Single Course

Accounts Payable, Receivables and Credit Management

Accounting and Auditing

Course Summary:

In accounts payable and receivable, a simple mistake can be costly and cause a trial of corrections and add to your workload. Control of the management of the accounts receivable function of a business, is recognized as a key element for business success. It improves cash flow, establishes sound relations with debtors, and minimizes the risk of irrecoverable sales.

Professional credit managers must be able to manage the full spectrum of assessment, administration and collections in any environment. They must also possess an in-depth knowledge of all laws which impact on credit services directly and to the transitions taking place in society and the changing needs and demands of the market.

Course Objectives:

  • Understanding Credit management
  • Understand key areas of performance improvement in Accounts Payable
  • Incorporating Technology in Accounts Payable departments
  • Integrating Purchasing and Accounts Payable to create an Efficient Procurement Process
  • Implementing Fraud and Theft prevention methods
  • Using Accounts Payables as a cost-cutting tool
  • Accounts Receivable and Debt recovery
  • Reviewing Credit Policies

Course Outline

Credit Policies Management

  • Setting Credit Policies
  • Approving the Credit
  • Developing Credit Controls
  • The Need for Accounts Receivable
  • The Level of Accounts Receivable Companies Should Have

The Billing Process

  • Efficient Billing Process Means Faster Collection
  • Preventing the Fatal Mistake: Sending the Bill with Errors
  • The Use of Technology

You Made the Sale, It's time to Collect your Money

  • Cash: It's Worth your Efforts
  • Techniques for Faster Collection
  • Payment Processing Options

The Relationship Between Sales and Credit

  • Developing Good Working Relationships Between the Two Departments
  • Involving Sales in the Collection Effort

Accounts Receivable Process Analysis

  • Best Practices in Accounts Receivable (AR)
  • AR Process Improvement
  • Improving Quality of Accounts Receivable
  • Aging of Accounts Receivable and Bad Debts Reserves
  • Alternatives in Computing Bad Debt
  • Reducing Bad Debt Write-Offs
  • Calculating Accounts Receivable Turnover
  • Calculating Days Sales Outstanding (DSO)
  • Collection Effectiveness Index (CEI)
  • Analyzing the Operating and Cash Cycle