The effective management of accounts receivable is a critical initiative within any company hoping to survive in a volatile economy. Fortunately, Anytime Connect from e2b software is available to assist in the process for trade and professional association affinity programs.
Anytime Collect, as a unique private label member service, enables association business members to more effectively management collections and
accounts receivable processes through improved cash flow and reduced write-offs due to bad debt.
Delivered as online software, Anytime Collect integrates directly with popular business accounting systems to deliver a recurring, non-dues
revenue stream for organizations and professional trade associations heavily reliant on the funds.
“Many associations are suffering from a decline in membership,” said e2b software President Lynne Henslee, in a statement. “Some blame the economy and others think it’s due to poor marketing but research indicates that it’s primarily due to members not seeing value in their membership. This hurts retention and stagnates membership growth.”
Most association business members tend to sell on 28-day credit term. Statistics taken from national data, however, suggests that most companies take up to 60 days to collect on invoices and complete the accounts receivable
process for those accounts. When the process is automated, sales days outstanding (DSO) can be improved by a 20 percent average, which then translates into receiving the money 12 days faster than traditional methods.
The automation of the accounts receivable process is a critical improvement for the small business owner who can’t afford the time or the staff to make hundreds of phone calls or develop sometimes thousands of personalized collections emails and dunning letters. The automated solution builds the queue of phone calls to be made and delivers the
personalized collection communications in just minutes.
“Adding a private label accounts receivable collections solution as a member benefit has tremendous value for associations – especially those targeting business members engaged in manufacturing, distribution, services, construction, and other industries that are notoriously bad at managing their accounts receivable and typically sell on credit terms,” added Henslee.
These member businesses cannot afford to wait until a customer decides it’s time to pay on an invoice. This gap creates a strain on cash flow and could put the company at risk of too much debt or even closure. E2b software has priced its accounts receivable solution to compare with that of the standard cell phone bill, putting automated collection efforts in reach for the small business.
Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.Edited by
Jennifer Russell
