BillingPlatform, a leading revenue lifecycle management platform, released its 2025 State of Accounts Receivable (AR) Automation Survey. The findings reveal that 80% of finance executives consider AR automation a strategic priority to improve cash flow and reduce revenue leakage. However, only 3% of organizations have fully automated AR processes. Budget constraints and IT backlogs remain the biggest barriers.
The survey, conducted in June 2025, polled more than 100 finance decision-makers across nine industries. Respondents represented healthcare, manufacturing, IT, and financial services. The results highlight how companies are modernizing AR operations to cut manual work and adopt intelligent automation.
Survey Highlights Finance Leaders’ Push for AR Automation
Adoption of AR automation is growing steadily. Around 49% of companies are considering automation solutions, while 39% are already implementing them. Yet most organizations remain early in their journey.
Cash flow and Days Sales Outstanding (DSO) continue to dominate executive concerns. Nearly 78% cited poor cash flow or high DSO as the biggest consequence of inefficient AR processes. On average, DSOs remain between 30 and 60 days. Meanwhile, 51% of leaders identified customer payment portals as the best way to improve DSO.
AI is also entering the AR space. Around 67% of finance leaders are evaluating AI use cases, though only 14% have deployed them. Top use cases include collections prioritization (60%), dunning optimization (59%), and anomaly detection in invoice errors (57%). Still, manual processes dominate reporting and analytics, cited by 67% of respondents. Lack of predictive insights (48%) and fragmented data (40%) remain major obstacles.
Manual effort remains a recurring hurdle. Respondents reported inefficiencies across invoicing (63%), collections (57%), payments (60%), and reporting (67%). These challenges reinforce the urgent need for automated, intelligent AR platforms.
Payment processing also lags in automation. Even with popular providers, only 23% of organizations report mostly automated payment systems. Lower transaction costs (68%) and ERP integration (52%) are the top reasons companies consider switching providers. Digital wallet adoption remains low, with only 17% offering the option.
Dennis Wall, CEO of BillingPlatform, emphasized the urgency. “Our research shows AR automation is no longer optional; it’s essential. Enterprises must adopt integrated, intelligent solutions to improve efficiency, optimize cash flow, and strengthen long-term performance,” he said.
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News Source: Prnewswire.com
