#accounts-receivable

Accounts Receivable

Manage invoices, track payments, and optimize cash collection

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August 14, 202611 min read

Rent-to-Own Store Accounting: How to Classify the Lease, Book Repossessions, and Track the Fleet

Most week-to-week rent-to-own agreements are operating leases, not credit sales — the unit stays on your books as depreciating rental inventory, each payment splits into lease revenue, bundled services, and fees, and a repossession is a status change rather than a gain or loss. Covers lease-versus-sale classification, repossession entries, doubtful-rent allowances, and the payout math that decides whether a unit makes money.

Mike Thrift

leasesaccountingsmall-business

August 14, 202610 min read

The Sloan Ratio: How to Tell If Your Profits Are Real Cash or Just Accounting Accruals

The Sloan ratio divides the gap between net income and operating cash flow by total assets to show how much reported profit is accruals rather than cash. Includes the formula, the ±10% caution bands, and a worked example of a profitable agency where only 40 cents of each profit dollar arrived as operating cash.

Mike Thrift

financial-ratiosaccrual-accountingcash-flow

August 10, 20268 min read

Accounts Receivable Aging and Collections Strategy: Recover Cash Before It Becomes Uncollectible

Master accounts receivable aging, Days Sales Outstanding calculations, and collections workflows to recover the 10-15% of cash flow most small businesses lose through payment delays.

Mike Thrift

accounts-receivablecash-flowinvoicing

August 6, 202610 min read

Non-Medical Home Care Agency Bookkeeping: Payroll, Billing, and Margin-by-Client Tracking

Track caregiver payroll, client-level margins, and complex revenue streams with the bookkeeping system non-medical home care agencies need to separate profitability from operational chaos.

Mike Thrift

healthcarepayrollbookkeeping

August 6, 20268 min read

Working Capital Management: Master the Cash Conversion Cycle

Small businesses often run out of cash despite healthy profits because working capital is trapped in receivables and inventory. Learn to optimize the cash conversion cycle—the three levers of DSO, DPO, and DIO—to free up thousands without raising debt.

Mike Thrift

cash-flowsmall-businessfinancial-management

August 5, 20268 min read

Land Surveying Firm Bookkeeping: Overhead Rate, Job Costing, and Slow-Paying Developer Clients

Land surveying firms typically run overhead rates of 100-150% of direct labor and need a break-even multiplier of 2.75-3.25x to stay profitable, but most price off gut feel and burdened-labor guesses instead of job-level cost tracking.

Mike Thrift

bookkeepingsmall-businessfinancial-management

July 30, 20268 min read

The Cash Conversion Cycle Explained: How Long Your Money Is Actually Tied Up

The cash conversion cycle (CCC = DIO + DSO − DPO) measures how many days cash stays trapped in operations. A worked example shows a wholesale firm with a 66-day cycle tying up roughly $110,000 in working capital, and lays out tactics to shorten collections, inventory, and payables.

Mike Thrift

cash-flowworking-capitalinventory

July 29, 20268 min read

How to Stop Deepfake Invoice Fraud: An AP/AR Prevention Guide for Small Businesses

Deepfake fraud cost Arup $25.6 million in one faked video call, and voice cloning now needs just three seconds of audio. This guide shows small businesses how callback verification, two-person approval for banking changes, and periodic vendor-file cleanup stop synthetic vendors, cloned executive voices, and doctored invoices.

Mike Thrift

fraud-preventionaccounts-payableaccounts-receivable

July 29, 20268 min read

Dynamic Discounting for Small Suppliers: How C2FO and Taulia Early Payments Work — and When the Math Favors You

Dynamic discounting lets a small supplier trade a sliding, per-invoice discount for immediate payment from the buyer's own cash — no loan, no bank middleman — on platforms like C2FO and SAP Taulia. This guide explains how it differs from supply chain finance, why a 2/10 net 30 discount annualizes to roughly 36%, and how to record the discount as its own expense account in a plain-text ledger.

Mike Thrift

cash-flowaccounts-receivablesmall-business

July 29, 20269 min read

Freight Broker Bookkeeping: Factored Invoices, Carrier Payments, and the $75,000 Reserve

How freight brokers should structure their books — separate gross freight revenue from net margin, record factoring advances as loans (not income), track quick pay fees distinctly, and account for the FMCSA $75,000 bond or trust reserve that 2026 rules require replenishing within seven days of a claim.

Mike Thrift

bookkeepingtruckingsmall-business

July 28, 20267 min read

California and New York Cap Construction Retainage at 5%: What Contractors Should Do for 2026

California's SB 61 caps private-project retention at 5% for contracts signed on or after January 1, 2026, and New York's S5655 voids any retainage clause above 5% on covered private contracts of $150,000+ as of December 19, 2025. Here's what changed, the carve-outs, and how contractors should track retainage receivable in their books.

Mike Thrift

constructioncash-flowcontracts

July 27, 20268 min read

Asset-Based Lending and Inventory Financing: Turning What You Own Into Working Capital

How asset-based lending converts inventory and receivables into working capital — receivables typically earn 80–85% advance rates while inventory gets 50–80%, and your available credit moves with a weekly or monthly borrowing base calculation. Costs, qualification requirements, and how ABL compares to term loans, inventory-only financing, and equity.

Mike Thrift

small-businessfinancingworking-capital

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