Automating an accounts receivable system will help to improve your accounts receivable Key Performance Indicators (KPI’s) and increase cash flow. Automation relieves your collectors of time consuming, tedious clerical tasks, which allows them to focus on more important matters such as increased contact with past due accounts.
There may be some cost saving from reducing unnecessary clerical tasks, but the aim of accounts receivable automation should not be to replace your collectors. The aim should be to enhance their efforts so accounts receivable KPI’s and cash flow increase. Here are some ways in which accounts receivable automation can enhance your collectors’ efforts.
Automated reminders can be programmed to send your customers electronic document copies of invoices, statements, collection letters and other memory joggers to keep your invoices at the head of the line for payment. Collectors will no longer need to waste time pasting notes around their work station to remind them to send a follow-up document to a customer.
The time saved with automated reminders can be more productively spent contacting past due accounts. Automated reminders and frequent personnel contact can increase your chances of being paid sooner.
Instead of being replaced, your collectors will have more productive and enjoyable jobs.
ONLINE PAYMENT OPTIONS
With an automated accounts receivable system you can offer your customers a self-service payment portal. You can add a hyper-link to your invoice template connected to a secure payment portal. The portal can be programmed to accept payments by credit card, Automated Clearing House (ACH) and Electronic Funds Transfer (EFT).
A self-service payment portal frees you collectors from processing customer payments. The time saved can be spent contacting more past due accounts. Your collectors’ jobs will be more productive and rewarding if they spend less time on clerical tasks.
An automated accounts receivable system with online notes capability enhances your collectors’ jobs by providing a single location where notes can be kept on customer contacts so everyone with access, e.g., sales, customer service, and operating personnel, can be kept up to date on the current status of an account.
The time saved with online notes from not hand writing notes, sending emails and making calls can be spent more productively contacting other past due customers.
The clerical time your collectors spend sending and receiving documents from customers, sales, customer service, operating personnel and third parties can be significantly reduced with the work flow capability available in an automated accounts receivable system.
Work flow can enhance your collectors’ jobs by making them more efficient and enjoyable, and free up their time to contact past due accounts.
Accounts receivable automation can help to enhance your collectors’ jobs by making them more efficient and enjoyable. The benefit to your company of automation is not the elimination of collection jobs. It is the improvement you should see in accounts receivable KPI’s and cash flow.
Automated accounts receivable, credit and collection software is available from Lockstep Collect, the leader in cloud-based software solutions made specifically for businesses selling on credit.
If you would like to learn how you can automate your accounts receivable, credit and collection system, please contact Lockstep Collect at www.lockstep.io.