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6 Cash Flow Performance KPIs Every CFO Needs to Track

Gaviti

Average Days Delinquent (ADD) ADD is an essential cash flow metric. It offers data on the effectiveness of your collection efforts by measuring the average number of days it takes to collect overdue payments. But continually high ADD scores across clients may indicate poor collection efficiency on your side.

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Accounts Receivable Performance Metrics: 5 KPIs You Should Be Tracking

Gaviti

By extension, most A/R invoice-to-cash management platforms and teams base their key performance indicators (KPIs) on the measurement of Days Sales Outstanding, or DSO. Collection Rate The collection rate, or Collection Effectiveness Index ( CEI ) is a measure of how well you’re collecting outstanding payments within a specific period.

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7 Strategies to Reduce DSO and Enhance Cash Flow

Gaviti

Understanding Days Sales Outstanding Days Sales Outstanding, or DSO , is the average number of days it takes a company to collect revenue from an invoice. This includes both current, past and overdue invoices. Typically, a high DSO indicates that a company is having challenges collecting on invoices from its customers.

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5 Strategies for Cash Flow Optimization in the Transportation and Logistics Industry

Gaviti

Cash flow in the transportation and logistics industry can be unpredictable. The Importance of Cash Flow Optimization in Transportation and Logistics Delays in payments force companies in the transportation and logistics industry to make difficult decisions. These challenges include: Manual A/R collections processes.

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5 Strategies for Cash Flow Optimization in the Transportation and Logistics Industry

Gaviti

Cash flow in the transportation and logistics industry can be unpredictable. The Importance of Cash Flow Optimization in Transportation and Logistics Delays in payments force companies in the transportation and logistics industry to make difficult decisions. These challenges include: Manual A/R collections processes.

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Accounts Receivable Analysis: Meaning, Objectives, Importance

Gaviti

Are you offering enough or too much credit to customers? Are you able to collect invoices on all of the revenue your business generates? How quickly are customers paying their invoices? How much cash is the company gaining or losing? Are there invoice processing delays? If so, what can they be attributed to?