09.20.2024 | Posted by Erik
Measuring the Axim Difference: Improvements in Our Clients’ Total Past Due Reductions
For businesses of all sizes, managing accounts receivables (AR) can be a time-consuming and complex process. When overdue invoices pile up, cash flow suffers, impacting daily operations and long-term financial health.
That’s where Axim comes in.
As an industry leader in outsourced accounts receivable services, Axim specializes in helping businesses reduce past due invoices, freeing up cash flow and ensuring more timely collections. In this article, we’ll take a closer look at how we achieve these results and why our clients see such dramatic improvements in past due reductions.
The Past Due Problem
Many businesses that turn to Axim are struggling with significant overdue invoices, often more than 90 days past due. This backlog of unpaid invoices can be difficult to clean up, especially when it’s been allowed to grow over time.
A review of six recent clients found that they started with a combined total of $2.2 million in overdue invoices more than 90 days old. After partnering with Axim for just nine months, that number dropped to $716,000, representing a 67.45% reduction in total invoices over 90 days.
Such a drastic improvement isn’t uncommon for our clients, who often decide to outsource receivables to our team when the situation feels out of control. Many businesses simply don’t have the resources, systems, or time to stay on top of aging invoices.
New accounts receivable services clients typically come to Axim with around 30.21% of their receivables overdue by more than 30 days. Across all of our clients, that average drops to an impressive 5.95% of past-due invoices over 30 days, showcasing just how effective strategic accounts receivable services can be.
How We Tackle Aging Invoices
Our team’s success in reducing past dues isn’t by chance. At Axim, we follow a tried-and-true process that allows our accounts receivable specialists to dig deep into clients’ receivables, providing actionable insights and efficient follow-up strategies. Here’s how we do it:
-
Invoice-Level Detail
Many businesses manage their receivables using outdated systems, like Excel, which don’t prompt follow-ups or trigger future review due dates. Invoices easily fall through the cracks this way. Axim’s proprietary software system, on the other hand, forces a status update on every past-due invoice. By going directly to the invoice level, we’re able to identify why invoices haven’t been paid and what needs to be done to resolve the issue. This granular approach ensures that no detail is missed.
-
Timely and Consistent Follow-Up
Our commitment to timely and consistent follow-up is a key factor in the results we achieve for clients. Invoices that go past 30 or 60 days can become stale, making them harder to collect. To avoid this, the Axim system assigns follow-up dates and review statuses for each invoice starting from the day it’s due, focusing on timely reminders to encourage earlier payments.
The Axim team regularly contacts clients to resolve issues quickly, whether it’s documentation problems, cash flow challenges, or payment plan negotiations. This proactive approach helps get payments back on track before they become larger collection problems.
-
Root Cause Analysis
But we don’t stop at chasing down unpaid invoices; we also help our clients prevent future AR issues. By aggregating data on the reasons invoices aren’t being paid, we’re able to provide clients with a clear picture of the root causes behind their receivable delays.
Whether it’s a dispute over documentation or recurring errors in billing, we share these insights with our clients, so they know how to fix internal processes before they lead to further overdue accounts.
The Axim Advantage: System and Process Integration
Axim’s cutting-edge software and systems are at the core of our successful track record in reducing past dues for clients. Our cloud-based platform allows for real-time status updates, predictive insights, and easy tracking of all outstanding receivables. But it’s not just about the technology; our experienced team works closely with clients to ensure that every invoice is addressed, followed up on, and resolved in a timely manner.
For example, when an Axim specialist contacts a client’s customer, they don’t just ask for payment. They dive into the details of why the invoice is unpaid, offering solutions to resolve disputes or arrange payment plans. In many cases, simply knowing that Axim is handling collections leads to faster payments because customers know they’ll be receiving consistent follow-up calls. This approach of combining a human touch with advanced systems is what makes our outsourced receivables services so effective.
Real Outsource Receivables Results
To fully understand the Axim difference, let’s take a look at the impact our services have had on clients’ past-due reductions.
| Before Axim | After Axim (9 months+ later) | |
| Total over 90 days past due | $2.2M | $716K |
| Percentage of receivables over 30 days past due | 30.21% | 5.95% |
This remarkable reduction not only improves cash flow for businesses but also strengthens their financial health, allowing them to focus on growth rather than chasing overdue invoices.
Why Choose Axim?
The results speak for themselves. The Axim team is able to significantly reduce past dues and improve cash flow for our clients through a proven combination of best-in-class technology, consistent follow-up, and deep insights into receivables management.
By outsourcing receivables to Axim, your business can streamline your AR processes, improve collections, and focus on what you do best — serving your customers.