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How to manage collections and payments

October 18, 2019
How to manage collections and payments

A key and central aspect of the management of any company or business is the control and monitoring of collections and payments. In fact, being up to date on the management of the capital of a company, complying with the payment conditions and obligations, as well as protecting and seeking to enforce our right to collection, is extremely necessary for a company to be profitable and successful. In this article of a How we show you how to manage

Steps to follow:

1.An optimal management of receipts and payments is essential for the proper development and functioning of a company in the near future. When we talk about an optimal management of collections and payments, we refer to a series of actions that must be carried out as a forecast and an exhaustive control of the movements of the treasury of a business. In this way, we should not adapt to each of the circumstances that arise day by day but we will keep abreast of economic activity at all times.

2.It is convenient that first of all, we dedicate a little time to investigate and make a study of the sector to which the company belongs to find out and check which the most efficient payment methods are. In the management of collections and payments, this step is key, as it is a good way to ensure that our business will be economically viable.

3.In order not to take unnecessary economic risks and ensure a good business exercise, it is important and very useful to allocate some of our resources to carry out the collection and payment management. An interesting and very practical option is to have the services of an online accounting manager. With this, we can always control both payments and pending payments, doing it personally and with many facilities in any accounting, tax and labor issues of our business.

4.With a tool like the previous one, we will be able to make a good management, since we can control what we pay and earn on each occasion, set time limits to make collections and payments, as well as define each of the appropriate conditions.

5.A correct or incorrect management of collections and payments demonstrates, in short, the professionalism of a company to third parties. That is, the fact of not tracking collections and payments or having fixed methods to make them effective, can project a bad image of our company and, consequently, negatively affect trust and treatment with our suppliers and creditors .