How to Reduce Accounts Receivable in Distribution — Practical Solutions
In distribution, you can have high sales volumes, a strong team, and even a great product. But if your accounts receivable is out of control, you’re losing money.
Overdue payments, outstanding invoices, manual payment chasing — this is the everyday reality for many distributors. And if there’s no system in place, your business ends up funding clients at your own expense.
Here’s how Smartup helps distributors gain control over receivables and turn financial chaos into a clear, manageable process.
Why do overdue receivables happen?
Most of the time, it comes down to a lack of control:
- Sales reps aren’t aware of customer debts
- Orders are accepted “on trust,” without checking payment status
- No credit limits, or they’re not enforced
- No unified system to track payments, debts, and due dates
- Sales and finance departments operate separately
As a result, customers place orders while already in debt. Overdue amounts pile up. Cash flow gets blocked. And the company suffers from financial pressure and growing risks.
How Smartup solves this
In Smartup, accounts receivable is fully integrated into daily sales operations. It’s not a separate report — it’s a built-in control mechanism.
Key features:
- Automatic order blocking for overdue clients
- If a customer exceeds the limit, the system won’t allow new orders.
- Limits can be based on amount, due date, or number of overdue days.
- Full debt information available on-site
- Reps see payment history and current debt in their mobile app — no surprises.
- Payment data synced with 1C, ERP, or accounting systems
- Everyone works with up-to-date information — from rep to finance manager.
- Analytics by customer, team, region, or manager
- Identify where and why delays happen, and who needs coaching or follow-up.
What results can you expect?
Distributors using Smartup's receivables module typically achieve:
- 30–60% reduction in overdue debt within months
- Healthier cash flow and fewer cash gaps
- Fewer conflicts between sales and finance teams
- Better client discipline and stronger sales control
Final thoughts
Accounts receivable isn’t “just a part of business” — it’s a risk that can and should be managed.
Smartup turns receivables from a reactive task into a proactive system, built into your daily workflows. You stop chasing payments — and start managing them.
Want to see how it works in practice?
Request a demo and discover how Smartup helps distributors take control of accounts receivable.
