Use the AR Workflow dashboard insights to reduce your collection timeline through automation!
On the AR Workflow Dashboard, you'll see a section labeled Average Days to get fully paid. This section calculates the average age of the paid invoices for the current month. This number will change as the days pass and the number of paid invoices increases.
For example: Let's say we're on day 10 of August and so far a total of 15 invoices have been paid. The calculations will be as follows:
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First, we find the difference between the "payment completion dates" and "invoice due dates"
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Then find the sum of that difference for all invoices. In this example, the sum of these differences will be 45 days
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Next, to find the average, we divide the sum of the difference by the number of invoices. So `45 / 15 = 3`
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On the Dashboard, you will see 3 as the average days to get paid so far this month in August.
Remember, this number will change as the days pass in the month and the number of paid invoices goes up. We're looking at the average age of those paid invoices.