Is my Accounts Receivable Balance Healthy?
It’s tempting to look at the $106,200 balance and assume everything will fine. This is more than enough to pay the bills on time. The problem is customers do not always pay on time, if ever.
If your AR report looks like this, then you are in good shape. This is an example of a healthy AR report.
Watch the short video to see an example of an unhealthy accounts receivable report. Plus, you'll see an example that provides warning signs cash flow may be slower than normal in the near future.
Bottom Line
Relying on your Accounts Receivable balance to pay your bills on time is largely dependent on how healthy the balance is.
A healthy, pretty Accounts Receivable report is dependent on your collection process.
You may also enjoy...
9 Tips for making collection calls less painful
Is my accounts receivable balance too high?
How is my business profitable but I don't have enough cash to pay my bills?
Join the Community!
Learn the business skills you need
to grow a healthy, thriving business.
Wherever you are in your growth journey,
we’re here to help you get there
and avoid the potholes along the way.
Unsubscribe anytime.
