The Laws of a Successful Accounts Receivable Program

In areas such as science and mathematics there arethe cash flow of your company because you control
laws that define what is and how it acts. The area ofone of its major assets--the receivables file. Always
accounts receivable is also contains laws. If you learnremember... Your job is made up of problems. Most of
how to implement the six basic statements listedthem are caused by other people. Accept this as a
below as laws, you will immediately become morefact!
productive as an accounts receivable administrator orKnow the Structure of Your Company's Accounts
manager. These are tested, proven laws of success.Receivable File -- To be an efficient, effective collector,
Implement them and you will become more successfulyou must be familiar with the accounts receivable file
-- it's a law.system your company uses. Trace the routing of each
Know Your Company -- one of the most importanttype of sale in your company's accounting system.
things you must know is the company you work for.Find the areas that could create errors. You must
You must know its organizational structure, its people,know how often the collection documents you work
its products, and its policies. Few other positions havewith are updated. And, when you see an amount with
the close contact with so many different facets of thean alphabetic notation beside it, you must understand
company.what the entire entry means. You deal with
Know Your Place in the Company -- Your company'sdelinquency percentages. These percentages show
ability to pay its bills, develop new products, build newsomething of the status of your department, and you
facilities, and expand its position in the market-place ishave something to measure the department's
in your hands. You have a great deal of responsibilityprogress against.
and occupy a high-level position. You directly control