Accounts Receivable and Credit Policies Management

A sizeable share of a company’s working capital is tied up in accounts receivable and this poses a high liquidity risk. In this workshop, we expand knowledge and expertise in AR which will enable you and your organization to manage your accounts receivable effectively without compromising your credit sales. By the end of the workshop, participants will be able to:

• Develop effective credit policies that meet company’s objectives
• Use financial and non-financial analysis to assist in making credit decisions
• Define the function of Accounts Receivable (AR) and its role in organization
• Apply tools and techniques to effectively monitor AR performance

Content

Credit Policies Management

• Credit Department Responsibilities
• Factors affecting Credit Policies
• The five Cs of Credit
• Non-financial factors affecting Credit Decisions
• Re-evaluate existing Accounts
• Financial Statements and Ratios: What to look for
• Setting the Credit Limit

The Billing Process

• Efficient Billing Process means Faster Collection
• The Use of Technology
• Preventing the Fatal Mistake
• Best Practices in Billing Process

The Relationship between Sales and Credit

• Breaking the Ice
• Maintaining Credit Sales Relationship
• Roles of Sales in Issuing Credit and in Collection

Accounts Receivable Process Analysis

• Aging of AR and Bad-Debts Reserves
• Reducing Bad-Bet Write Offs
• Calculating AR Turnover and Days Sales Outstanding (DSO)
• Analyzing the Operating and Cash Strategy
• Managing AR through Portfolio Strategy

Debt Collection

• Setting up a Collection Policy
• Strategies in Dispute Management
• Tips, Techniques and Guidelines for Faster Collection
• Best Practices in Collection

For Whom: Accounts Receivable (AR) Department Managers, Credit Managers/Officers, AR Staff, AR and Revenue Accountants, Billing and Collection Clerks, AR Specialists and professional in accounting, finance, operations, and sales who interact with Account Receivable and Credit Department.