The large volume of accounts receivable can be a headache for many firms. The greater the amount of invoices not paid by buyers, the less cash in circulation. Sometimes it takes a long time to get unscrupulous counterparties to repay a debt.
Instructions
Step 1
Assess the status of receivables. This can be done by drawing up a statement of accounts receivable. Include in it information about buyers and customers, date of shipment of goods (provision of services, performance of work), unpaid invoices. Highlight the debt related to the implementation of the reporting month and the overdue debt. Monitor the status of receivables on a daily basis and enter data into this document as new information becomes available.
Step 2
Remind “forgetful” buyers to pay the current month's bills immediately after the due date (by sending a formal fax). If the money is still not received, call the employee of the buying company responsible for payments and demand a return of the debt.
Step 3
Try to motivate yourself to repay your debt on time. Offer the debtors the option of paying off the debt in installments by drawing up and signing an agreement (commercial loan agreement). If the contract of purchase and sale (provision of services, performance of work) provides for penalties for a penalty, keep their accrual for each day of delay. Report this regularly to the debtor.
Step 4
Draw up and send "hard-core" defaulters claims for overdue receivables, in which you inform that in case of non-payment of the debt, a claim will be filed with an arbitration court. Attach statements of reconciliation of calculations to the claims.
Step 5
If debtors do not respond, contact a collection agency or legal advice. Collectors work for a percentage of the collected overdue debt (usually 30-50%), in law firms there is a fixed payment. Lawyers will help with debt recovery in court, but this process can be quite lengthy. Debt collection agencies can take on a larger list of problems, but only if the debts are realistic to collect.
Step 6
If the management has resolved the issue of attracting a collection agency, draw up an agreement on the transfer of the right to represent the interests of the creditor on the demand of receivables, which specifies the terms for repayment of the debt. If the company decides to arrange the assignment of receivables to the collector, draw up an assignment agreement, according to which the agency immediately pays part of the debt.
