Pillar
Accounts receivable management: smart, digital invoice follow-up
Accounts receivable management is the set of processes a business uses to track outstanding invoices and get paid: following up on invoices, sending payment reminders, agreeing payment plans and — if it really can't be avoided — escalating to debt collection. Modern, digital accounts receivable management does this automatically, in multiple languages, without damaging the customer relationship. Credimigo automates the whole chain: from reading the invoice to the final reminder, recovery and legal escalation across ten European countries.
At a glance
- Average DSO in Europe
- roughly 35–50 days
- First reminder via Credimigo
- Free
- Each reminder after that
- EUR 4
- Languages for debtor communication
- 7
What does accounts receivable management actually cover?
Accounts receivable management doesn't start with an unpaid invoice — it starts the moment you accept a customer. It continues until the money is in your account. In practice it consists of five stages that follow one another.
- Customer acceptance and credit limits: who can buy on account, and up to what amount?
- Accurate, timely invoicing: a wrong invoice number or missing VAT number is the most common excuse for non-payment.
- Follow-up before the due date: a friendly reminder a few days before the deadline demonstrably increases the chance of payment.
- Follow-up after the due date: reminders, formal notices, phone contact and payment plans.
- Escalation: amicable debt collection, statutory collection costs and, only as a last resort, legal proceedings.
Manual vs automated accounts receivable management
Most SMEs still run accounts receivable management from a spreadsheet and one employee's calendar. That works up to roughly fifty outstanding invoices; beyond that, follow-up gets lost in the day-to-day and your DSO creeps up.
| Manual | With Credimigo | |
|---|---|---|
| Entering invoice data | Retyped from a PDF | AI reads the invoice automatically |
| Follow-up | Ad hoc, depending on workload | Automatic schedule, 14 days |
| Debtor's language | Usually English only | 7 languages, detected automatically |
| Escalation | Separate agency, high fees | Built in, with human approval |
| Visibility on status | Spreadsheet | Live dashboard and timeline per case |
Automating accounts receivable in four steps
Credimigo works through a fixed chain: Analyse, Reminder, Recover, Resolve. Every step is optional — you can skip the reminder and go straight to recovery if the situation calls for it.
- Analyse: upload the invoice, AI extracts debtor, amount, due date, IBAN and VAT number and produces a Recovery Score from 0 to 100.
- Reminder: a legally sound final reminder in the language and tone you choose. First one free, then EUR 4.
- Recover: a 14-day, AI-driven schedule that follows up, processes incoming replies, payment promises and payment plans (EUR 27).
- Resolve: settlement, no-cure-no-pay on a success fee basis, or handover to a legal partner in the debtor's country.
Outsource accounts receivable, or do it yourself?
Outsourcing to a collection agency costs you margin — and often the customer relationship, because the tone changes as soon as a third party starts chasing on your behalf. Doing it yourself costs time you don't have.
Software is the third option. You keep control and your brand while the process runs automatically. Only when a case genuinely stalls do you bring in a partner — and then with a complete file and full timeline, which raises the chance of success.
Frequently asked questions
What is accounts receivable management in one sentence?
Accounts receivable management is the process of tracking and collecting outstanding invoices, from customer acceptance through to payment or collection.
What does accounts receivable software cost?
With Credimigo you pay per action: your first final reminder is free, then EUR 4 per reminder and EUR 27 for a full Recover track. Subscriptions for higher volumes start from EUR 149 per month.
How do I lower my DSO with accounts receivable management?
By following up consistently and early. Automatic follow-up from day one after the due date typically lowers DSO by ten to twenty days, simply because invoices no longer sit unattended.
Can I connect accounts receivable management to my accounting software?
Yes. Credimigo integrates with accounting platforms and can also import invoices via CSV, Excel or PDF.
Does automated reminding damage my customer relationship?
Not if the tone is right. Credimigo writes in the debtor's own language and lets you choose between friendly, business-like and formal tones. Every escalation step is approved by a human before it goes out.
Is accounts receivable management the same as debt collection?
No. Accounts receivable management is the whole process before and during payment; debt collection is the escalation step once payment doesn't come.
Analyse your first invoice for free
Upload an outstanding invoice (PDF, PNG or JPG). Credimigo reads it, gives you a Recovery Score and prepares a correct final reminder in your customer's language, ready to send. Your first reminder is free.
Analyse an invoice free