7 AR tasks that eat up your time every week
If you’re running a growing business, you know the drill. Your team is stretched thin, invoices are flying out the door, and somehow payments keep trickling in more slowly than you’d like. The culprit? Those sneaky accounts receivable tasks that seem small individually but add up to hours of your week. From manually tracking due dates to chasing down the right contact person, these repetitive tasks are quietly eating away at your productivity. Let’s dive into the seven biggest time drains that are probably happening in your finance department right now.
1: Manually tracking invoice due dates and payment status
Picture this: it’s Monday morning, and instead of focusing on strategic work, you’re opening multiple spreadsheets to check which invoices are due this week. You’re scrolling through your ERP system, cross-referencing with Excel files, and trying to remember which customers typically pay late. This manual monitoring process can easily consume 2–3 hours per week for even small finance teams.
The problem gets worse when your invoices live across different systems. Maybe some are in Twinfield, others in your CRM, and a few are tracked in that trusty Excel sheet that’s been passed around the office for months. Each system requires separate checking, and there’s always that nagging worry that you’ve missed something important.
This scattered approach doesn’t just waste time; it creates stress. You’re constantly second-guessing whether you have the full picture, and important due dates can slip through the cracks when you’re juggling multiple platforms and spreadsheets.
2: Sending individual payment reminder emails
Crafting payment reminder emails might seem straightforward, but it’s surprisingly time-consuming when you’re doing it manually. You need to check the customer’s payment history, figure out the right tone (friendly nudge or firmer reminder?), personalize the message, attach the relevant invoice, and hit send. Multiply this by dozens of overdue invoices, and you’re looking at hours of work each week.
The challenge becomes even trickier when you’re dealing with different customer relationships. Your biggest client needs a diplomatic approach, while that new customer might need clearer payment instructions. Each payment reminder requires thought and customization, turning what should be a simple task into a complex juggling act.
Then there’s the follow-up cycle. If they don’t respond to the first reminder, when do you send the second? What about the third? Keeping track of where each customer stands in your reminder sequence adds another layer of complexity to an already time-intensive process.
3: Chasing down customer contact information
Nothing kills productivity quite like spending 20 minutes trying to find the right email address for a payment query. Customer contacts change jobs, companies restructure, and somehow you always seem to discover outdated information right when you need to send an urgent payment reminder.
This detective work often involves multiple steps: checking your CRM, calling the main company number, asking your sales team if they have updated contacts, or even browsing LinkedIn to find the current finance manager. What should be a 2-minute task turns into a lengthy investigation that interrupts your workflow and delays important communications.
The frustration multiplies when you’re dealing with larger organizations where payments are handled by a completely different team than your original sales contact. You might have a great relationship with their procurement manager, but good luck finding out who actually processes the payments.
4: Creating and updating aging reports
Management wants to see those aging reports, and rightly so. But creating them manually is a serious time sink. You’re pulling data from different sources, categorizing invoices by how long they’ve been outstanding (30 days, 60 days, 90+ days), and trying to make sense of partial payments and credits that don’t quite match up.
The real challenge comes when you need to explain the story behind the numbers. Why is that big invoice still outstanding after 45 days? Has anyone followed up with that client who’s consistently 60 days late? These reports aren’t just about presenting data; they’re about providing actionable insights that help your team prioritize their collection efforts.
Updating these reports regularly means repeating this process weekly or monthly, and there’s always pressure to ensure the information is current and accurate. One mistake in your aging categories can throw off the entire analysis and lead to poor decision-making about which accounts need immediate attention.
5: Why do customers ignore payment terms?
Understanding customer payment patterns requires serious detective work. Some clients consistently pay 30 days late, others seem to ignore your payment terms entirely, and a few pay immediately but only after receiving multiple reminders. Figuring out these patterns and developing individual strategies for different customer behaviors is incredibly time-consuming.
You find yourself researching each customer’s payment history, trying to understand their internal processes, and developing customized approaches. Maybe one client needs invoices sent to a specific department, while another requires purchase order numbers on every communication. This individualized approach, while effective, requires detailed record-keeping and constant attention.
The analysis doesn’t stop there. You need to determine whether late payments are due to cash flow issues, internal process problems, or simply poor payment habits. Each situation requires a different approach, and developing these strategies takes time away from other important finance tasks.
6: Reconciling payments with outstanding invoices
When payments start rolling in, you’d think the hard work is done. Think again. Matching payments to invoices becomes a puzzle when customers pay multiple invoices in one go, make partial payments, or include unexpected deductions without explanation.
You receive a payment for €2,847, but you’re not sure if it covers invoice #1234 plus part of invoice #1235, or if they’ve deducted something and paid three different invoices minus early payment discounts. Each payment requires investigation, cross-referencing, and often a phone call to clarify what exactly they’ve paid.
The reconciliation process becomes even more complex when dealing with international clients who might have different currencies, bank fees, or transfer charges that affect the final amount you receive. What looked like a straightforward payment suddenly requires detailed analysis to understand the breakdown.
7: Escalating overdue accounts to collections
Deciding when to escalate an account to collections is never straightforward. You need to review the customer’s payment history, assess the relationship value, determine if there are any ongoing disputes, and prepare comprehensive documentation for the collections process.
This preparation work is extensive. You’re gathering all correspondence, payment records, delivery confirmations, and any other relevant documentation that might be needed. You also need to consider the impact on customer relationships and whether escalation might damage future business opportunities.
The handover process itself requires time and attention. You need to brief the collections team, transfer all relevant information, and often continue managing the relationship to minimize damage to your business reputation. It’s a delicate balance between recovering the debt and maintaining professional relationships.
Reclaim your time with smarter AR management
These seven tasks can easily consume 10–15 hours per week for finance teams in growing businesses. That’s time you could spend on strategic planning, business analysis, or actually growing your company instead of chasing payments.
The good news is that modern technology can automate most of these repetitive tasks. From automated payment reminders to integrated reporting systems, there are solutions designed specifically for businesses that want to streamline their accounts receivable processes without rebuilding their entire finance stack.
At MaxCredible, we understand that growing businesses need solutions that work alongside their existing systems, whether that’s Excel, AFAS, Twinfield, or other platforms. The goal isn’t to replace everything you’re doing; it’s to eliminate the time-consuming manual work so your team can focus on what really matters: growing your business.
Which of these seven tasks is eating up most of your time right now?
Frequently Asked Questions
How do I know if my accounts receivable processes are actually costing me too much time?
Start by tracking how much time your team spends on AR tasks for one week. If you're spending more than 10-15 hours weekly on manual invoice tracking, payment reminders, and reconciliation, you're likely losing productivity that could be redirected to revenue-generating activities. Calculate the hourly cost of this time and compare it to the cost of automation solutions.
What's the best way to start automating AR processes without overwhelming my team?
Begin with the most time-consuming task first—usually payment reminder emails or invoice tracking. Choose one process to automate and ensure your team is comfortable before adding more automation. Most businesses see immediate time savings by starting with automated payment reminders, which can save 3-5 hours per week.
Can I automate AR processes if I'm using multiple systems like Excel, Twinfield, and my CRM?
Yes, modern AR automation tools are designed to integrate with existing systems rather than replace them. Look for solutions that can pull data from your current platforms and centralize your AR management without requiring you to migrate all your data or change your entire workflow.
How do I handle customers who get annoyed by automated payment reminders?
The key is personalization and timing. Set up automated reminders that feel personal and professional, not robotic. Allow customers to set their preferred communication frequency and method. Most customers actually appreciate consistent, polite reminders over sporadic manual follow-ups that might sound more urgent or frustrated.
What should I do about customers who consistently ignore payment terms despite reminders?
Create a structured escalation process with clear timelines. Start with friendly automated reminders, then move to personalized outreach, followed by phone calls, and finally collections if necessary. Document all interactions and consider requiring upfront payments or shorter terms for chronically late payers.
How can I improve payment reconciliation when customers make partial or combined payments?
Implement a system that allows you to easily match payments to multiple invoices and track partial payments. Include clear payment instructions on invoices, such as invoice numbers to reference. Consider offering online payment portals where customers can select which invoices they're paying, making reconciliation automatic.
Is it worth investing in AR automation for a small business with under 50 customers?
Even small businesses can benefit from AR automation, especially if you're planning to grow. The time savings start immediately—even with 20-30 regular customers, you're likely spending 5-8 hours weekly on manual AR tasks. Automation also helps you maintain professional, consistent communication as you scale up your customer base.