Accounts Receivable, Explained for NZ Suppliers
What debtor days are and how to calculate them, what counts as a good number for your industry, how to read an aging report, and the practical, relationship-safe ways to bring debtor days down.
Why Debtor Days Matter More Than the Sale Itself
A profitable sale can still create a cash-flow problem if the customer pays later than expected. Debtor days and the accounts receivable aging report are the two numbers that show you where that gap actually sits — not just that customers are slow to pay, but which customers, by how much, and whether it's getting worse. This guide covers both, with NZ benchmarks and practical fixes rather than generic, offshore advice.
Every Accounts Receivable Article
Debtor Days: The Basics
- What Are Debtor Days and How Do You Calculate Them? — the formula and a worked NZ wholesale example
- What's a Good Debtor Days Number for an NZ Small Business? — benchmark ranges by industry
Reading & Diagnosing
- How to Read an Accounts Receivable Aging Report — the 30/60/90/90+ buckets, including reading one in Xero
- Why Are Your Debtor Days Increasing? (5 Common Causes) — a diagnostic self-check for each
Fixing It
- How to Reduce Debtor Days Without Damaging Customer Relationships — four tactics, ranked by effort
Related Reading
- Invoicing, Explained — what has to be on an invoice and what happens when one goes unpaid
- How Payment Terms Affect the Cash Conversion Cycle
- What to Do When a Customer Pays an Invoice Late
- How Late Invoices Affect Supplier Cash Flow
Stop Managing the Gap Between Terms and Payment
PaidTerms pays suppliers the full invoice upfront while eligible customers repay in instalments, so the invoice never sits in your debtor days or aging report at all.
