Research On Accounts Receivable Management Of SY Company

With the rapid development of economy and fierce competition,the coexistence of various economic components lead to the complex economic environment.Except product quality,price and after-sales service,credit sales has become one of the main means to expand sales and improve market share in construction machinery enterprises.And accounts receivable came into being with credit sales.Accounts receivable is an important part of capital management.It can help to expand the sales and increase cash flow.But accounts receivable also increased the risk of corporate assets.The study found that just a part of sales become cash flow because the accounts receivable risks associated with credit sales exists.Moreover,financial statements or sales revenue does not truly reflect the quality of enterprise.Huge guarantees also may lead to the liability risk.On the contrary,increasing accounts receivable associated credit sales can lead to the high risk of bad debts.In many enterprises,accounts receivable recovery becomes more and more difficult.There are a lot of so-called accounts receivable become bad debts,which affect the normal production and operation of enterprises,which may also restrict enterprise's future development.Therefore,this paper takes the SY Company as the research object,deeply analysis accounts receivable management status,problems and reasons.Based on this,some suggestions are put forward,such as improving of credit management system,strengthening the management of accounts receivable recovery,broadening the financing channels and transferring accounts receivable which can help to strengthen the management of accounts receivable.