It is also important to put the plan and its terms in writing and have both parties sign it. Also make all future sales cash on delivery (COD) until the past-due amount is paid in full. Studies show that the longer receivables go uncollected, the less likely they are to ever be collected, either partially […]
Harold Averkamp (CPA, MBA) has worked as a university accounting instructor, accountant, and consultant for more than 25 years. Join our community of finance, operations, and procurement experts and stay up to date on the latest purchasing & payments content. Depending on how you’ve constructed your spend category tree, suppliers may …
The remaining balance is released to you when the customer pays the invoice. Automated accounts receivable offers many benefits, depending on your company’s size, needs, and what you can afford. Whether your use accounts receivable automation software or outsource your A/R to a third-party automation service, it will incur an additional …
Let us show you how you can automate your entire AP data workflow in seconds. Inconsistencies and inefficiencies in documentation can cause a single invoice to be paid twice. Double payments can also occur if multiple ERPs or financial software are used, instead of a single integrated system. The receipt of goods/services report is a […]
Track how long it takes to get each invoice approved and paid after receiving invoices. If your payments aren’t being processed quickly enough, you may lose discounts, or incur late fees. If you like our Accounts Payable Excel Template, you’ll also want to check out our Accounts …
These processes occur through an adjustment known as a true-up adjustment. The corresponding journal entry used to record them is called a true-up entry. The term ‘true up’ means to align, make level or balance something. Once companies can determine them, they must establish the revenues they help contribute. Accounting needs to …