AR & AP Mangement

In any business, it is a practical necessity as well as standard business practice to sell goods on credit. The amount of money owed by the customers of the business is collectively termed as accounts receivables, or AR.

The AP services will typically include:

• Registration and classification of vendors
• Bill passing according to purchase orders, inspection reports and company policies
• TDS
• Aging analysis
• Cheque printing
• Verification of statutory compliances like PAN no, sales tax registration, service tax registration, PF etc
• Summary of cost centers
• Accounts reconciliation

Conversely, your business may itself buy raw materials or necessary services on credit, and may owe some money payable to other vendors in the course of business. This money owed is called accounts payable, AP.

The AR services will usually include the following:

• Customer database management
• Recording and accounting for payment received
• Aging analysis
• Follow up reminders
• Bill-wise receivables
• Credit limit analysis
• Reporting and monitoring dead accounts and returned cheques
• Maintaining Customer status and initiation of legal action
• Segment wise revenue reporting
• Handling of customer queries
• Accounts Reconciliation

Accounts receivable are recorded as assets in the balance sheets of the business, while the accounts payable are listed as liabilities.

Obviously, AR and AP have a great effect on your cash flow situation, and needs proper management to ensure business growth and flow of funds, and our expert team can guide and help you in this regard by providing the best management solutions at affordable pricing.

Our AR/AP management services will help you to: