Business

Why Use Debtor Management Software?

By Ryan Bradman | September 1, 2022

Table of Contents

If you have accounting software, chances are that it contains a module for debtor management. And the chances are even greater that that module is very limited. At most, you can keep track of who has paid and see which invoices are still outstanding. But good debtor management has many more important factors. That’s where debtor management software comes in.

Why Use Debtor Management Software?

1. Your customer base is growing

When your customer base grows, it’s time to look for professional credit management software. Professional debtor management software offers you more options to track your customers. This way you can be sure that you will receive your money on time. Especially if you work in construction or in healthcare, you are more sensitive to payment defaults than in other sectors.

You can often link good software to your accounting package. The status of payments can then be automatically entered in the debtor management platform. That way you are always up to date.

2. Usability

Who hasn’t done credit management in Excel? You already had that software, and you can find all kinds of courses to deal with it. But for a large limited company, with several employees, it is not really user-friendly. Certainly if your customer base grows, you will lose the overview. Moreover: who wants to send Excel files through the organization?

When it comes to debtor management, it is important that you have real-time access. After all, you cannot afford to send a payment reminder to a customer who has paid for a long time, but whose status had not yet been updated. Then you hit a flop. With Payt Software you can easily keep track of your debtor management.

3. Get your money earlier

Debtors often pay late not because they do not want to pay on time, but because the invoice has escaped attention. A simple payment reminder can then be done. If you actively involve your debtors in the process, and you kindly remind them of the invoice, the money is often in the account quickly. But then you need to know which invoices are still outstanding.

With the right software you can see which debtors often pay late, or who do not pay at all. You can then easily make a printout, which you can hand over to, for example, a collection agency. That way you still get your money.

Don’t be afraid to work on debtor management. It’s part of running a business. In business we know how important good business relationships are, but sometimes we also have to keep each other on track.