Acumatica ERP Financial Tools: Accounts Receivable

When looking at financials, business-owners often focus on revenues, net income and earnings per share. Although these are good indicators of a business’ overall health, analyzing the accounts receivable can allow you to go deeper in your analysis. In this article, which is part 1 in our Financial Tools Series (Read the overview of Financial Management Software here, Part 2 on Accounts Payable here and Part 3 on General Ledger here), we’ll look at how Acumatica Cloud ERP can help businesses better organize and analyze their accounts receivable processes.

What is Accounts Receivable Software?

Accounts receivable software helps you track all the money your company is owed but has not collected yet. This includes invoices you’ve sent for products or services you’ve already delivered. Any company that doesn’t manage receivables carefully won’t be able to pay their bills or invest in growing their company. Without a good accounts receivable system, you’ll never know which customers are paying on time and which aren’t. This will not only hurt your cash flow but, also mask problems with your other business processes and systems.

What Can Accounts Receivable Do for My Business?

A full-function accounts receivable application like the one found in Acumatica Financial Management far exceeds basic bookkeeping with additional functions that help you track and manage this critical asset in your business. This financial tool helps you easily monitor late payments and interest rates. Rather than having to pull multiple spreadsheets to figure out which payments are overdue and how much interest you should charge – you can save time with built-in rules that automatically calculate appropriate rates and late fees.

Further, Acumatica stores your customer data in one place to help keep your company organized and efficient. You can track customer payment terms and even prevent further sales until an account in good standing. Also, applying balance forward or open item tracking allows your company to be flexible when tracking your customer payments. You can decide whether to have your customers pay off their bill in lump sums, or they can pay for each item individually.

Acumatica not only provides an accounts receivable function for single purchases but also works with sophisticated billing, such as recurring revenue and deferred revenue. As a result, you can take proactive steps to improve your cash flow and keep it healthy as your company grows.

Key Benefits of Acumatica’s Accounts Receivable Module

Cloud-Based & Mobile-Friendly

• Access all accounts receivable features from anywhere using any browser on any device

Reduce Uncollectible Debts

• Use reports and dashboards to spot potential problems
• Keep up with over-limit accounts, ageing accounts and expiring credit cards

Work the Way You Want

• Use sales contracts for billing recurring fees, one-time fees, setup and overage

Streamline Operations

• Let all your teams access customer bills and reports through customized workflow and approval processes

Reduce Data Entry, Minimize Errors

• Use predictive entry and flexible screen layouts to reduce time spent entering and fixing data

Boost Customer Satisfaction

• Create HTML, PDF or Excel documents –and then print or email them to meet client needs

Work Locally and Globally

• Work in multiple currencies
• Use automatic translation to keep thinking in one currency
• Consolidate financial data from numerous locations

Take Credit Card Payments

• Accept PCI-compliant credit card payment with the flexibility to handle manual charges, transaction voids and refunds
• View credit card transactions and issue warnings about expiring credit cards
• Connect to any bank processing centre with included plug-ins, or build your own using our SDK

Meet Your Revenue Recognition Requirements

• Use deferred revenue codes for individual line items at invoicing to support your revenue recognition requirements

Manage Credit Control by Parent Accounts

• Companies with franchises or multiple branches can configure parent-child relationships between the customer accounts
• Manage credit control on the parent account level

Want to learn more about ERP software? Check out the other posts in our What is ERP series! (Financial Tools, Accounts Payable, General Ledger)

Think Acumatica’s Financial Management Software could be a game-changer for your business? Find out more here.

Have any questions about Acumatica or want to request a demonstration? Contact our team.

Remember, the company you choose to implement your software dictates the success or failure of your software investment. At Aqurus, we’re passionate about providing superior ERP solutions and support.