Simple Practice Management Of Accounts Receivable

Accounts receivable is a very common and very important asset to kinds of enterprises, it is a direct impact on the security of an enterprise's available resources, profit and loss, cash flow, even impact on the development and expand of enterprises. Along with economic development, enterprise security sustainable development seems particularly important.Management of accounts receivables is actually the management of credit risks, which is guarded as the life-line of enterprises in developed market economy. In China, Management of accounts receivables related problems have become one of the major obstacles to the existing and developing of enterprises. Some of entrepreneurs go back to the COD(Cash On Delivery) practice and give up the huge potential credit sales could bring to them, Others try to fix the problem only by more efforts of collection, even connect the personal incomes of sales person with the collection results. But very rare of them have established or armed themselves with a complete and state of the accounts receivable management system.At present, many enterprises for failure to take effective measures of accounts receivable management have led companies not arranging loans receivable, accounts receivable turnover rate declining, enterprise funds tension, or even a financial crisis and the credit crisis. To this extend, strengthening enterprise receivables management imminent.Enterprises shall make sure that there is strict supervision and control of the whole process (from beginning to the end) of each transaction. Therefore, credit management is consisted of solutions before, during and after the transaction, which make one complete whole process credit sy stem. We prevent the credit risks before it happens through way of customer information analysis before the transaction. We reduce the credit risks to the minimum level by way of effective systematic tracking and supervision during the transaction. Once the credit time is expired, we will enforce our legal rights by law.This accounts receivable from the status quo, mismanagement, accounts receivable function, cost and disadvantages of the enterprise receivables management issues in the analysis of the enterprise to strengthen the need for accounts receivable management, and from the six aspects of how to manage the accounts receivable were discussed. Quote of w Ltd. in accounts receivable management success stories, people filed accounts receivable on the general issue.