ACCOUNTS PAYABLE & RECEIVABLE OUTSOURCING - CASH FLOW MANAGEMENT

You have cash flow problems.

Not because you're unprofitable.

But because:

- Customers aren't paying invoices on time

- You're not chasing payments aggressively

- You're paying suppliers too early

- You have no visibility into AP/AR

THE PROBLEM

Poor AP/AR management costs you:

- Cash flow shortages (customers owe you money)

- Working capital strain (you need to borrow to cover)

- Finance team stress (chasing payments, managing payables)

- Missed opportunities (available cash tied up)

- Supplier relationships (sometimes paying late, sometimes early)

THE SOLUTION: OUTSOURCED AP/AR MANAGEMENT

Service handles:

- Customer invoicing (accurate, on time)

- Payment collection (proactive follow-up)

- Customer disputes (resolution, credit notes)

- Supplier payment management (optimal timing)

- Cash forecasting (weekly visibility)

- Aging reports (AR/AP tracking)

Cost: £1,000-£2,500/month

Result:

- Cash collected 10-20 days faster (huge impact)

- Supplier relationships optimized

- Visibility into cash position

- Finance team focused on analysis, not chasing

IMPACT: FASTER CASH COLLECTION

Example: £2M revenue company

Current situation:

- Average collection time: 45 days

- Outstanding receivables: £250,000

- Cash tied up: £250,000

With outsourced AR management:

- Average collection time: 25 days (20 days improvement)

- Outstanding receivables: £140,000

- Cash freed: £110,000

That £110,000:

- Eliminates need for £110,000 line of credit

- Interest saved: £15,000-£25,000/year

- Better cash flow for operations

- Ability to invest in growth

Service cost: £1,500/month = £18,000/year

Cash benefit: £110,000 freed + £15,000-£25,000 interest saved

ROI: 6-8x

GETTING STARTED

1. Analyze current AR/AP (how many days to collect/pay?)

2. Identify problems (late payers, unclear terms, etc.)

3. Find service provider

4. Transition (hand over invoicing/payment process)

5. Monitor results (track collection days)

Ready to improve cash flow, accelerate invoice collections, and strengthen your AP & AR management?

Discover how Sharpscale’s outsourced finance solutions can help your business unlock working capital and improve financial efficiency.

Visit www.sharpscaleglobal.com to learn more.