1. Clearing accounts: enterprises should clear accounts in time, clear accounts overdue for many years, recover debts through legal means, and reduce the financial pressure on enterprises.
2. Strengthen account management: Enterprises should strengthen account management, establish and improve the process of account collection and payment, standardize the process of invoice issuance, contract signing and payment collection, and avoid overdue accounts receivable as much as possible.
3. Adjust the sales strategy: By adjusting the sales strategy, enterprises can strengthen the cooperative relationship with customers, establish a stable trust relationship, and avoid customers' long-term or malicious arrears.
4. Transfer risks: Enterprises can transfer risks through insurance, thus dispersing and reducing the risks of accounts receivable.
5. Strengthen internal management: Enterprises should strengthen internal management, especially financial management and risk control, and strictly implement the contract provisions and collection system to prevent and reduce the occurrence of overdue accounts receivable.
Accounts receivable that cannot be recovered for more than three years usually have a significant impact on the financial situation and business activities of enterprises. On the one hand, these irrecoverable accounts receivable will lead to the tight capital chain of enterprises and affect their cash flow and solvency; On the other hand, long-term overdue accounts receivable will also affect the reputation of enterprises and the relationship with customers.
Reasons for uncollectible accounts receivable
1. Bankruptcy or bankruptcy of customers: The difficulty in operation, bankruptcy or bankruptcy of customers is one of the common reasons why accounts receivable cannot be recovered. In this case, it is difficult for enterprises to obtain accounts receivable from customers.
2. Insufficient ability to pay: customers may not be able to pay the receivables on time due to insufficient funds, operational difficulties or other reasons. This may be due to the unreasonable terms of the contract signed between the enterprise and the customer, which leads to the customer's inability to pay in time.
3. Fraud or breach of contract: The customer may intentionally cheat or breach of contract and refuse to pay the accounts receivable. This may include false transactions, forged documents or malicious delays in payment.