Accounts Receivable Best Practices for Small to Medium Sized Commercial Entities ON DEMAND

Overview

Managing accounts receivable is a vital aspect of ensuring a company’s financial stability, yet it often presents a myriad of challenges for small to medium commercial entities. This self-study CPE course addresses the critical task of optimizing the accounts receivable process, a key element often likened to the lifeblood of a business. It agitates the common issues faced in invoicing, pricing, and credit management, underscoring the mantra that a sale isn’t complete until the money is collected. The solution lies in a comprehensive review of best practices in accounts receivable management. Participants will explore effective strategies in billing, pricing, and credit memo processes, delve into robust customer credit evaluation techniques, and learn how to use tools like the Altman Z Score for customer assessment. The course also covers innovative methods to secure customer payment when traditional credit is too risky and examines best practices in collection functions, account reconciliation, payment application, internal controls, and the utilization of modern banking technology. This course is indispensable for professionals striving to enhance their organization’s financial health through efficient accounts receivable management.

Highlights

Best practices - sales processes. Case study. Credit. Best practices - customer credit evaluation. Tier 1 customer credit analysis. What business credit reports are available? Tier 2 customer credit analysis. Working with internally prepared financial statements. Financial ratio analysis. Altman Z score, and more.

Prerequisites

None.

Designed For

CPAs, CFOs, controllers, financial professionals, and auditors.

Objectives

Associate the importance of the billing, pricing, and credit memo process to accounts receivable best practices. Differentiate between customer credit evaluation techniques. Define and use the Altman Z score and other ratios in evaluating customers. Recognize nontraditional methods to secure customer payment. Recognize best practices to the collection function. Associate the importance of internal controls with the payment application function.

Preparation

None.

Notice

None.