Receivables is the money owed to a business by its customers for goods or services provided on credit. Receivables are classified as assets in financial statements as they will be collected in 30, 60, or 90 days. Receivables management involves tracking outstanding invoices, timely collections, and minimizing bad debts. Ut helps maintain cash flow and liquidity for the company.
Certification in receivables certifies your skills and knowledge in managing a company’s receivables. This certification assess you in credit management, invoicing, collections, cash flow management, and timely recovery of payments. Why is Receivables certification important?
Demonstrates expertise in managing receivables and credit control processes
Improves career opportunities in finance, accounting, and credit management roles
Increases credibility with employers and enhances job security
Validates knowledge of industry standards and best practices in receivables management
Enhances skills in cash flow management, invoicing, and collections
Helps reduce the risk of bad debts and improves organizational financial health
Provides a competitive edge in roles requiring expertise in financial operations
Aids in developing strong communication skills for managing customer relations regarding payments
Improves understanding of accounting standards related to receivables and revenue recognition
Who should take the Receivables Exam?
Accounts Receivable Specialist
Credit Manager
Collections Manager
Financial Analyst
Accounts Payable/Receivable Clerk
Cash Flow Manager
Billing Specialist
Finance Manager
Credit Risk Analyst
Treasurer
Skills Evaluated
Candidates taking the certification exam on the Receivables is evaluated for the following skills:
Receivables management,
Invoicing and collections
Credit policies and procedures
Debt recovery
Analyze financial data
Payment risks
Accounting standards
Cash flow management
Receivables management software
Credit risk management
Customer relationship management
Receivables Certification Course Outline
The course outline for Receivables certification is as below -
Domain 1 - Introduction to Receivables Management
Definition and types of receivables
The role of receivables in financial management
The receivables process cycle
Domain 2 - Credit Management
Establishing credit policies
Risk assessment and creditworthiness evaluation
Setting credit limits and terms
Domain 3 - Invoicing and Billing
Invoice generation and management
Ensuring accuracy in billing
Handling disputes and adjustments
Domain 4 - Collections Management
Techniques for effective debt collection
Handling overdue accounts and payment reminders
Negotiating payment plans and settlements
Domain 5 - Cash Flow Management
Managing cash flow through effective receivables control
Optimizing receivables to improve liquidity
Impact of receivables on cash flow projections
Domain 6 - Accounting Standards and Receivables
Revenue recognition and receivables
Accounting for bad debts and provisions
Receivables in financial statements
Domain 7 - Risk Management in Receivables
Identifying and mitigating credit risk
Strategies for reducing bad debts
Credit insurance and its role in receivables management
Domain 8 - Technology in Receivables Management
Use of receivables management software
Automating invoicing and collections
Data analysis tools for tracking and reporting receivables