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It’s Friday afternoon at the end of the month, and as you sit down to review your company’s finances…PING! An email notification pops up from a major client. “URGENT: BILLING ERROR”. Your heart sinks as the dreams of your weekend plans become just that, merely dreams.  

Don’t let inaccurate invoices or system glitches get you down. With Xledger, there’s a better way to bill.  

We will discuss the world of billing and how, in today’s fast-paced business environment, understanding your cash position in real-time is essential for success. 

What is Accounts Receivable (AR)? 

Accounts receivable (AR) are the invoices belonging to a company that still need to be paid at the time of reporting.  

AR represents an agreement between a company and the customer where the company provides a good or service before payment and an invoice with a due date. The customer has the time to collect the money while still being able to use the product or service. 

Once payment is collected, the item line is converted into cash to increase your balance sheet’s cash position. 

Here is the Accounts Receivable process broken down: 

1. Create and send an invoice after the goods or services are delivered to the client 

1. Track the invoice status 

1. Send the client a reminder if it’s not paid on time 

1. Record the payment in your ledger once the correct amount is received 

What is Accounts Payable (AP)? 

Accounts payable (AP) refers to the debts a company owes to another entity; it is essentially a line of credit.  

Outstanding debts are seen as a liability until they are paid and are recorded as such on your organization’s balance sheet. Once an invoice is received and approved, the line item needs to be added to your online ERP system to increase your balance sheet’s total liabilities. 

Here is the Accounts Payable process broken down: 

1. Create a purchase order (PO). 

1. Receive the goods or services 

1. Receive and register the supplier’s invoice 

1. Match the PO with the goods receipt note (GRN) and invoice to verify accuracy 

1. Authorize and process the payment 

Achieving Cashflow Clarity 

No one wants to receive a last-minute billing error issue. Businesses that fail to manage their billing and cash flow effectively run the risk of operational disruptions and missed growth opportunities. How does Xledger simplify billing? 

Streamlined Payment Processing 

Old-school payment processes are extremely manual and time-consuming. With Xledger’s automated tools you can streamline your payment process giving your team time back in their workday.  

For example, if you pay rent for your office space once a month you could set up and approve 12 recurring payments that would not be processed until their due date. Remembering when bills are due can be simplified through our streamlined payment process.  

Xledger offers our customers customizable payment terms, automated invoice matching, bulk payment processing & vendor management, configurable payment schedules, and more.  

Real-Time Insights: Reporting, Budgeting, and Forecasting 

Don’t fall behind on Billing. Receiving real time insights allows you to make the best business decisions in real time. Xledger’s real time reporting and dashboards display pending receivables to help anticipate your business’ cash flow needs.  

Xledger provides instant information regarding your business’ Earnings before interest, taxes, depreciation, and amortization (EBITDA). Receive dynamic cash flow analysis at the speed of business to help you predict future cash shortages.  

Look ahead, build out a proper budget, and forecast your financial future. Your billing issues may be due to a lack of foresight; perhaps you are overspending or underutilizing your resources. With Xledger, experience a collaborative budgeting solution like no other. Build budgets and forecasts without bloated spreadsheets.  

Accounts Payable Automation 

Track your liabilities and stop wasting time on manual data entry. Xledger provides an automatic AP workflow, giving you clear insight into your cash flow.  

Reduce overpayments and fraud risks with Xledger’s automated invoice matching purchase order and receipts and improve vendor relationships with timely payments since all AP entries are date stamped and prevent unauthorized adjustments. 

Tracking Time and Expenses 

Don’t get lost in hundreds of tracking spreadsheets. Xledger allows our customers to manage budgets and assign expenses appropriately. With Xledger, time and expense tracking is effortless and efficient. 

Multi-Currency Management 

Perhaps your billing issues are derived from a lack of international inclusivity. Xledger provides businesses with access to global markets to manage and track multi-currency transactions. Currency exchange rates are constantly changing, and human errors are more likely to occur when accountants manually calculate exchange rates. Xledger tracks and updates currency exchange rates in real time, decreasing the hours spent and human errors made in the multi-currency billing process. 

Prioritizing Compliance 

Xledger prioritizes remaining compliant throughout one’s financial processes. Every transaction is time stamped allowing for a sully traceable audit log. All automated P&L statements, balance sheets, and income reports are in accordance with GAAP.  

Ready to Bill Better? 

Make your team’s billing processes more efficient and accurate with Xledger. Book a free demonstration of Xledger now: https://xledger.com/book-a-demo/