The work finished in March. The invoice went out in May.

Most firms measure how long customers take to pay. Far fewer measure how long they take to ask, and that lag is usually the longer of the two.

By Steve 5 min read
Abstract bridge artwork for The work finished in March. The invoice went out in May.

Ask an owner where the cash is stuck and the answer is almost always the same: customers who don’t pay on time. The aged debtor report is on the desk, sorted worst to best, and someone spends Thursday afternoons chasing it. The effort is real and the frustration is justified. But the aged debtor report begins on the invoice date. Everything that happens before the invoice exists, the work being finished, signed off, reviewed, priced, entered, approved, batched and sent, is invisible to it. In project and service businesses that…

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