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Successful monitoring of your accounts receivable systems is essential for the small business to grow and develop financially. There are two essentials to small business success: selling the product to make the sales quota, and then collecting those account receivables on time. Too often the small business owner is so elated by getting a good sale from a regular or new business, then takes her eye off the ball, in collecting the money to help pay the bills. Let's look at some some tips to get paid on time. l. Set up a monthly budget you will need to pay your operating expenses in your business. Now let's say, the expenses equal $5,000.00 for the month. That means that you will need at least $l,250.00 a week coming in to pay for sales made on credit. When you fall short, check the A/R files, to find out who did not pay their invoice. Make a call, or have your administrative assistant call and find out when that money will be coming in. 2. Make a list of on your computer of the larger balances your expect on a monthly basis with the due date next to it. Watch this list closely, if there is a problem paying these larger A/R items, this will hurt you financially. You have payroll and insurance, taxes expenses which must be paid this month, or you need to borrow the money. When your customers pay on time, you don't need to borrow, and this saves you money. 3. Customers will try to keep their money a few extra days, if certain things happen on the sale. Did you finish the job, or is the last computer installed still not working on the computer system? You installer must let you know when this will be fixed, and if the problem is with you or with the customer. Before you call a late paying customer, make sure you know the full status of the deal with the customer.

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