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DSO

How to Reduce your Days Sales Outstanding (DSO)

How to Reduce your Days Sales Outstanding (DSO)

It's obvious, if your company doesn't receive money from your clients it will fail. Money and cash flow are what keep a company afloat. Part of that survival is solid accounts receivable management. You'd be surprised if you knew the number of small businesses that die every year because of poor cash flow management, especially startups. The hardest part about managing cash flow for both small and large companies is debt collecting. It's not only difficult to collect the debt that is owed to you but also collect it quickly. Your business should try to focus on reducing the amount of Days Sales Outstanding (DSO).