Updated on: Apr 21st, 2022
3 min read
Every company, irrespective of size, necessitates steady cash flow for survival. Late payments and unpaid invoices affect cash flow and hinder the company’s smooth operation. This is why accounts receivable management services are imperative for the functioning of all companies.
The outstanding invoices or the money that a company has yet to receive from its customers are accounted for as accounts receivable. Sometimes, customers do not obey the company’s payment terms and delay their invoice payments. This requires the company’s accounting team to spend additional time and effort following up with the customers. Companies often opt to outsource their accounts receivable management process to eliminate the extra hassle.
Accounts receivable management services refer to third parties that monitor and control a company’s complete accounts receivable and debt collection process. Following are the two major types of accounts receivable management services:
Companies’ accounts receivable management services must comply with industry standards such as ISO 9001 for quality management.
An efficient in-house or third-party accounts receivable management service can offer a range of benefits. Some of the major benefits are:
ClearOne uses modern and updated technology to help businesses manage their accounts receivable. It aids companies in recording and settling numerous invoices. Companies can send payment reminders to customers and monitor receivables at either the invoice or customer levels. ClearOne saves business time and cost and helps them stay on top by enabling them to mark receivables as paid instantly.