Do you ever wonder if your enterprise customers even read the giant ‘due date’ listed on their bills? If you’re like most usage-based service providers, more often than not, the number of payments coming in late far exceeds those coming in on time – and this represents the majority of your business revenue.
Beyond the frustration and constant follow-up from your billing and account teams, this growing and seemingly inconsistent days sales outstanding (DSO) trend is having a significant impact on your bottom line. The cash is floating in an unpredictable state, making it impossible to evaluate and forecast your company’s performance with any sense of accuracy.
So why are your enterprise customers delaying their payments to you? Is it lack of funds? Overlooked bills? Withholding out of spite? Nope, none of the above. It’s all about the bill itself.