Do you lose sleep over your Accounts Receivable?
By Lara Bacon
What is one of the most important aspects of small business?
Of course, it’s customers! Without them, businesses don’t have income. That’s why it’s imperative you look after your customers and at the same time, keep an eye on your account balance. Many small businesses struggle with managing cash flow. It’s hard to know what to look for or where to even start. Accounts receivable or Trade Debtors (customers who owe money) is one area that every small business needs to be in control of. The last thing a small business needs, is not making their own payments on time to: suppliers, trade creditors and in some cases, even staff.
Accounts Receivable Reporting is VITAL!
This is where Xero comes in super handy. Monitoring accounts receivables in Xero is as easy as clicking a button.
An accounts receivable report can be run at any time. It provides information on who owes you, how much they owe you and when they were invoiced. It can be shown as either a total amount owing for each customer or a more detailed breakdown of all their overdue invoices.
Did you know that Xero also has the ability to sort overdue invoices by age, helping your decision making – such as, when to begin chasing overdue invoices or which customers you should discontinue supplying products or services to, until payment has been made.
We love Xero’s Auto Reminders feature. This feature helps you manage your accounts receivable with very little input, creating more time for you to invest into growing your business.
But what exactly does this feature do?
Well, it can be set up to send automatic email reminders to chase up invoices, without you even having to lift a finger. You simply “set” and “forget”. You can customise this feature according to your own needs, by deciding when you want customers to receive the reminders, whether you want to exclude certain customers, at what monetary limit invoices should be chased and how the email reminder should look.
If this is something you want to introduce into your business, give us a call on 5821 9177 so that you spend less time chasing payments and more time growing your business.
We have a team of experts here at MB+M who are determined to make your life easier. So what do you have to lose? Call us today!