Cash is the oxygen to your business. Any negative impact on your cash flow can critically affect your business’s ability to continue daily operations.
Delinquent customers and bad debts may often hold up your cash flow and erode your revenues. This impacts your profitability as well.
By definition, customers who do not settle their payments 30 days past the due dates are referred to as delinquent accounts/customers. So, how to handle the delinquent accounts?
To deal with delinquent accounts, the collections analysts have to design customized collection plans to recover the unpaid money.
Collections analysts communicate periodically with customers about their open invoices via emails, letters, and telephonic conversations. This process is called dunning. They also use a variety of customer data to identify at-risk, high-value customers. Building a prioritized collections worklist helps analysts save time and effort and have the right conversations with the clients. Dunning and prioritizing collections worklists are some techniques that help collections analysts stay on top of delinquent accounts
Delinquent customers are tricky to deal with. A courteous yet firm approach can help you maintain customer relationships without hurting your receivables collections.
Companies are also turning to automation of their collections process to reduce delinquency rates. Automation technologies help address a variety of AR challenges and enable analysts to recover the accounts receivables smoothly.
At HighRadius, we have helped many businesses manage their delinquent accounts with ease. With the help of RadiusOne, mid-sized business owners can easily create a prioritized collections worklist, send automated dunning emails, handle dispute management, and close open invoices efficiently. Talk to our experts today to learn more about RadiusOne AR Automation Solutions.
Want to learn more about how to make a perfect collection call? Check this blog on Collections Call-101.
Automate invoicing, collections, deduction, and credit risk management with our AI-powered AR suite and experience enhanced cash flow and lower DSO & bad debtTalk to our experts
HighRadius RadiusOne AR Suite provides the complete collections solution to streamline labor-intensive processes by automating correspondence and providing a native dialer while delivering a personalized CX. It is quick to deploy and ready to integrate with ERPs like Oracle NetSuite, Sage Intacct, MS Dynamics, and scales to meet the needs of your order-to-cash process.
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