ACI helps broker-dealers manage accounts receivable by tracking earned revenues, generating reliable receivables reports and staying on top of collections – all while supporting net capital compliance and FOCUS Report accuracy.
Accurate financial reporting starts with disciplined revenue recognition and diligent receivables tracking. ACI ensures your earned income is recorded in the right period, tied to specific activities and fully traceable from invoice to collection – in compliance with GAAP and regulatory requirements.
Revenues recorded on an accrual basis and mapped to GAAP-compliant accounts
Receivables reports generated monthly to reflect all earned-but-uncollected income
Receivables schedules maintained for efficient follow-up and improved cash flow visibility
Frequently Asked Questions on Accounts Receivable Management
Questions on accounts receivable management for broker-dealers? Here’s what you need to know.
What is accounts receivable management and why is it important?
Accounts receivable management involves tracking billed but unpaid invoices, optimizing collections and ensuring accurate revenue recognition. It’s critical for cash flow stability, regulatory compliance (e.g., FOCUS Reports) and delivering a clear financial snapshot at month-end.
How does accounts receivable management impact regulatory compliance?
For broker-dealers, proper accounts receivable management ensures revenue accounts are accurately categorized, receivables schedules are maintained and financial statements align with regulatory filings. Discrepancies can lead to FOCUS errors or regulatory penalties, so precision is key.
What are best practices for accounts receivable management?
Best practices for accounts receivable management include establishing clear invoicing policies, automating invoice delivery and payment processing and maintaining accurate aging reports to monitor outstanding balances. Firms should also implement regular follow-up procedures for overdue accounts and analyze customer payment behavior to identify trends.
