by Raffaella Bardi

ERP Financial Trainer

Melius abundare quam deficere...
(it’s better to be plentiful than to be lacking…)

Which operations are most frequently posted in pure accounting entries? Certainly collections and payments, that often use different types of payment: cash, check, bank transfers…

When they have to be posted in accounting, it could be useful to provide a higher degree of details in relation to the types of payment that have been used.

Everyone knows that there are default accounting templates and reasons used by automatic procedures or suggested in accounting entries, but perhaps not everyone knows... that further settings can be provided when wishing to suggest the accounting template and reason in connection to the payment type being used.

In order to acquire further knowledge, please contact your reseller referral or visit our on-line Microarea Help & Information Center.

by Patrizia Benelli

ERP Financial Project & Product Manager

Let us continue on exploring the potentials of Mago.net.

One of the aspects of the financial crisis, that is rarely taken in consideration or analyzed by the mass media, is the late payments, especially when perpetrated by public administration.  This problem is largely spread all over Europe, especially in Italy, and it can indeed affect negatively the financial situation of the small and medium enterprises, giving rise to a vicious circle.

The European Parliament has recently approved a planned EU Directive that sets the deadline for payment within 30 days, whether the transactions are between public sector operators and private companies or between private firms. In addition, the Directive sets forth significant financial sanctions in case of late payments. In the past few days, it has been also decided that the time limit for the public administration shall be 60 days, after which the interest rate will be fixed at 8%.

Nevertheless, we are well aware that the time needed in order for the EU Directives to be approved and enforced is far from being short. Having said this, how can the small and medium enterprises protect their cash flow? 

Several tips have already been given in this section: analyzing the aging level of the credit in order to select feasible corrective actions and sending customized dunning letters.

Everyone knows that, during the times in which cash level is low, most companies turn to banks asking them for funds. Having said this, not everyone is aware of the benefits that the factoring tool can provide including the possibility of satisfying the financial requirement, as well as helping tackle the management (administration of claims from the collection all the way to the recovery) and warranty (when the factor takes in charge the insolvency risk of the debtor) issues. 

Mago.net currently provides a new type of payment (that identifies the installments that are to be assigned to the factoring companies) and a full factoring management that allows to facilitate the registration of all the accounting operations. 

You can discover the factoring strengths thanks to the new demo video Factoring with Mago.net.

This new functionality is available starting from the 3.1 release of Mago.net Professional. Please keep in mind that you can update your Mago.net only if you have subscribed the MLU service.

If wishing to gain further knowledge regarding this topic, please ask your reseller referral, or visit the Reference Guide found within the new Help Center of Mago.NET.