What Makes A Good Accounts Receivable?
Accounts receivable (A/R) software helps companies manage their incoming invoices and payments. Some users of this software are small businesses, freelancers, and consultants. Others are large corporations. Regardless of size, every business needs A/R software to track outstanding invoices and collect payments.
The right A/R solution can reduce operating costs by helping you manage cash flow, automate processes, improve customer service, and grow your company. It can also free up valuable resources that would otherwise be spent manually counting invoices and chasing down overdue ones.
Here’s what you should look for in A/R software:
Automated data entry. A good A/R program will allow you to set up rules that automatically enter information into accounts payable and receivable tables to streamline operations. This saves you time entering data manually.
Real-time visibility. You need to know exactly where your money is going and when. An integrated system lets you see your entire account balance in one place. You’ll also be able to view detailed reports on transactions and balances.
Invoicing capabilities. Invoicing is often the most complex part of running a business. A/R software should give you the ability to create professional-looking invoices. You should also be able to send them electronically and receive automatic acknowledgements.
Purchasing options. Your customers might pay you through a check, credit card, debit card, etc. Depending on the size of your business, you may need more than one method of payment.
Integration with accounting systems. To remain competitive, you must work closely with your accountant. Integrating your A/R software with an accounting package such as QuickBooks Online or Xero means you can easily communicate with each other and access financial information from anywhere using your computer, smartphone, or tablet.
Customer relationship management. When it comes to managing relationships with customers, you need tools that help you create marketing materials, respond to customer feedback, and follow up with prospects. Good CRM software can do all of these tasks well.
Mobile access. Today, consumers expect to be able to get online whenever they wish. They don’t want to wait until they get home to check their email or update their social media status. So having mobile access to your A/R software is critical.
Security. As you start working with more and more customers, you’ll undoubtedly come across sensitive information about them. Protecting that data is a top priority. Ensure that your A/R software encrypts all data to access only authorised employees and users.
What Is Accounts Receivable Software Accounts receivable software helps companies keep track of outstanding invoices and payments.