1

I understand what accounts receivable are, and I understand what factoring is. But I don't understand what the phrase "to be accounts receivable for someone" means, e.g. "I'm accounts receivable for company X".

Does it mean I owe company X money, or does it mean that I'm collecting the money other people owe to company X for them? Or something else?

1
  • 1
    It means you represent (i.e. are) the Accounts Receivable Department for Company X. You send out invoices and cash checks for Company X. – Dan Bron Aug 22 '14 at 0:43
3

This means that you perform the Accounts Receivable functions for the company.

This could mean that either:

  • you are employed by the company as a salaried full-time employee, and are the only one doing this job (otherwise you would likely say "I work in Accounts Receivable for XYZ company" , if there was more than one full-time employee in the department)

  • or, quite possibly, that you are performing Accounts Receivables as a service, and charging/being paid as a separate entity /independent contractor/ company for those services. Furthermore, you could be paid:

    • on an hourly basis
    • per invoice
    • by the number of accounts
    • per total $$ dollar volume / a percentage of $$ billed
    • a flat monthly recurring subscription / fee for your services

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.