Sage issues guidelines for managing unpaid invoices

Managing unpaid invoices remains a significant operational challenge for businesses of all sizes. Accountant Sian Phillips has detailed a series of best practices aimed at minimizing payment delays and streamlining accounts receivable processes through improved internal controls.

The recommendations emphasize the importance of administrative accuracy, advising firms to ensure all invoices contain complete banking details, clear descriptions, and correct purchase order references. Such details are often cited as primary reasons for administrative bottlenecks that delay disbursements.

Beyond accuracy, the guidance highlights the necessity of proactive communication. By performing courtesy calls shortly after an invoice is issued, businesses can resolve discrepancies before payment deadlines pass. Additionally, maintaining a rigorous log of all client interactions provides necessary leverage for follow-ups, while strategic adjustments to billing dates can help align invoicing cycles with customers’ existing payment schedules.