Cash flow management is an essential aspect of running any business — especially a small business. The tips in this article will help you better understand cash flow management and how it applies to your small business.
Accounts receivable management (ARM) is the process of managing accounts receivable to ensure outstanding invoices are collected in a timely manner, as well as identifying and avoiding unnecessary delays in payment.
An accounts receivable aging report is a document that lists all outstanding invoices and shows how long each one has been unpaid. This report can be run for a specific time period, such as the past month or quarter, or it can show all outstanding invoices regardless of when they were issued.
Early payment discounts are beneficial for both parties involved. The supplier gets paid sooner, which improves their cash flow, and the customer saves money on their purchase. It's important to note that not all suppliers offer early payment discounts, so be sure to ask before you commit to any purchase.
A complete guide to the maximum Late Fee Laws by US State, for all states and territories in the United States. We cover the maximum late fee you are allowed to charge in each state, as well as the grace period you must allow your customers.
Copy and paste, legal clauses and real examples of late fee policies that you can use to implement your Late Fee policies.
Accounts receivable software automates a business’s invoicing, payment and credit management processes. It offers users a collection of tools they can use to manage their finances better.
When determining how much interest you can charge on overdue invoices, keep in mind that the figure you settle on should be fair and reasonable. In this article we outline how much you can, and should charge in The United States, Canada, The United Kingdom, Australia, South Africa and New Zealand.
Businesses in Canada can charge late fees on overdue invoices either as a fixed penalty fee or by adding interest at the average bank rate plus 3%. In this article we explore the finer details on how much you can charge for late fees in Canada.
Late payment fees are legal throughout South Africa. For the majority of industries, the law doesn’t specifically outline what you are entitled to charge in late fees. In this article we explore how you can legally charge for Late Fees in South Africa.
Businesses in Australia can charge fixed penalty late fees or interest on overdue invoices capped at around 10% annually. We’ll break down how much you can charge in late fees in Australia, and how you can apply them legally.
We cover the best practices for charging late fees let’s look at the figures in more detail. How much can you charge? How do you work out the interest fee? What level of overdue late fee is considered “reasonable” in New Zealand?
With no legal guidelines in place around how much to charge in late fees in Singapore, we’ll offer you advice based on best practices later in this article.
Businesses in the UK are entitled to charge both fixed penalty fees and interest on overdue invoices at a rate of 8% plus the Bank of England base rate. While there isn’t any government guidance around the amount that can be charged for a fixed fee, the onus is on you to ensure it is “reasonable”. We’ll discuss what is considered reasonable later in this article.
Introducing custom email notifications, a new dashboard and filtering options for all of your invoices.
This penalty type will take your interest rate and apply it to the outstanding balance. As this is per annum Latechaser will then divide it by 365 (the amount of days in a year) to get a daily interest charge.
New features updates enable more customisations with Latechaser. Learn more inside.