Accounts receivable is the money customers owe you. Accounts payable is the money you owe suppliers. Both are simple on paper and both drift quietly in practice: an invoice goes out a week late, a bill sits in someone's inbox, and by the end of the quarter the bank balance no longer matches anyone's expectations.
Send invoices the day the work is done
Every day between finishing the work and sending the invoice is a day added to your collection time. Invoice on completion, put the due date and payment details at the top, and send it to the person who actually approves payment, not just your day-to-day contact.
Read the aging report every week
An aging report groups what customers owe by how late it is. It turns a vague feeling that money is slow into a short list of names.
Anything past 30 days gets a friendly reminder. Anything past 60 gets a phone call. Most late payments are forgotten invoices, not unwilling customers.
Pay bills on a schedule, not on arrival
- Collect every bill in one place, a shared inbox or folder, the day it arrives.
- Approve once a week, checking each bill against what was ordered and received.
- Pay in a single weekly run, on or just before the due date.
A weekly rhythm beats heroic effort at month-end, on both sides of the ledger.
The result is fewer late fees, suppliers who trust you, and a bank balance that holds no surprises when the month closes.