{"id":999972119,"date":"2025-04-21T10:35:44","date_gmt":"2025-04-21T03:35:44","guid":{"rendered":"https:\/\/bizzi.vn\/?p=999972119"},"modified":"2026-05-23T13:56:02","modified_gmt":"2026-05-23T06:56:02","slug":"what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs","status":"publish","type":"post","link":"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/","title":{"rendered":"What is Account Receivable (AR)? Effectively manage receivables to optimize business costs"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Accounts Receivable (AR) \u2013 Accounts Receivable plays a very important role in the financial and operational activities of a business. In this article, let\u2019s learn what Accounts Receivable (AR) is and the importance of managing accounts receivable in business cost management.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This article by Bizzi will provide information on the components, accounting processes, AR management methods and how to prevent risks to minimize costs.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Index<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewbox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewbox=\"0 0 24 24\" version=\"1.2\" baseprofile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Account_Receivable_La_Gi\" >What is Account Receivable?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Khai_niem_va_dac_diem\" >Concept and characteristics\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Vai_tro_cua_Account_Receivable\" >The Role of Account Receivable<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#So_sanh_Accounts_Receivable_AR_va_Accounts_Payable_AP\" >Compare Accounts Receivable (AR) and Accounts Payable (AP)\u00a0<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Cac_thanh_phan_cua_Account_Receivable\" >Components of Account Receivable<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Quy_trinh_ke_toan_quan_ly_Account_Receivable_hieu_qua\" >Effective Account Receivable Management Accounting Process<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Thiet_lap_chinh_sach_tin_dung_ro_rang\" >Establish a clear credit policy<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Phat_hanh_hoa_don_ban_hang_chinh_xac_va_kip_thoi\" >Issue accurate and timely sales invoices<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ghi_nhan_khoan_phai_thu_vao_so_ke_toan\" >Record receivables in accounting books<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Theo_doi_va_cap_nhat_cong_no_thuong_xuyen\" >Monitor and update debt regularly<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Nhac_nho_va_thu_hoi_cong_no\" >Reminder and debt collection<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ghi_nhan_thanh_toan\" >Payment recording<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Xu_ly_no_kho_doi_va_lap_du_phong\" >Bad debt settlement and provisioning<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ra_soat_danh_gia_cai_tien_dinh_ky\" >Periodic review, evaluation &amp; improvement<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Cac_phuong_phap_quan_ly_Account_Receivable_AR_toi_uu\" >Optimal Account Receivable (AR) Management Methods\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Su_dung_phan_mem_hien_dai\" >Use modern software\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Phan_loai_khach_hang_va_thiet_lap_han_muc_tin_dung_phu_hop\" >Classify customers and set appropriate credit limits<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Giam_sat_va_danh_gia_tinh_trang_cua_Account_Receivable_dinh_ky\" >Monitor and evaluate the status of Account Receivable periodically\u00a0<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ung_dung_cong_cu_va_ky_thuat_de_toi_uu_hoa_Account_Receivable\" >Apply tools and techniques to optimize Account Receivable\u00a0\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#He_thong_ERP_Enterprise_Resource_Planning\" >ERP (Enterprise Resource Planning) System<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Phan_tich_du_lieu_va_bao_cao_tuoi_no_Aging_Analysis\" >Aging Analysis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Tu_dong_hoa_nhac_no_gui_hoa_don\" >Automate debt reminders &amp; sending invoices<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Trien_khai_quy_trinh_thu_hoi_no_chuyen_nghiep\" >Implement professional debt collection process<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ky_thuat_du_bao_dong_tien_tu_AR\" >Cash flow forecasting techniques from AR<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Cach_phong_ngua_rui_ro_lien_quan_den_Account_Receivable\" >How to prevent risks related to Account Receivable<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Kiem_tra_tin_dung_khach_hang_ky_luong\" >Thoroughly check customer credit\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Thiet_lap_chinh_sach_tin_dung_va_gioi_han_cong_no_ro_rang\" >Establish clear credit policies and debt limits<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-28\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Soan_hop_dong_dieu_khoan_thanh_toan_chat_che\" >Draft contracts &amp; strict payment terms<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-29\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Phat_hanh_hoa_don_kip_thoi_va_chinh_xac\" >Issue invoices promptly and accurately<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-30\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Theo_doi_cong_no_va_nhac_no_dinh_ky\" >Track debt and remind debt periodically<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-31\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Su_dung_bao_lanh_thanh_toan_dat_coc_tra_truoc\" >Use of payment guarantee \/ deposit \/ prepayment<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-32\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ap_dung_bao_hiem_tin_dung_thuong_mai_Trade_Credit_Insurance\" >Apply for Trade Credit Insurance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-33\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Xay_dung_quy_trinh_thu_hoi_no_hieu_qua_bang_phan_mem\" >Build an effective debt collection process using software<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-34\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Bizzi_%E2%80%93_Cong_cu_quan_ly_cong_no_thong_minh_nhac_no_tu_dong_mang_den_mot_he_thong_quan_ly_cong_no_toan_dien_voi_nhieu_tinh_nang_noi_bat\" >Bizzi \u2013 Smart debt management tool, automatic debt reminders provide a comprehensive debt management system with many outstanding features:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-35\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#B-Invoce_la_Phan_mem_oa_don_dien_tu_tich_hop_thu_hoi_cong_no_hang_dau_hien_nay_da_duoc_nhieu_doanh_nghiep_nhu_Guardian_GS25_Cong_ty_TNHH_Tu_van_va_Quan_ly_Ba_Mien%E2%80%A6_tin_dung_B-Invoice_noi_bat_voi\" >B-Invoce is the leading integrated electronic invoice software for debt collection, trusted by many businesses such as Guardian, GS25, Ba Mien Consulting and Management Company Limited... B-Invoice stands out with:<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-36\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Tam_quan_trong_cua_viec_quan_ly_Account_Receivable_trong_quan_tri_chi_phi_doanh_nghiep\" >The importance of Account Receivable management in business cost management\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-37\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Duy_tri_dong_tien_on_dinh\" >Maintain a steady cash flow\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-38\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Giam_thieu_no_xau_va_chi_phi_lien_quan\" >Minimize bad debt and related costs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-39\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Cai_thien_suc_khoe_tai_chinh_tong_the\" >Improve overall financial health\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-40\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Toi_uu_hoa_chi_phi_hoat_dong\" >Optimize operating costs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-41\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Tang_kha_nang_mo_rong_phat_trien_ben_vung\" >Increase scalability &amp; sustainability<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-42\" href=\"https:\/\/bizzi.vn\/en\/what-is-accounts-receivable-effective-management-of-receivables-to-optimize-business-costs\/#Ket_luan\" >Conclude\u00a0<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Account_Receivable_La_Gi\"><\/span><b>What is Account Receivable?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Khai_niem_va_dac_diem\"><\/span><b>Concept and characteristics\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Account Receivable (abbreviated as AR or A\/R), also known as receivables, are amounts that a business has provided products\/services for but has not yet received payment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Account Receivable represents money customers owe to a business from purchasing goods or services.<\/span><\/p>\n<figure id=\"attachment_999972123\" aria-describedby=\"caption-attachment-999972123\" style=\"width: 302px\" class=\"wp-caption aligncenter\"><img fetchpriority=\"high\" decoding=\"async\" class=\"wp-image-999972123 size-full\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/dinh-nghia-account-receivable-la-gi-1.png\" alt=\"What is the definition of account receivable?\" width=\"302\" height=\"167\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/dinh-nghia-account-receivable-la-gi-1.png 302w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/dinh-nghia-account-receivable-la-gi-1-300x166.png 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/dinh-nghia-account-receivable-la-gi-1-18x10.png 18w\" sizes=\"(max-width: 302px) 100vw, 302px\" \/><figcaption id=\"caption-attachment-999972123\" class=\"wp-caption-text\">Account Receivable represents money owed to a business by customers from the purchase of goods or services.<\/figcaption><\/figure>\n<h3><span class=\"ez-toc-section\" id=\"Vai_tro_cua_Account_Receivable\"><\/span><b>The Role of Account Receivable<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><b>Accounts Receivable (AR) \u2013 Accounts Receivable<\/b><span style=\"font-weight: 400;\"> plays a very important role in the financial and operational activities of a business.\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Current assets are important, reflecting the amount of money that a business is entitled to collect, helping to demonstrate the size and financial capacity of the business.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Direct impact on cash flow: Accounts receivable are future cash, so collecting debts on time will improve cash flow. If Account Receivable is poorly managed, cash flow will be slow, which can cause liquidity shortages despite high revenue.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Represents sales and credit policies: Businesses can expand sales by allowing customers to buy on credit. AR reflects creditworthiness and business strategy: businesses accept credit risk to increase revenue.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Customer assessment tool: AR tracking helps assess the payment status of each customer, businesses can determine who is a good customer, who is often late in paying to adjust sales policies accordingly.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Impact on financial performance: High AR ratio but not collected will lead to bad debt. Effective AR management helps improve receivable turnover, thereby improving capital efficiency.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Contributes to corporate credit assessment: Investors or banks will look at AR to assess the financial health, collectability and credit risk of the business.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"So_sanh_Accounts_Receivable_AR_va_Accounts_Payable_AP\"><\/span><b>Compare Accounts Receivable (AR) and Accounts Payable (AP)\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table>\n<tbody>\n<tr>\n<td><b>Criteria<\/b><\/td>\n<td><b>Accounts Receivable (AR) \u2013 Accounts Receivable<\/b><\/td>\n<td><b>Accounts Payable (AP) \u2013 Accounts Payable<\/b><\/td>\n<\/tr>\n<tr>\n<td><b>Define<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Is the amount of money that a customer owes a business after purchasing goods\/services but not yet paying.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Is the amount of money a business owes to suppliers after purchasing goods\/services but not yet paying.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Role<\/b><\/td>\n<td><span style=\"font-weight: 400;\">To be <\/span><b>asset<\/b><span style=\"font-weight: 400;\"> cash flow on balance sheet.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">To be <\/span><b>liabilities<\/b><span style=\"font-weight: 400;\"> (financial obligations) in the balance sheet.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Where to record<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Beside <\/span><b>asset<\/b><span style=\"font-weight: 400;\"> short term<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Beside <\/span><b>liabilities<\/b><span style=\"font-weight: 400;\"> short term<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Who owes whom?<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Client <\/span><b>in debt<\/b><span style=\"font-weight: 400;\"> business<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Business <\/span><b>in debt<\/b><span style=\"font-weight: 400;\"> supplier.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Impact on cash flow<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Cash flow <\/span><b>enter<\/b><span style=\"font-weight: 400;\"> (cash inflow) future.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Cash flow <\/span><b>go out<\/b><span style=\"font-weight: 400;\"> (cash outflow) future.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Management objectives<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Optimize debt collection to improve cash flow.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Manage payment schedules well to maintain reputation and optimize working capital.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>For example<\/b><\/td>\n<td><span style=\"font-weight: 400;\">A business sells products to other business customers and allows payment after 30 days.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">The company purchases raw materials from suppliers with a payment term of 45 days.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"Cac_thanh_phan_cua_Account_Receivable\"><\/span><b>Components of Account Receivable<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Grasp the essence <\/span><b>each component of Account Receivable (AR)<\/b><span style=\"font-weight: 400;\"> \u2013 Accounts receivable will help businesses understand the role and impact of each part on the financial and operational activities of the business.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below are the components of Account Receivable:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Sales Invoice:<\/b><span style=\"font-weight: 400;\"> Is the original document recording the sales transaction that the customer has not paid for. Including: amount, date of sale, payment deadline, customer information, product\/service provided.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Accounts Receivable Ledger:<\/b><span style=\"font-weight: 400;\"> Is a detailed record of each customer&#039;s debt. Track information such as: transaction date, debt amount, due date, payment received, remaining balance.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Customers\/Debtors: <\/b><span style=\"font-weight: 400;\">Receivables are people or organizations that have purchased products\/services but have not yet paid.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Due Date \/ Payment Terms:<\/b><span style=\"font-weight: 400;\"> Is the period agreed upon in the contract or invoice for the customer to pay.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Early Payment Discount: <\/b><span style=\"font-weight: 400;\">Some businesses offer discounts if customers pay early.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Allowance for Doubtful Accounts: <\/b><span style=\"font-weight: 400;\">Is an estimate of the amount that is likely to be uncollectible from some customers, Helps to accurately reflect the true value of receivables on financial statements.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Bad Debts:<\/b><span style=\"font-weight: 400;\"> Is the portion of receivables determined to be irrecoverable after repeated reminders and processing. Can be written off according to accounting regulations.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Aging Report<\/b><span style=\"font-weight: 400;\">: This is a report classifying receivables by overdue time: for example &lt;30 days, 30\u201360 days, &gt;90 days; helping businesses assess the level of risk and plan debt collection.<\/span>&nbsp;<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Quy_trinh_ke_toan_quan_ly_Account_Receivable_hieu_qua\"><\/span><b>Effective Account Receivable Management Accounting Process<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Establishing an effective Account Receivable (AR) management process is vital to helping businesses maintain stable cash flow, reduce bad debt risks, and increase debt collection capabilities. Below are some suggestions that businesses can refer to and flexibly apply to their operating system:<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Thiet_lap_chinh_sach_tin_dung_ro_rang\"><\/span><b>Establish a clear credit policy<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Specify who can buy on credit, maximum credit limit, payment terms.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Check customer&#039;s reputation and credit history before accepting credit.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Phat_hanh_hoa_don_ban_hang_chinh_xac_va_kip_thoi\"><\/span><b>Issue accurate and timely sales invoices<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Describe the billing process in full detail.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Note about sending invoices quickly through different channels.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Upon delivery or completion of service, accountants need to: Prepare <\/span><b>Sales invoice<\/b><span style=\"font-weight: 400;\"> correct value, tax, time, payment due. Send invoices to customers on time via email, system or paper.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Ghi_nhan_khoan_phai_thu_vao_so_ke_toan\"><\/span><b>Record receivables in accounting books<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Recorded to customer receivables in the general ledger.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For example:<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Debit account 131 \u2013 Customer receivables<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Credit account 511 \u2013 Sales revenue<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Credit account 3331 \u2013 VAT payable (if any)<\/span><\/li>\n<\/ul>\n<figure id=\"attachment_999972124\" aria-describedby=\"caption-attachment-999972124\" style=\"width: 750px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\"size-full wp-image-999972124\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/quy-trinh-quan-ly-account-receivable-hieu-qua.png\" alt=\"Effective Account Receivable Management Accounting Process\" width=\"750\" height=\"440\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/quy-trinh-quan-ly-account-receivable-hieu-qua.png 750w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/quy-trinh-quan-ly-account-receivable-hieu-qua-300x176.png 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/quy-trinh-quan-ly-account-receivable-hieu-qua-18x12.png 18w\" sizes=\"(max-width: 750px) 100vw, 750px\" \/><figcaption id=\"caption-attachment-999972124\" class=\"wp-caption-text\">Effective Account Receivable Management Accounting Process<\/figcaption><\/figure>\n<h3><span class=\"ez-toc-section\" id=\"Theo_doi_va_cap_nhat_cong_no_thuong_xuyen\"><\/span><b>Monitor and update debt regularly<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use accounting software or a detailed debt tracking table for each customer.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Create report <\/span><b>Aging Report<\/b><span style=\"font-weight: 400;\"> to see which debts are about to or are overdue.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Nhac_nho_va_thu_hoi_cong_no\"><\/span><b>Reminder and debt collection<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Before the due date: send a gentle reminder email or call.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">After overdue: send official reminder letter, warning to stop providing service, charge late fee (if any).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Depending on the case, it is possible to negotiate an extension or partial withdrawal.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Ghi_nhan_thanh_toan\"><\/span><b>Payment recording<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">When the customer pays, record the receipt:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Debit account 111\/112 \u2013 Cash\/deposits<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Credit account 131 \u2013 Customer receivables<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Compare with bank statement or receipt.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Xu_ly_no_kho_doi_va_lap_du_phong\"><\/span><b>Bad debt settlement and provisioning<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For long-term overdue and difficult-to-recover accounts: Establish provisions for doubtful debts:<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Debit account 642 \u2013 Management expenses<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Credit account 139 - Provision for doubtful debts<\/span>&nbsp;<\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bad debt write-off case:<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Debit account 139<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Have account 131<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Ra_soat_danh_gia_cai_tien_dinh_ky\"><\/span><b>Periodic review, evaluation &amp; improvement<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Periodically (monthly, quarterly) analyze debt situation: total outstanding debt, collection rate, bad debt rate.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evaluate the effectiveness of credit policies and adjust as necessary.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Cac_phuong_phap_quan_ly_Account_Receivable_AR_toi_uu\"><\/span><b>Optimal Account Receivable (AR) Management Methods\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Finding optimal methods for managing Account Receivable (AR) is essential because AR is not only an accounting indicator but also an extremely important financial lever to help businesses operate effectively.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Su_dung_phan_mem_hien_dai\"><\/span><b>Use modern software\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Software is a tool, but its effectiveness depends on how businesses use it. By combining modern software with standard management processes and thinking, businesses can optimize AR management comprehensively, from collection speed to risk and cost control.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Track debt by customer and contract.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Automatic debt reminders, overdue warnings, quick report creation.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Intuitive interface makes debt management easy, reducing manual errors.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ability to integrate with ERP systems for comprehensive management.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Phan_loai_khach_hang_va_thiet_lap_han_muc_tin_dung_phu_hop\"><\/span><b>Classify customers and set appropriate credit limits<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Segment customers by risk (A, B, C), based on credit history and sales.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Flexible credit limit &amp; payment schedule by group<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Set early payment discount conditions<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Giam_sat_va_danh_gia_tinh_trang_cua_Account_Receivable_dinh_ky\"><\/span><b>Monitor and evaluate the status of Account Receivable periodically\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The importance of preparing periodic AR reports to monitor past due receivables.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reassess customer&#039;s ability to pay to adjust credit policy.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Ung_dung_cong_cu_va_ky_thuat_de_toi_uu_hoa_Account_Receivable\"><\/span><b>Apply tools and techniques to optimize Account Receivable\u00a0\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"He_thong_ERP_Enterprise_Resource_Planning\"><\/span><b>ERP (Enterprise Resource Planning) System<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ability to integrate data and automate Account Receivable management processes.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Phan_tich_du_lieu_va_bao_cao_tuoi_no_Aging_Analysis\"><\/span><b>Aging Analysis<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use Excel \/ Google Sheets tool with debt aging summary table, BI software like Power BI, Tableau to visualize AR data<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Focus on handling the highest risk accounts.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Analyze which accounts are due soon and how long they are overdue.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Apply debt aging analysis results to assess financial situation and debt collection ability.\u00a0<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Tu_dong_hoa_nhac_no_gui_hoa_don\"><\/span><b>Automate debt reminders &amp; sending invoices<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Tools: Email marketing automation (Mailchimp, HubSpot); ERP system with auto reminder feature; SMS\/WhatsApp API<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Send automatic recurring or early payment reminders.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reduce manual processing time, increase on-time debt collection rate.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Trien_khai_quy_trinh_thu_hoi_no_chuyen_nghiep\"><\/span><b>Implement professional debt collection process<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Apply standard email templates, record full interactions to reduce bad debt without losing customers.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Build professional, clear relationships.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Ky_thuat_du_bao_dong_tien_tu_AR\"><\/span><b>Cash flow forecasting techniques from AR<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Using tools like Excel + historical payment collection forecasting models or AI\/ML integrated in ERP (major platforms like SAP, Oracle) helps businesses plan finances, investments and spending more accurately.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Cach_phong_ngua_rui_ro_lien_quan_den_Account_Receivable\"><\/span><b>How to prevent risks related to Account Receivable<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">To effectively manage Accounts Receivable (AR) and prevent risks such as bad debt, late payment, or inability to collect debts, businesses need to synchronously deploy many measures. Below are ways to prevent risks related to AR:<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Kiem_tra_tin_dung_khach_hang_ky_luong\"><\/span><b>Thoroughly check customer credit\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Financial statements (if business)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Payment history (if you are a previous customer)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Credit rating from third party (if any)<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Thiet_lap_chinh_sach_tin_dung_va_gioi_han_cong_no_ro_rang\"><\/span><b>Establish clear credit policies and debt limits<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Debt limit according to: Customer size; Trust level \/ cooperation time<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Specify specific payment time (Net 15, Net 30,\u2026)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Penalty for late payment or stop transaction if limit is exceeded<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Soan_hop_dong_dieu_khoan_thanh_toan_chat_che\"><\/span><b>Draft contracts &amp; strict payment terms<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Payment terms, terms.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Overdue remedies (penalty interest, contract termination, etc.).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Where to resolve disputes, under what law?<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Phat_hanh_hoa_don_kip_thoi_va_chinh_xac\"><\/span><b>Issue invoices promptly and accurately<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Avoid mistakes that give customers an excuse to delay payment.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Invoices must have correct company name, tax code, value, tax rate, payment deadline, etc.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Theo_doi_cong_no_va_nhac_no_dinh_ky\"><\/span><b>Track debt and remind debt periodically<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use accounting software with integrated automatic debt reminders.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Send email, SMS or call to remind about payment before and after due date.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Have a plan for soft and hard reminders according to debt level.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Su_dung_bao_lanh_thanh_toan_dat_coc_tra_truoc\"><\/span><b>Use of payment guarantee \/ deposit \/ prepayment<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Especially with large contracts, new clients or high risk.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">May require: Deposit 30-50%; Bank guarantee (LC, SBLC); Tripartite contract (supplier \u2013 customer \u2013 guarantor)<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Ap_dung_bao_hiem_tin_dung_thuong_mai_Trade_Credit_Insurance\"><\/span><b>Apply for Trade Credit Insurance<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Purchase insurance for receivables from third parties (revenue insurance). If the customer defaults, the business is covered in part or in full.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Xay_dung_quy_trinh_thu_hoi_no_hieu_qua_bang_phan_mem\"><\/span><b>Build an effective debt collection process using software<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Debt management and collection is one of the important problems that helps businesses maintain healthy cash flow and financial stability. Using technology solutions such as <\/span><b>Bizzi<\/b><span style=\"font-weight: 400;\"> and <\/span><b>B-Invoice<\/b><span style=\"font-weight: 400;\">, businesses can automate the entire debt collection process, saving time and increasing efficiency.<\/span><\/p>\n<h4><span class=\"ez-toc-section\" id=\"Bizzi_%E2%80%93_Cong_cu_quan_ly_cong_no_thong_minh_nhac_no_tu_dong_mang_den_mot_he_thong_quan_ly_cong_no_toan_dien_voi_nhieu_tinh_nang_noi_bat\"><\/span><b>Bizzi \u2013 Smart debt management tool, automatic debt reminder <\/b><span style=\"font-weight: 400;\">Provides a comprehensive debt management system with many outstanding features:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Automatic invoice issuance<\/b><span style=\"font-weight: 400;\">: Integrate order information, payment deadlines, ensuring transparency and accuracy.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Closely monitor debt<\/b><span style=\"font-weight: 400;\">: Continuously update important indicators such as days outstanding debt (DSO), debt aging report...<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Multi-channel automatic debt reminder<\/b><span style=\"font-weight: 400;\">: Trigger debt reminders based on due dates or optional timelines. Send debt reminder emails according to appropriate scenarios for each customer group.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Fast debt reconciliation<\/b><span style=\"font-weight: 400;\">: Automatically reconcile with bank statements, manage pending payments and accurately offset debts.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Flexible management<\/b><span style=\"font-weight: 400;\">: Track debt by invoice, contract or specific customer.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Automatically create debt collection jobs<\/b><span style=\"font-weight: 400;\">: Link related departments, update debt status and create task reminders to process according to the process.<\/span><\/li>\n<\/ul>\n<figure id=\"attachment_999971776\" aria-describedby=\"caption-attachment-999971776\" style=\"width: 1536px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"wp-image-999971776 size-full\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail.jpg\" alt=\"effective management of receivables\" width=\"1536\" height=\"864\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail.jpg 1536w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail-300x169.jpg 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail-1024x576.jpg 1024w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail-768x432.jpg 768w, https:\/\/bizzi.vn\/wp-content\/uploads\/2025\/04\/bizzi-thumbnail-18x10.jpg 18w\" sizes=\"(max-width: 1536px) 100vw, 1536px\" \/><figcaption id=\"caption-attachment-999971776\" class=\"wp-caption-text\">Effectively manage receivables to optimize business costs<\/figcaption><\/figure>\n<h4><span class=\"ez-toc-section\" id=\"B-Invoce_la_Phan_mem_oa_don_dien_tu_tich_hop_thu_hoi_cong_no_hang_dau_hien_nay_da_duoc_nhieu_doanh_nghiep_nhu_Guardian_GS25_Cong_ty_TNHH_Tu_van_va_Quan_ly_Ba_Mien%E2%80%A6_tin_dung_B-Invoice_noi_bat_voi\"><\/span><b>B-Invoce is an electronic invoice software integrated with debt collection.<\/b><span style=\"font-weight: 400;\">\u00a0leading today, has been used by many businesses such as <\/span><b>Guardian, GS25, Ba Mien Consulting and Management Company Limited\u2026<\/b><span style=\"font-weight: 400;\"> trusted. B-Invoice stands out with:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>POS machine integration<\/b><span style=\"font-weight: 400;\">, suitable for retail businesses.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Fully comply with Decree 123\/2020\/ND-CP and Circular 78\/2021\/TT-BTC<\/b><span style=\"font-weight: 400;\">.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Automate your accounts receivable process<\/b><span style=\"font-weight: 400;\">: Easily customizable according to business needs, supports fast debt collection, minimizes financial risks.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Friendly interface, easy to integrate<\/b> with ERP systems and accounting software.<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">With our automatic debt management solution <\/span><b>Bizzi<\/b><span style=\"font-weight: 400;\"> with smart reminder process, helps automate payment process, shorten debt collection time and optimize cash flow.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Tam_quan_trong_cua_viec_quan_ly_Account_Receivable_trong_quan_tri_chi_phi_doanh_nghiep\"><\/span><b>The importance of Account Receivable management in business cost management\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Managing Account Receivable (AR) plays an extremely important role in business cost management, because it is not only related to revenue but also directly affects cash flow, capital efficiency and operating costs.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below are the roles and positive impacts when businesses manage Account Receivable effectively.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Duy_tri_dong_tien_on_dinh\"><\/span><b>Maintain a steady cash flow\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Explain how effective AR management helps ensure regular cash inflows, thereby reducing dependence on external sources of funding and interest costs.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Giam_thieu_no_xau_va_chi_phi_lien_quan\"><\/span><b>Minimize bad debt and related costs<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Collecting debt on time helps reduce costs for debt reminders, monitoring, and legal actions (calling, sending documents, hiring lawyers, etc.). In addition, when receivables turn into bad debts, businesses must set up risk provisions, reducing accounting profits.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Cai_thien_suc_khoe_tai_chinh_tong_the\"><\/span><b>Improve overall financial health\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">AR is collected on time, helping businesses proactively manage cash flow and have timely investment capital in profitable activities (advertising, R&amp;D, production expansion, etc.).<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Toi_uu_hoa_chi_phi_hoat_dong\"><\/span><b>Optimize operating costs<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Balance operating capital more accurately, reducing unexpected costs.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Increase transparency in financial management \u2013 reduce loss and internal fraud.<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Tang_kha_nang_mo_rong_phat_trien_ben_vung\"><\/span><b>Increase scalability &amp; sustainability<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Scale up without relying too much on debt.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Gain high credibility with investors, banks, and partners, thereby reducing future capital mobilization costs.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Ket_luan\"><\/span><b>Conclude\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">In short, managing Accounts Receivable (AR) is not just about tracking customer debts, but also contributes greatly to controlling costs and optimizing the financial efficiency of the business. Above is all the information analyzing what Account Receivable is, as well as how to manage this revenue effectively.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If your business is looking for an automated debt management solution for your business, contact us now. <\/span><b>Bizzi<\/b><span style=\"font-weight: 400;\"> to experience it for free!<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Link to register for a trial of Bizzi products: https:\/\/bizzi.vn\/dang-ky-dung-thu\/<\/span><\/i><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Schedule a demo: <\/span><\/i><a href=\"https:\/\/bizzi.vn\/dat-lich-demo\/\"><i><span style=\"font-weight: 400;\">https:\/\/bizzi.vn\/dat-lich-demo\/<\/span><\/i><\/a><\/li>\n<\/ul>\n<p>&nbsp;<\/p>","protected":false},"excerpt":{"rendered":"<p>Accounts Receivable (AR) \u2013 Accounts receivable play a crucial role in the financial and operational activities of a business\u2026<\/p>","protected":false},"author":56,"featured_media":999972121,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","inline_featured_image":false,"footnotes":""},"categories":[54],"tags":[],"class_list":["post-999972119","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-so-tay-ke-toan"],"acf":[],"_links":{"self":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999972119","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/comments?post=999972119"}],"version-history":[{"count":2,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999972119\/revisions"}],"predecessor-version":[{"id":999980912,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999972119\/revisions\/999980912"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/media\/999972121"}],"wp:attachment":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/media?parent=999972119"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/categories?post=999972119"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/tags?post=999972119"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}