Hi guys.

What would you say is an acceptable ratio of cash vs account customers in your business?

We have quite a few car dealerships doing business with us, as well as some security and other transportation businesses.

Currently, our cash turnover makes up 42% of our business. To me this doesn't sound like a healthy mix. This means (in most basic terms) that 58% of my turnover is at 'risk' Obviously this is a slight exaggeration as not all account holders are bad payers...

This also translates to serious stress for a book keeper as it means at month end, you know which creditors need to get paid how much and you (in effect) only have 42% covered

Please share your experience with me?