How to Become a Accounts Receivable Manager

About Accounts Receivable Manager

Accounts Receivable Manager is a mid-level job position in the accounting department of an organisation. It involves managing daily accounting activities and ensuring that all activities such as invoicing, transactions, taxation etc. are maintained accurately and kept up to date. An Accounts Receivable Manager is also in charge of the payments received by a company. He/she has to design and oversee the process of payment collection and ensure that the collections are being done on time.

Accounts Receivable Managers must keep an eye on the cash inflow of a company and make sure that its proper record is being maintained. They are also tasked with managing the team members of the accounting department and will be required to delegate tasks, track progress and monitor day-to-day activities. They must also be able to negotiate payments from customers and be able to come up with effective solutions to accounting problems of a company.

Eligibility to become Accounts Receivable Manager

Check the table below for the requirements to become an Accounts Receivable Manager.

Courses to Become a Accounts Receivable Manager

The following table contains some of the best courses to become an Accounts Receivable Manager.

For an easy and convenient way to apply to popular commerce and management colleges in India from a single platform, fill the Common Application Form (CAF). If you have any queries regarding admission, please contact our helpline 18005729877.

Types of Job Roles Accounts Receivable Manager

Accounts Receivable Managers can be hired for different departments of large organisations. Accounts Receivable professionals can also be promoted at multiple levels of managerial posts. The types of job roles similar to that of an Accounts Receivable Manager can be found below.

• Assistance Manager - Accounts Receivable

• Manager - Commercial Accounts Receivable

• Sr. Accounts Receivable Manager

• Accounts Receivable Supervisor

• Asst. General Manager - Accounts Receivable

Responsibilities of an Accounts Receivable Manager

Given below are the key responsibilities for an Accounts Receivable Manager job role.

• Ensure that the payment collections are being done on time.

• Oversee the invoicing process.

• Maintaining company accounts, preparing account statements and expense reports.

• Reviewing outstanding payments and contacting clients.

• Filing taxes and returns.

• Monitoring and approval of collection reports etc.

Employment Sector/Industry for Accounts Receivable Manager

Accounts Receivable Managers are a necessary requirement in the accounting departments of many small-scale and large-scale companies. It is a fairly common job requirement in private organisations and students can find a significant number of job vacancies in the market for Accounts Receivable Managers. The scope for Accounts Receivable Managers is also good. Their experience and skills can be employed in a variety of other accounting and financial management roles.

The need for an Accounts Receivable Manager is primarily at companies that offer their customers a service or product before asking for the payment. Once the service has been provided, the company has an outstanding invoice and a payment or accounts receivable is due to the company. There are many companies where this is a common practice, one example being electricity companies, gas companies etc.

Therefore, these and other similar types of companies hire Accounts Receivable Managers to keep a track of how much service or product they have provided on credit. The Accounts Receivable department ensures that the payments due to the company are made on time and sets up the process for the same. Accounts Receivable Managers can, therefore, look for jobs in companies that provide their services on a post-paid basis.

Pay Scale/Salary of Accounts Receivable Manager

The following table and graph given below describe the average salary details of an Accounts Receivable Manager in India.

Books & Study Material to Become Accounts Receivable Manager

Given below are some of the best books for Accounts Receivable Managers.

• Accounts Receivable Management by John G. Salek

• Essentials of Credit, Collections, and Accounts Receivable by Mary S. Schaeffer

• Managing Accounts Receivable: How 54 Sales Professionals Collect Past Due Accounts by Bob Oros

• Credit & Collection Guidebook by Steven Bragg

• Cash Before You Crash: A complete Manual on Credit and Accounts Receivable Operations in Digital Age by Ajoy Guha

Pros of becoming a Accounts Receivable Manager

• It is a good job for the people who are good with numbers and finances.

• It prepares you for a career in Finance Management and you can look for better career opportunities on the basis of experience gained as an Accounts Receivable Manager.

• It is an office job and good for professionals who wish to follow a more stable and settled-down lifestyle.

Cons of becoming a Accounts Receivable Manager

• You have to work with confidential information and hence strict company policies have to be followed by professionals.

• The job requires frequent interaction with clients and it is not easy to ensure collections.

• The salary growth can be a bit slow.