The decision to outsource any function in an accounting or legal firm should not be made lightly.
Outsourcing of functions such as payroll, bookkeeping, HR and IT support are very common however more and more firms are looking at other areas of their practice where it makes sense to outsource. One such area that FeeSynergy is increasingly being asked about is outsourcing of accounts receivable (aka credit management).
In accounting and legal firms, the accounts receivable function typically sits within the finance team. In larger firms, the responsibility for chasing and collecting cash rests with a Credit Manager and their team. In smaller firms the responsibility often rests with admin staff as an add-on to their other day to day duties. These staff may or may not have the level of skills required to “have the difficult conversation” with the firm’s clients who are slow to pay. Inevitably, some cases will end up with partners or managers to follow up.
Irrespective of the size of the firm, good credit management processes and suitably skilled staff are essential to ensure clients pay their bills within the timeframes of the firm’s credit policies thereby ensuring consistent strong cash flows for the firm.
Over the last few months, FeeSynergy has seen a sharp rise in interest in our Outsourced Accounts Receivable service. Why is that?
Common complaints we hear:
- We don’t have a credit manager
- We can’t afford a full-time credit manager
- We had a credit manager but they left and we are having trouble finding a new one
- The partners don’t like chasing clients to pay
- The person managing our accounts receivables can be better utilised in other areas
- We are very concerned that our debtors will blow out because of the worsening economic conditions.
Automation of collection activity is at the heart of the FeeSynergy Collect platform, however it does not replace the need for human intervention at varying stages in the collection process. The good news for FeeSynergy clients is that we have an Outsourcing division comprised of senior credit managers (based in both Australia and New Zealand) who are available to be “embedded” into the firm to provide first class cash collection services.
Our credit managers have significant credit management and client relationship experience. Their key focus is to facilitate collection of moneys owing to the firm without harming the provider-client relationship.
This cost-effective and proven service is available to FeeSynergy clients in Australia and New Zealand.
For more information info@feesynergy.com.au
