Mastering Accounts Receivable: The Key to Cash Flow and Business Success
Understanding Accounts Receivable (AR) – The Lifeline of Business Cash Flow
What is Accounts Receivable?
Accounts Receivable (AR) refers to the money owed to a business by its customers for goods or services delivered but not yet paid for. In simpler terms, it’s the “I’ll pay you later” part of a company’s revenue cycle. This deferred payment system is crucial for maintaining customer relationships while ensuring consistent cash flow.
Why is AR Important?… Read more