What is managed receivables?
Managed receivables is a service in which a neutral third party runs the entire post-invoicing process — every reminder, follow-up, and resolution — from the day an invoice is issued to the day it's paid. The business stays out of the chasing and gets paid faster, without straining the customer relationship. It's a function you delegate, the same way you delegate payroll or bookkeeping — not a tool you operate.
Most businesses handle receivables one of three ways: internally (someone on staff sends reminders and makes awkward calls), with AR software (a tool that automates reminders, but the work and the relationship risk are still yours), or with a debt collection agency (a last resort that arrives after a payment has gone bad, takes a cut of what's recovered, and usually ends the customer relationship).
Managed receivables is a fourth option. A neutral party takes the function off your desk entirely — working every invoice on a fixed, professional schedule from the moment it's issued. Because the contact comes from an independent mediator and not from you, the relationship you depend on for the next order stays intact. And because every invoice is worked consistently from day one rather than when someone "gets to it," payment comes in measurably sooner — the standard way to measure this is DSO (days sales outstanding), and managed receivables is built to bring it down.
One thing managed receivables is not: a place your money passes through. Your customer pays you directly, into your own bank or PayNow. The provider manages the work, never the funds.
Frequently asked questions
Is managed receivables the same as debt collection?+
No. A collection agency works after a payment has effectively gone bad, typically takes 15–30% of what it recovers, and damages the relationship. Managed receivables works from issuance, charges a flat fee per invoice, and is designed to preserve the relationship — so you rarely reach the point of needing a collector.
Is it software I have to run?+
No. It's a managed service. You connect Xero or QuickBooks (or forward invoices), and a neutral party runs everything from there. There's nothing to operate day to day.
Does the provider take a percentage of what I'm owed?+
No. ChaseFlow charges a flat, predictable fee per invoice, regardless of the invoice's size — never a cut of what's recovered.
When should an invoice enter managed receivables?+
From the day it's issued. The earlier it's managed, the cheaper and more effective it is — and the less likely it ever becomes a problem.
Does it work for small businesses?+
Yes — it's built for B2B SMEs that issue credit-term invoices (typically 8–20 a month) and manage receivables internally today.
See it before you decide.
Related: How to reduce DSO · Managed receivables vs AR software vs debt collection