Credit Notes- What Are They and How Are they Useful To Receivables and Payables
Credit notes are an important financial instrument that play a key role in accounting transactions – accounts receivable and accounts payable. Credit notes are normally used to correct overcharges, wrong item delivery or service cancellations. Credit notes are represented as a credit memo which adjusts the invoice value of goods and services. They are a […]
How Small Businesses Can Tackle Cash Flow Issues Caused by Unpaid Invoices and Debt
Introduction By their very nature, small businesses grapple with uncertainty regarding cashflows from their business. Cashflow problems cause 69% of business owners to lose sleep and is the major cause behind business failures globally. Unpaid invoices and debt is the chief cause of cashflow problems worldwide. Chasing down unpaid debt and slow paying customers is […]
How Does Your Business Become Cash Flow Positive?
A business should not only have accounting profits but also cash profits in order to be truly profitable and financially stable. When a firm is cashflow positive, it helps the financial stability and liquidity of the company. Cash inflows come into the firm from sales of inventory or services and outflows in the form of […]
What Is Customer Due Diligence (CDD) Process & Its Types?
Customer Due Diligence Process is one of the core activities performed by financial and lending institutions. This is the activity that they undertake to know their clients completely. This activity also includes a risk assessment of the customer and identifies potential risks like the ability to commit money laundering, terrorism financing, and fraud. Customer Due […]
B2B Debt Collection: 5 Major Risks Owners and AR Managers Should Beware of
Most businesses are focused on generating more business and delivering more product launches. But the key driver that enables a business to progress forward is cashflows. Businesses, especially small businesses (MSMEs) in the B2B sector pay expenses and creditors only out of the cashflows that it generates. Not only increasing but also generating cashflows that […]
Comprehensive Guide to Debt Recovery Agents: Roles, Responsibilities, and Best Practices
A debt recovery agent plays a crucial role in preserving the lender- borrower relationship. Acting as an intermediary between both parties, they take the necessary steps to ensure that businesses and lenders are able to recover what they are owed while maintaining the customer relationship. Recovery agents can be defined as trained professionals who recover […]
How To Take Legal Action For Non-payment Of Invoices
Not getting invoices paid on time is one of the major problems faced by most SME and MSMEs. Invoice collection and collecting accounts receivable is the key to maintaining the cashflows of a business and maintaining its financial stability. Overdue invoices that don’t get paid and payment disputes invite legal solutions including arbitration and legal […]
Chase Unpaid Invoices: How to Handle Late Payments Efficiently?
If you want to maintain a healthy cash flow in your business and smooth business relationships, learning to handle late payment invoices is crucial. You need to develop a structured approach in your business to deal with difficult customers, send polite reminders, outline clear payment terms, and maintain detailed transaction records. When your client’s invoices […]
What Causes Overdue Invoices?
A report by online invoices.com reveals that 54% of SME businesses can expect late payment of their invoices beyond the agreed upon credit period. An analysis of late payment of invoices shows 6 days late payment is the norm. Every business globally experiences overdue invoices, and India is no exception. Unpaid invoices and debt recovery […]
How to Build a Proven Debt Collection Strategy That Works?
Struggling to keep up with bills and debt can feel like trying to swim against a strong current. For small businesses, it’s not uncommon to face hurdles in managing cash flow, especially when it comes to paying vendors and handling debt. These challenges can pile up quickly, making it tough to stay afloat. But you’re […]