article thumbnail

7 Strategies to Reduce DSO and Enhance Cash Flow

Gaviti

When accounting departments want a quick evaluation of the health of a business, they often look at their DSO, or days sales outstanding. Traditionally, a low DSO indicates that your company has capital available and is in good financial standing. This includes both current, past and overdue invoices. monthly, quarterly or annually).

DSO 52
article thumbnail

Four Burning Questions About AI in Finance and Credit – Answered

Emagia

How can AI improve Cash App? The potential of AI to transform Cash Application processes is significant, if not revolutionary. AI can enhance Cash Application processes by providing intelligent features for financial management, fraud detection, and enhanced user experience. The short version is: yes.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Embracing RPA in Accounts Receivable: A Strategic Approach

Gaviti

In addition, more accurate bookkeeping and cash application free of errors delivers a better customer experience. This helps to speed up the entire invoice-to-cash cycle, reducing Days Sales Outstanding (DSO) and improving cash flow. Cash application. Credit management. It’s scalable.

DSO 52
article thumbnail

5 Methods to Reduce Late Payments

Gaviti

It’s important to receive regular risk assessments for your customers to verify their creditworthiness and extend credit to them based on their payment history, not out of courtesy. Ideally, customer credit applications should be streamlined to focus on only the most important information to ensure they are quick and accurate.

article thumbnail

5 Methods to Reduce Late Payments

Gaviti

It’s important to receive regular risk assessments for your customers to verify their creditworthiness and extend credit to them based on their payment history, not out of courtesy. Ideally, customer credit applications should be streamlined to focus on only the most important information to ensure they are quick and accurate.

article thumbnail

Accounts Receivable Analysis: Meaning, Objectives, Importance

Gaviti

The most common is DSO. For example, some might prefer to pay in person via credit or debit card. Automate collections actions with reminders, internal or external escalations based on predefined criteria such as payment due date or history, credit terms or aging of the invoice. Cash application. and unique KPIs.

article thumbnail

Key Advantages of Autonomous Finance in A/R Collections

Gaviti

When traditional credit management and cash application is automated, it reduces the need for staff and makes the credit management and customer payment process more efficient. Its cash application enables automated payment matching that precisely allocates payments to invoices and achieves accuracy levels of 100%.