Accounts Receivable (AR) is any money your customers owe you for goods or services they purchased from you in the past. This money is typically collected after a few weeks and is recorded as an asset on your company’s balance sheet. You use accounts receivable as part of accrual basis accounting.

The management of the accounts receivables (debtors) of an organization is essentially just one aspect of the management of the cash flow of that organization. Since organizations cannot survive without adequate cash flows, it follows that the management of accounts receivable is a vital aspect of cash flow management.

By attending this course Participants will gain both theoretical and practical knowledge about Accounts Receivable. The emphasis is on the practical application of the topics and as a result, the participant will go back to the workplace with both the ability and the confidence to apply the techniques learned to their duties.

Course Outline

5 days course

Day 1
Day 2
Day 3
Day 4
Day 5

An introduction to Accounts Receivable

Working Capital and Cash Management.
- Managing working capital.
Cash management and the bank facility (line of credit).
Understanding “the cost of credit”.
- Why credit management is important to the survival of businesses.
- The ‘order to cash’ process.
- Understanding “risk” in “credit”.
Accounts Receivable and effective customer service.
- Identifying under-performing areas to increase customer satisfaction.