Days Sales Outstanding
Days Sales Outstanding refers to how many days’ worth of sales are outstanding and unpaid within a time gap. Outsourcing your accounts receivables management will record every single sale and keep on top of those outstanding days. One way to reduce this is by utilising debtor financing. This pays up to 80% of the value of your debtor invoices within 24 hours with the remainder paid upon the customer paying their respective invoices, as the responsibility of debt collection now lies with the debt financer.
Outsourcing your accounts receivable can get you professional assistance that gives you the time to focus on the areas of your business that are most important to you. It will free up your time to invest into more productive aspects that will move your business forward efficiently as opposed to hinder your businesses progression.
Remain in Control
Outsourcing your accounts receivable services will give you constant up to date data; where you will always be able to make any necessary rectifications much sooner as you have the latest information.
Cost of Staff
The responsibility of managing your accounts receivable in Australia is highly costly both with time and money. By outsourcing your accounts receivables services this will facilitate in improving the overall cashflow of your business.
Overall outsourcing your accounts receivables will enable you to take your focus of collecting money owed to you and towards putting those efforts into activities that will propel your business forward and enable you to be more profitable.
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