In an organisation, fewer outstanding account balances translate to better cash flow, fewer bad debts, and enhanced profitability. Furthermore, freeing up the cash gives an organisation the added liquidity they need to fund growth, maximise shareholder returns, and even outperform their competitors. While organisations have formal accounts receivable policies that dictate when to bill, how much to bill, and when to collect, oftentimes, they don’t enforce these policies effectively or even adopt the right processes. Often, it comes down to the organisational culture of prioritising sales and falling into the trap of extending credit to customers.
To maintain better cash flow and optimise the account receivables, the first step the organisations need to take is a clear and concise policy for issuing credit and recovering debt in a timely fashion. To do this, organisations must solicit input from the sales team when forming the guidelines to ensure market realities are reflected. Once the policies are established, a final seal of approval is required from the finance team to enforce that the sales team not to authorise credit or change terms without pre-approval.
Another way to optimise account receivables and payables is consistent invoicing. Moreover, organisations can also take the electronic invoicing route to minimise delivery time and allow customers to download their invoices directly into their own accounting system.
At this juncture, many cutting-edge accounts payable and receivable solution providers are entering the domain with advanced and integrated offerings. To help the accounting sector strengthen its operational capabilities and simultaneously enable growth in the industry, CFO Tech Outlook has compiled a list of the top accounts payable and receivable solution providers. The list comprises prominent organisations in the industry that address issues pertinent to the accounting sector by implementing current trends. Besides, the magazine also includes insights from thought leaders in the sector on the industry trends, best practices, recent innovations, and their advice for the aspiring CIOs.
We present to you CFO Tech Outlook’s, “Top 10 Accounts Payable and Receivable Solution Providers in UK – 2020.”