Accounts receivable (AR) financing is now the go-to solution for businesses to address the need to free up working capital, a prerequisite in today’s financial landscape. Expectations for companies to offer a seamless purchasing experience with features like invoicing at checkout with 30-, 60- or 90-day terms are increasingly prevalent across industries, fueling the demand for AR solutions and services.
In response, the AR market is poised for significant growth, driven by a focus on reducing days sales outstanding and enhancing cash flow. The global AR finance market is assessed to grow at a CAGR of 4.8 percent between 2020 and 2027, reaching a value of around USD 9.3 billion by the end of the forecast period.
As online transactions continue to rise, there is an escalating demand for efficient, automated solutions in invoice processing and payment tracking. Simultaneously, innovations in AI, machine learning and cloud computing have revolutionized AR processes, leading to more accurate and faster invoice processing and payment reconciliation.
This edition of CFO Tech Outlook features a thought-leadership article from Luis Juarez, Director of Financial Operations at FirstService Residential. He stresses the significance of adopting emerging technologies designed to streamline operations, reduce headcount and shorten the payables cycle. The edition also sheds light on insights from Richard Kung, Chief Financial Officer, CTBC Bank Corp. (USA), who emphasizes on the importance of deposits, particularly low-cost ones, for stable growth. He advocates investing in process improvement to leverage existing resources, which will yield significant returns.
Along with these vital insights from industry experts, the edition features 1st Commercial Credit, a factoring company that helps businesses access funding quickly and easily. It offers a variety of financing solutions, including accounts receivable financing, purchase order financing, and trade payable financing, helping businesses grow.
In this edition featuring Top AR Solutions and Services Providers in 2024, we hope you find the ideal partner to meet your company’s unique needs and propel your accounts receivable processes into the future.
