Accounts Receivable
Accounts Receivable is a key business function that handles money owed to a company by its customers. Think of it as keeping track of who needs to pay the company and making sure they do. This role involves managing customer billing, following up on unpaid invoices, and recording payments when they come in. It's a critical part of maintaining a company's cash flow - making sure money comes in on time to keep the business running smoothly. People working in this area often use accounting software like QuickBooks or SAP to manage these tasks.
Examples in Resumes
Managed Accounts Receivable portfolio of $2M for 100+ client accounts
Reduced A/R aging by 45% through improved collection strategies
Supervised team of 3 Accounts Receivable specialists and streamlined billing processes
Handled Accounts Receivables and collections for mid-sized manufacturing company
Typical job title: "Accounts Receivable Specialists"
Also try searching for:
Where to Find Accounts Receivable Specialists
Professional Associations
Online Communities
Job Boards
Example Interview Questions
Senior Level Questions
Q: How would you handle a major customer disputing a large invoice?
Expected Answer: Should discuss investigation process, documentation review, customer communication strategies, and internal escalation procedures. Should mention maintaining customer relationships while protecting company interests.
Q: What strategies have you implemented to reduce DSO (Days Sales Outstanding)?
Expected Answer: Should discuss creating efficient billing processes, early payment incentives, clear payment terms, regular follow-ups, and using technology to automate reminders.
Mid Level Questions
Q: How do you prioritize collections when managing multiple accounts?
Expected Answer: Should explain organizing by amount owed, aging of accounts, payment history, and using aging reports to focus on oldest or largest receivables first.
Q: What steps do you take when a payment is overdue?
Expected Answer: Should describe progressive steps from friendly reminders to formal notices, maintaining documentation, and knowing when to escalate to management or collections agencies.
Junior Level Questions
Q: What is the basic process for recording a customer payment?
Expected Answer: Should explain checking payment amount against invoice, applying payment to correct account, recording transaction in system, and filing documentation.
Q: How do you ensure accuracy when processing invoices?
Expected Answer: Should mention double-checking numbers, verifying customer information, confirming prices and quantities, and following established procedures for documentation.
Experience Level Indicators
Junior (0-2 years)
- Basic bookkeeping
- Data entry and filing
- Using accounting software
- Processing payments and invoices
Mid (2-5 years)
- Collections management
- Account reconciliation
- Customer service
- Payment plan negotiation
Senior (5+ years)
- Team supervision
- Process improvement
- Financial analysis
- Policy development
Red Flags to Watch For
- No experience with common accounting software
- Poor attention to detail in application materials
- Lack of basic math skills
- Limited understanding of collection procedures
- No experience in customer service or communication
