Arveldusvõlg

Arveldusvõlg, also known as a trade receivable, is a financial obligation that arises when a business sells goods or services on credit. It represents the amount of money that a customer owes to the business for the goods or services received. Arveldusvõlg is a crucial component of a company's working capital and is typically recorded on the balance sheet under the current assets section.

The term "arveldusvõlg" is derived from the Estonian language, where "arveldus" means accounting or settlement, and "võlg" means debt. This term is commonly used in the Baltic region, including Estonia, Latvia, and Lithuania, where it is an integral part of the financial and accounting terminology.

Arveldusvõlg is essential for businesses as it provides a source of short-term funding and helps in managing cash flow. It is also a key indicator of a company's creditworthiness and financial health. However, it can also pose risks, such as bad debts or delayed payments, which can impact a business's liquidity and profitability.

Managing arveldusvõlg effectively involves setting appropriate credit terms, maintaining good relationships with customers, and implementing effective collection strategies. Businesses often use various tools and techniques, such as credit policies, aging reports, and collection agencies, to manage and minimize the risks associated with arveldusvõlg.