Approaches to managing receivables of an enterprise. Classification of accounts receivable

The natural result of the development of the economic crisis in Russia is a decrease in lending to the real sector of the economy and, consequently, a decrease in the sources of maintaining the liquidity of enterprises. One of the consequences of this situation is an increase in non-payments and an increase in accounts receivable. According to the Ministry of Economic Development of the Tula Region, the receivables of large and medium-sized organizations in the region as of May 1, 2015 amounted to 219,042.7 million rubles (104.3% as of January 1, 2015), of which 11,466 million rubles were overdue (5.2 % of all debt, 113.1% by January 1, 2015). If we compare the indicators with the pre-crisis level, then the growth of accounts receivable by January 1, 2013 was 159.3%, and the growth rate of overdue debt was 165.0%.

Accounts receivable in itself is a certain guarantee of receipt Money from buyers and indicates the presence of demand from consumers. Thus, S. Chadin believes “that accounts receivable on the balance sheet are a consequence of the gap between the purchase and sale transaction of goods and payment. Essentially, this is a type of financial investment from one company to another, along with, for example, the purchase of bills or the provision of classic loans to business partners.” However, its sharp increase leads to the diversion of financial resources of the enterprise and an increase in the risk of bad debts. And in conditions of unavailability of credit resources, it can lead to a deterioration in the solvency of enterprises and the emergence of a situation of financial insolvency. In the current conditions, the urgency of the problem increases effective management accounts receivable.

In the educational and scientific literature you can find many articles devoted to methods of analysis, structuring, monitoring the state of the level of receivables and issues of repayment of doubtful receivables. However, I would like to consider this issue comprehensively, since in practice it is more important not to divert efforts to reduce the level of overdue receivables, but to prevent its occurrence. This will not only ensure financial stability, but also optimize tax payments and reduce the costs of the enterprise. When solving this issue, specialists in financial and economic services are exposed to multidirectional influence from other divisions of the enterprise. On the one hand, the supply service is interested in making advance payments to suppliers in order to promptly supply production with materials; production and service departments also seek to make advance payments to contractors to obtain guarantees of timely completion of ordered work, carrying out repairs, and providing production with energy resources. On the other hand, shipping products to customers with deferred payment helps stimulate sales volumes and expand the sales market. It is very important that the listed processes are balanced and do not lead to “inflating” accounts receivable and unreasonable losses.

In the process of comprehensive management of receivables of an enterprise, the following elements should be highlighted:

1. Development and approval of the main parameters of the credit policy, including the establishment of limits and conditions for the provision of advances or commercial loans to counterparties, as well as the methods used to secure them.
2. The procedure for selecting suppliers and contractors for concluding contractual relations, allowing for a preliminary analysis of the legal capacity, capacity, creditworthiness and economic feasibility of concluding contractual relations with specific counterparties. Using tender procurement mechanisms to reduce costs and obtain the most favorable payment terms.
3. The procedure for concluding, recording and monitoring the execution of contracts with counterparties. The agreement is approved by all competent services of the enterprise. Data on the executed contract is entered into a single electronic database. After concluding the contract, the contractor monitors the fulfillment of contractual obligations in terms of timing, quantity, quality and price, as well as the timely and proper execution of documents confirming the fulfillment of obligations.
4. A procedure for budget planning and control over budget execution, establishing KPIs based on relative or absolute values ​​of receivables and defining the procedure for monitoring their execution.
5. The procedure for making non-cash payments in an organization, which must specify the procedure for responsibility, delegation of authority and control over the formation of registers and making payments.
6. The accounting policy of the organization, which allows organizing accounting of obligations by counterparties, timing of occurrence, types of obligations, as well as the timely formation of a reserve for doubtful debts in accounting and tax accounting, which should ensure the optimization of tax payments and dividend payments.
7. The procedure for the work of the Commission for monitoring the state of receivables of an enterprise, which coordinates the activities of all services of the enterprise in this direction.
8. The procedure for the work of enterprise departments for the collection of doubtful and overdue debts, which determines the sequence of work for the forced collection of debts, including recourse to the courts.

An integrated approach to accounts receivable management allows not only to reduce losses from writing off bad accounts receivable, but also to reduce legal costs and ongoing management costs by identifying and preventing problems in the early stages of their occurrence.

Scientific adviser:
Sorvina Olga Vladimirovna, Doctor of Technical Sciences, Associate Professor of Tula state university, Tula, Russia

1.2 Approaches to managing receivables of an enterprise

Accounts receivable management directly affects the profitability of the company and determines discount and credit policies for low-performing buyers, ways to accelerate the collection of debts and reduce bad debts, as well as the choice of sales terms that ensure a guaranteed flow of cash.

Accounts receivable management techniques include: recording orders, issuing invoices and establishing the nature of receivables. Among the points to be considered, there are some that require special attention, such as the need to find ways to reduce the average period of time between the completion of a sale of goods and the issuance of an invoice to the buyer. The possible costs associated with receivables must be assessed, i.e., lost profits from not using funds instead of investing them.

Accounts receivable management is associated with two types of time reserves - for issuing an invoice and sending by mail. The time for issuing an invoice is the number of days from sending the goods to the buyer until the invoice is sent. Obviously, the company should send invoices at the same time as the goods. Postal delivery time is between the preparation of the invoice and its receipt by the buyer. Postal transit times can be reduced by decentralizing invoicing and mailing (using a rush mail service for large invoices and delivering within the stipulated time frame, or offering discounts for advance payments).

A key point in accounts receivable management is determining the timing of credit (provided to customers) which affects sales volumes and cash collection. For example, offering longer credit terms is likely to increase sales. Credit terms have a direct bearing on the costs and income associated with accounts receivable. If credit terms are tight, the company will have less cash invested in accounts receivable and losses from bad debts, but this may result in lower sales, lower profits and negative reaction buyers. On the other hand, if the terms of the loan are vague, the company may achieve higher sales volumes and more revenue, but also risks higher bad debts and greater costs associated with ineffective customers delaying payment. Accounts receivable aging should be liberalized to help eliminate excess inventory or obsolete products, or if you are in an industry where products are sold seasonally (such as swimwear). If the goods are perishable, then you need to use short-term accounts receivable and, if possible, practice payment on delivery.

When assessing the solvency of a potential buyer, the buyer's integrity, financial stability and property security should be taken into account. The buyer's credit reliability can be assessed by quantitative methods - regression analysis, which considers the change in the dependent variable that occurs when the independent (informative) variable changes. This method is especially useful when you need to evaluate a large number of small buyers. You should carefully evaluate potential bad debt losses if your company sells products to many customers and has not changed its credit policy for a long time.

Extending a loan entails additional costs: administrative costs of the credit department, computer service, as well as commissions paid to special agencies that determine the creditworthiness of borrowers or the quality of securities.

Information obtained from retail credit bureaus and professional credit reference services is quite useful. There are many ways to maximize accounts receivable returns and minimize potential losses: billing, reselling debt collection rights, and assessing the financial situation of customers.

Invoicing. In cyclical billing, customers are billed at different periods of time. Under this system, customers with last names starting with "A" might be the first to be billed on the first day of the month, those with last names starting with "B" would be billed on the second day, and so on. Invoices must be sent to customers within twenty-four hours from the time they are issued.

To speed up collections, you can send invoices to customers while their order is still being processed in the warehouse. You can also bill for services at intervals if the work is completed over a specific period, or charge fees up front, which is preferable to making payments upon completion of the job. In any case, you need to prepare invoices for large amounts immediately.

When a business is growing passively, seasonal billing dates may be used: suggesting an extension of payment terms to stimulate demand among customers unable to make payments earlier than the end of the zone.

Buyer evaluation process. Before extending credit, you should carefully review the buyer's financial statements and obtain rating information from financial advisory firms. Highly risky receivables, such as those from customers operating in a financially fragile industry or region, should be avoided. Businesses also need to be careful with clients who have been in business for less than one year (about 50 percent of businesses fail within the first two years). Typically, consumer receivables carry a greater risk of default than corporate receivables. Credit limits should be modified and payment collections expedited based on changes in the buyer's financial situation. This can be accomplished by withholding products or withholding services until payments are made and requiring a collateral to support the doubtful accounts (the value of the collateral must be equal to or greater than the account balance). If necessary, you should use a collection agency to recover funds from recalcitrant buyers.

It is necessary to classify accounts receivable by due date (arrange them according to the time elapsed from the date of invoice) to identify customers who violate payment deadlines, and charge interest to late payments. Once current aging accounts receivables have been compared with historical accounts receivables, industry standards, and competitors, a bad debt loss report can be prepared showing accumulated losses by customer, terms of sale, and amount, organized by business unit. , product line and type of buyer (eg industry). Bad debt losses tend to be higher for smaller companies.

Protection by insurance. You can resort to credit insurance, this measure against unexpected losses of bad debt. When deciding whether to purchase such protection, it is necessary to evaluate the expected average bad debt losses, the company's financial ability to withstand those losses, and the cost of insurance.

Factoring. It is possible to resell the rights to collect receivables if doing so results in net savings. However, in a factoring transaction, confidential information may be disclosed.

When providing a commercial loan, you should evaluate the competitiveness of the enterprise and current economic conditions. During a recession, credit policy should be loosened to stimulate business. For example, a company may not rebill customers who receive a cash discount even after the discount has expired. But it is possible to tighten the credit policy in conditions of shortage of goods, since during such periods the company, as a seller, has the opportunity to dictate terms.

In general, accounts receivable management includes:

1) analysis of debtors;

2) analysis of the real value of existing receivables;

3) control over the ratio of receivables and payables;

4) development of a policy for advance payments and provision of commercial loans;

5) assessment and implementation of factoring.

Analysis of debtors involves, first of all, an analysis of their solvency in order to develop individual conditions for the provision of commercial loans and the terms of factoring agreements. The level and dynamics of liquidity ratios can lead a manager to the conclusion that it is advisable to sell products only with prepayment, or vice versa - about the possibility of reducing interest on commercial loans, etc.

Analysis of accounts receivable and assessment of its real value consists of analyzing the debt according to the timing of its occurrence, identifying bad debts and forming a reserve for doubtful debts for this amount.

1.3 Turnover analysisaccounts receivable

Of particular interest is the analysis of the dynamics of accounts receivable by the timing of its occurrence and/or by turnover period. A detailed analysis allows you to make a forecast of funds received, identify debtors for whom additional efforts are needed to recover debts, and evaluate the effectiveness of accounts receivable management.

The ratio of accounts receivable and accounts payable is a characteristic of the financial stability of the company and the effectiveness of financial management. In the practice of financial activities of Russian companies, a situation often arises that makes it unprofitable to reduce accounts receivable without changing accounts payable (liabilities). A decrease in accounts receivable reduces the coverage ratio (liquidity), the company acquires signs of insolvency and becomes vulnerable to government agencies and creditors. Recall that the balance sheet of an enterprise is considered insolvent if:

volume of working capital at the end of the period / short-term debt at the end of the period 2

volume of sources volume of non-current own income - assets at the end of the period / volume of working capital at the end of the period  0.1

Accounts receivable are an element of working capital; reducing them reduces the coverage ratio. Therefore, financial managers solve not only the problem of reducing accounts receivable, but also balancing it with accounts payable.

When analyzing the relationship between accounts receivable and accounts payable, it is necessary to analyze the terms of the commercial loan provided to the company by suppliers of raw materials.

Payment terms for shipped products are one of the factors influencing sales volume. Payment terms mean:

a) providing individual buyers with a commercial loan (deferred payment);

b) loan term;

c) discount for timely payment. The listed three conditions can be expressed by a common scheme: For example, a company provides a 3 percent discount if the bill is paid within 10 days, the maximum period (without discount)

CORPORATE MANAGEMENT OF FINANCIAL AND ECONOMIC ACTIVITIES

Systematic approach to accounts receivable management

N. F. Mormul, S. A. Enikeeva

National research university"MIET"

The main approaches to defining the terms “receivables” and “receivables management” are considered and justified systems approach to the management of accounts receivable as an integral part of the management of current assets of an enterprise through the implementation of basic management functions (planning, control and evaluation, regulation and motivation), the relationship of which is presented as a feedback system. In addition, the content of each management function is briefly outlined.

Key words: accounts receivable; accounts receivable management; credit policy; systems approach.

In modern economic conditions, most enterprises experience a shortage of financial resources, which raises issues related to their formation, optimal placement and effective use.

The current state of mutual settlements between enterprises is characterized by a high share of receivables in the structure of their current assets. This may cause a decrease in financial stability and solvency, an increase in debt collection costs and, as a result, a decrease in the return on capital used. In this regard, improving accounts receivable management becomes one of the main tasks of financial management.

In domestic and foreign literature, different definitions of the essence of receivables are adopted. Some authors believe that she

© Mormul N. F., Enikeeva S. A.

represents a debt to the organization of various legal and individuals arising in the course of economic activity. Others mean by it obligations to a given enterprise arising from other organizations and (or) individuals in connection with the provision of products to them, the performance of work and the provision of services. The definition of an obligation is given in Article 307 of the Civil Code of the Russian Federation: “By virtue of an obligation, one person (debtor) is obliged to perform a certain action in favor of another person (creditor), such as: transfer property, perform work, pay money, etc., or refrain from a certain action, and the creditor has the right to demand from the debtor the fulfillment of his obligation.”

In accounting, accounts receivable usually mean property rights, which are one of the objects of civil rights. Article 128 of the Civil Code of the Russian Federation

states: “The objects of civil rights include things, including cash and documentary securities, other property, including non-cash funds, uncertificated securities, property rights; results of work and provision of services; protected results of intellectual activity and means of individualization equivalent to them (intellectual property); intangible benefits." Consequently, the right to receive receivables is property; it itself is part of the assets of the enterprise, which means that as an asset it must meet the following conditions: bring economic benefit in the future; be at the disposal of an economic entity that could freely use it at its own discretion or sell it; be the result of previously completed transactions.

A number of authors consider accounts receivable from a marketing perspective: as a tool for stimulating demand. Under the influence of market competition, enterprises strive to attract as many buyers as possible by providing them with a deferred (installment plan) payment for purchased goods, which brings benefits in the form of an increase in sales volume. At the same time, accounts receivable are expected and planned within the framework of the enterprise's credit policy. However, assessing the effectiveness of using accounts receivable as a marketing lever that increases demand for products (works, services) and sales volume remains one of the unresolved methodological problems.

Within another approach, accounts receivable are treated as trade credit provided by an enterprise to its debtors. The amount of accounts receivable shows

the volume of funds diverted from the turnover of the enterprise and in circulation with the debtor. Article 823 of the Civil Code of the Russian Federation states: “Agreements, the execution of which is associated with the transfer to the ownership of another party of sums of money or other things determined by generic characteristics, may provide for the provision of a loan, including in the form of an advance, prepayment, deferment and installment payment for goods, works or services (commercial loan), unless otherwise provided by law.”

A receivable, according to IAS 32 Financial Instruments: Presentation, is a financial asset that represents a financial claim that gives its owner the right to receive payment, i.e. a contractual right to claim cash or another financial asset from another entity .

The interpretation of accounts receivable as a form of investment is also known: enterprises, by providing a deferred (installment plan) payment for sold products (works, services), lend to their counterparties, counting on receiving additional revenue, and thereby create a risky environment of non-repayable trade loans with long settlement periods.

A number of domestic and foreign economists classify accounts receivable as a tool for managing the working capital of an enterprise. From these positions, it represents an investment of funds and expansion of sales on credit in order to increase sales volumes. This approach describes the properties of receivables rather than revealing its essence.

The variety of approaches to determining accounts receivable indicates its influence on various aspects of the enterprise.

In the scientific literature there is no unambiguous interpretation of the concept of “receivables management”. Modern authors agree on the purpose of this process: optimization of the level of receivables is recognized as such. However, its growth does not always pose a problem for the enterprise. If it expands its activities and increases its sales volume, then the number of customers increases and, accordingly, accounts receivable may increase. In this case, the presence and growth of only overdue receivables will be undesirable, since this increases the financial risks of the enterprise associated with non-payment of the principal debt, as well as with the diversion and freezing of working capital. Representatives of the American economic school Y. Brigham and L. Gapenski believe that optimizing the amount of receivables should ensure that a balance is achieved between the desire of the enterprise to maximize its net cash receipts for a certain period and minimize the costs associated with maintaining the amount of receivables at a certain level. They also offer mechanisms to influence its value through credit policy.

Despite the general understanding of the purpose of accounts receivable management, in the scientific literature there is no consensus on how to achieve it.

Thus, E. S. Stoyanova considers accounts receivable management as part of the working capital management system and offers two approaches to this process:

1) comparison of the additional profit associated with a particular spontaneous financing scheme with the costs and losses that arise when changing the product sales policy;

2) comparison and optimization of the timing of receivables and payables.

According to P. Khitrov, the main stages of accounts receivable management include planning its size, managing customer credit limits, monitoring accounts receivable and motivating employees.

Most full list management activities are presented by G. M. Kolpakova: it includes a financial analysis of the activities of the supplier enterprise, the development of the enterprise’s credit policy, making a decision on granting a loan, insuring receivables, monitoring the shipment of products, monitoring the financial condition of debtors and measures to collect receivables.

Professor V.V. Kovalev focuses on such a component of the receivables management process as the development of an enterprise's credit policy.

An analysis of the approaches to accounts receivable management discussed above indicates a lack of consistency in their implementation. In our opinion, accounts receivable management, like any process of managing any object, involves the implementation of basic management functions (planning, control and evaluation, regulation and motivation). The implementation of each of them requires the implementation of calculation and analytical procedures, i.e. the analysis function, one might say, permeates the entire management process.

The accounts receivable management process can be implemented as a feedback system. This approach is based on the principles of automatic control theory, when it is necessary to set (formulate)

the required state of the system, then ensure control over its compliance (monitoring), analyze and evaluate emerging deviations from the given state and, if necessary, carry out regulatory actions in order to promptly eliminate emerging deviations or adjust the required level of state.

In this case, the main task of the planning function will be to determine the required state of the system, i.e., to calculate the expected amount of receivables (RAsch):

DZras,"= LG^™" - S/C ■ + : 360,

where -LT is the planned volume of re-

sales of products on credit; C/P - coefficient of ratio between cost and unit price;

about - average period of provision

credit to buyers, in days; -

average period of overdue payments on a loan, in days.

If the financial capabilities of the enterprise do not allow investing the estimated amount of funds in accounts receivable, it is necessary to adjust the credit conditions or the planned volume of sales of products on credit, therefore, the calculation of the expected amount of accounts receivable (AR) must be preceded by a set of works called the formation of the enterprise's credit policy. It includes:

Development of debtor creditworthiness standards;

Establishment of terms for granting loans;

Determining the conditions and amounts of discounts provided and fines (surcharges) charged;

Creation of a payment collection system;

Creation of a system of reserves for doubtful debts.

Credit policy can be conservative, moderate or aggressive, which depends on the operating conditions of the enterprise and requires periodic adjustments.

When determining the type of credit policy, it should be borne in mind that the conservative type negatively affects the growth of sales volumes and the formation of stable commercial relationships, while the aggressive one can cause excessive diversion of financial resources from the turnover of the enterprise, increase debt collection costs and, as a result, reduce profitability his assets.

Implementation of the control function requires monitoring and analysis of the state of receivables based on maintaining a payment calendar and comparing it with the schedule of expected cash receipts from debtors in order to prevent the formation of problem debts.

Comparison of data from the schedule and payment calendar allows you to assess the state of the parameters of accounts receivable and select methods of influencing them, i.e., implement the regulation function.

In most cases, the implementation of the motivation function is associated with stimulating employees of the commercial divisions of the creditor enterprise and is based on the possibility of redistributing credit limits. The departments that provide the company with the largest amount of markups with minimal late payment and thereby increase sales volume receive remuneration in the form of a fixed percentage of this volume. At the same time, if the credit limits allocated to the departments are exceeded, a fine is imposed on managers in the amount of the product of the amount of exceeding the credit limit by the percentage of profitability of the enterprise. However, this can be done

only to motivate employees of creditor enterprises, while when implementing the motivational function it is necessary to take into account the motivation of debtors to fulfill the contractual requirements for timely payment of delivered products.

Thus, the proposed approach is systematic, since all management functions are interconnected, which provides a holistic view of the issues of receivables management.

Literature

1. Civil Code Russian Federation(Civil Code of the Russian Federation) // Codes and laws of the Russian Federation: legal navigation system [Electronic resource]. URL: http://www.zakonrf.info/gk/ (access date: 04/02/2015).

2. International Financial Reporting Standard (IAS) 32 “Financial instruments:

presentation of information" // IFRS FM [Electronic resource]. URL: http://msfofm.ru/ifrs?id=333 (date of access: 04/02/2015).

3. Brigham Yu, Gapenski L. Financial management: in 2 volumes. St. Petersburg: Economic School; M.: Higher School of Economics, 1997. T. 1. 497 pp.; T. 2. 669 p. (Open book - open mind - open society).

4. Financial management: theory and practice / Ed. E. S. Stoyanova. 6th ed. M.: Perspective, 2006. 656 p.

5. Khitrov P. Accounts receivable management // Financial Director. 2005. No. 12. P. 22-30.

6. Kolpakova G. M. Management of accounts receivable. M.: MIET, 2000. 72 p.

7. Kovalev V.V. Management of company assets. M.: Prospekt, 2007. 388 p.

Mormul Nina Fedorovna - Candidate of Economic Sciences, Associate Professor, Professor of the Department of Economics and Management (E&M) of MIET. Email: [email protected]

Enikeeva Stella Anatolyevna - Candidate of Economic Sciences, Associate Professor of the Department of E&M MIET. Email: [email protected]

Accounts receivable management is part common system management of current assets of the enterprise and consists in optimizing the total amount of receivables and ensuring their timely collection.

The need for proper management of the level of receivables is determined not only by the desire to maximize the cash flows of the enterprise (receiving payments from debtors is one of the main sources of funds for the enterprise), but also by the desire to reduce its costs arising from the fact that any increase in receivables must be financed in some way: through the growth of external borrowings or from the enterprise’s own funds.

Accounts receivable is a factor that determines the following:

The size and structure of the company's current assets;

Duration of the financial cycle of the enterprise;

The size and structure of sales revenue;

Turnover of current assets and assets in general;

Sources of funds for the enterprise;

Liquidity and solvency of the enterprise.

Accounts receivable management involves:

Organization of accounting and analysis of accounts receivable for the previous and reporting periods;

Formation of the enterprise's credit policy;

Formation of a procedure for collection of receivables and planning of cash receipts from debtors based on collection ratios;

Development of a system for monitoring the status of accounts receivable;

Development of measures aimed at improving the efficiency of accounts receivable management.

Accounts receivable management involves, first of all, control over the turnover of funds in settlements. Acceleration of turnover is a positive trend in the economic activity of an enterprise.

Acceleration of turnover can be achieved through the selection of potential buyers, determination of payment terms, control over the timing of repayment of receivables and influence on debtors. The selection of buyers is carried out through analysis of their compliance with payment discipline in the past, analysis of their current solvency, analysis of the level of their financial stability and analysis of other financial indicators characterizing the financial condition of the purchasing enterprise.

Determining the terms of payment for goods by buyers is that the buyer is given limits on the terms of payment for goods: paid earlier - received a discount on payment for goods, paid on time - lost the discount provided, paid late - pay a fine.

Control over the timing of repayment of receivables includes ranking receivables according to the timing of their occurrence. The most common classification provides for the following grouping of accounts receivable in days: up to 30 days, from 30 to 60 days, from 60 to 90 days, from 90 to 120 days, more than 120 days.

Accounts receivable management implies mandatory comparative analysis the amount of accounts receivable with the amount of accounts payable. It is very important for the financial position of the company that accounts receivable do not exceed accounts payable.

Accounts receivable management also involves creating reserves for doubtful debts and analyzing actual losses associated with non-payment of receivables.

One of the main approaches to managing accounts receivable is the formation of an enterprise's credit policy. The purpose of credit policy is to obtain additional profit by stimulating sales growth. But the implementation of credit policy is associated with certain costs of control over payment of bills and servicing of receivables. In addition, there are risks of bad debts when shipped products are not paid for at all.

Factors influencing the implementation of credit policy:

1. The state of the economy in the country and abroad. During periods of general economic downturn A more liberal credit policy is being implemented in order to stimulate potential buyers. As demand increases and the economic situation in the country improves, the enterprise can gradually pursue a more stringent credit policy.

2. Place of the enterprise in the market. If there are a significant number of enterprises offering identical products and services, the company needs to compete and pursue a more liberal credit policy so as not to scare off existing and future customers.

3. Nature of the products offered. As a rule, the loan period for durable goods is longer.

4. Financial condition of buyers, customers. For clients whose financial condition is stable or who have proven themselves to be good in the past (positive credit history), a loan can be provided on preferential terms.

Factors influencing the size of accounts receivable: the volume of sales of products on credit and the average period of time between the date of shipment of products and receipt of funds.

Main elements of credit policy:

1. The volume of sales on credit, average loan terms, prices for products offered on credit depend on the behavior of the enterprise when conquering the market, the company’s appetite for risk, consumer demand for the enterprise’s products, the shelf life of the goods, the volume of purchases by customers, the level of competition, the amount of bank interest rates, credit risk, and the prevailing lending conditions in a given region.

Calculation of the amount of funds necessary for the enterprise to generate the appropriate amount of receivables, based on the volume of products sold on credit, is determined by the formula:

where DZ is the enterprise’s receivables;

P k - products sold on credit.

Tk - the actual average term of a commercial loan, taking into account the possible time of non-repayment;

It is important to determine the cost of one day of deferred payment:

, (2)

where SP od is the cost of one day of delay;

P k - products sold on credit;

D is the duration of the analyzed period.

2. Credit reliability standards. They define the acceptable reliability that a client must demonstrate in order to be granted credit. The borrower's creditworthiness is characterized by:

Its reputation, which depends on the timeliness of payments for previously received loans (borrower’s credit history), responsibility and competence of management;

The current financial condition of the enterprise itself and the ability to produce competitive products and services;

Stability of activities and the ability, if necessary, to mobilize funds from various sources.

When analyzing creditworthiness, the following quantitative indicators are used: liquidity ratios, financial stability ratios, turnover ratios, profitability ratios, and investment attractiveness. Absolute indicators such as the enterprise’s net assets and the amount of its own working capital are also calculated.

Also, customers and buyers are divided into groups, depending on the size of the commercial loan provided to them: a loan provided in the maximum amount, in limited size and no credit is provided.

3. Terms of deferred payment, including discounts for early payment. They are determined by the type of policy adopted by the enterprise and include the following:

Deferred payment terms;

The amount of commercial credit provided to various clients;

Discount amounts when paying for products by the buyer in the first days after unloading:

1. The amount of penalties and the mechanism for their collection.

2. The share of deferred payments, formalized by a bill of exchange.

The terms and amounts of deferred payments are determined by the following conditions:

Features of the relationship between the enterprise and separate groups buyers or individual buyers;

The credit policy of the enterprise and the current practice in the commercial loan market;

The financial capabilities of the enterprise, which imply the need to divert funds into accounts receivable, which lengthens the operating and financial cycles, slows down the turnover of the enterprise's working capital, and reduces profitability indicators.

Sometimes providing a discount for early or quick payment for products has a positive effect on the speed of refund. However, it must be remembered that discounts in contracts are necessary in the following cases:

If they result in increased sales and higher overall profits;

If the company experiences a cash shortage;

To calculate the feasibility of providing a discount, the following formula is usually used:

, (3)

where I is the total interest costs of using a commercial loan;

Tk - commercial loan term;

P - discount period.

Let's look at an example:

Let’s say the supply contract on deferred payment terms states the following: “4/10-30,” which means: if the buyer pays for the goods within ten days, then he is given a four percent discount on the cost of the goods. If the buyer does not take advantage of the discount, he must pay for the goods within thirty days. Let's substitute the initial data into formula (3) and get: or 25.56 percent. This means that the cost of the loan provided to the company by the supplier from the tenth to the thirtieth day will be twenty-five percent. Therefore, if a client can purchase a cheaper loan from a bank and pay off the creditor within ten days, this will be more profitable than using the creditor’s money for another twenty days.

As practice shows, there are often cases when unscrupulous debtors do not fulfill their obligations under contracts in terms of payment terms, which leads to the formation of overdue receivables from suppliers. For violation of the terms of contracts, the following civil liability measures are applied: fines, penalties, interest. Commercial organizations include the amounts of sanctions recognized by the debtor for which court decisions on their collection are included in non-operating income (clause eight of the Regulations on accounting“Income of the organization” (PBU 9/99)). The amounts of fines, penalties, and penalties before their receipt are reflected in the balance sheet as accounts receivable.

There is such a thing as the formation of a receivables collection procedure. Collection of accounts receivable refers to the receipt of funds to repay this debt. The collection ratio, in turn, allows you to determine when and in what amount cash is expected to be received from sales of a given period. The collection ratio expresses the percentage of expected cash receipts from sales in a certain time interval starting from the moment of sale of products:

, (4)

where K inc is the collection ratio;

Change in the amount of accounts receivable in the interval n;

OP t - sales of month t;

n is the first month of shipment of goods.

Define value this indicator can be based on an analysis of cash receipts (repayment of accounts receivable) of previous periods. When calculating this ratio, it is necessary to pay attention to the register of aging accounts receivable, compiled on the basis of accounting data.

Currently, such approaches to refinancing receivables as: factoring, forfeiting, bills of exchange and other securities used as a means of payment have been developed in Russia.

4. Control of payments and debt collection policy. As part of the debt collection policy, procedures are developed that the enterprise adheres to when collecting overdue debts.

Read also

Postinor analogues are cheaper The second cervical vertebra is called Watery discharge in women: norm and pathology