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Increase the Liquidity of Your Receivables Portfolio

Your Virtual Credit Manager

Turning your inventory over faster and your payables slower will add cash to your balance sheet, as will raising capital by selling shares in your company or getting a loan or line of credit. The other option you have involves improving the performance of your accounts receivable (AR). Email YVCM about Consulting 5.

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Is Your AR Performance Measuring Up?

Your Virtual Credit Manager

Accounts Receivable (AR) is among the three largest assets on most companies’ books — inventory along with plant and equipment are the other two. AR is also the primary source of cash to fund daily operations. For example, if collections are constant and sales are rising, DSO will increase.