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What is Days Sales Outstanding (DSO)?

oAppsNet

Days Sales Outstanding (DSO) is a crucial financial metric that evaluates how effectively a company collects cash from its credit sales. Simply put, DSO measures the average number of days it takes for a business to collect payment from its customers after a sale has been made.

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Understanding the Order to Cash Process: A Simple Guide

Nanonets

The  OTC process  encompasses a series of steps, starting from when a customer makes a purchase to when the business receives and clears cash for that purchase. It includes  order management ,  credit management ,  order fulfillment , invoicing, accounts receivable, payment collection, and  data management.

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Understanding the Accounts Receivable Cycle - Get Paid Faster!

Nanonets

Accounts receivable refers to the amount of money owed to a company for goods or services already provided on credit. It is important to collect accounts receivable as soon as possible to avoid tying up working capital and facing longer business cycles.