[{"data":1,"prerenderedAt":522},["ShallowReactive",2],{"document-accounts-receivable-D308":3},{"document":4,"label":26,"preview":11,"thumb":27,"description":5,"descriptionCustom":6,"apiDescription":5,"pages":8,"extension":10,"parents":28,"breadcrumb":32,"related":37,"customDescModule":179,"customdescription":6,"mdFm":180,"mdProseHtml":521},{"description":5,"descriptionCustom":6,"label":7,"pages":8,"size":9,"extension":10,"preview":11,"thumb":12,"svgFrame":13,"seoMetadata":14,"parents":16,"keywords":15},"Your Company Name Account Statement\r  Your Company Address\r  Your Company City, State, Zip DATE\r  Phone: 123.456.7890\r  Fax: 123.456.7890\r  Email: someone@yourcompany.com\r  Customer Name\r  ATTN: Customer Contact\r  Customer Address\r  Customer City, State, Zip\r  Customer ID:\r  DATE INVOICE # AMOUNT PAYMENT BALANCE\r  CURRENT 1-30 DAYS PAST DUE\r  31-60 DAYS PAST \r DUE\r  61-90 DAYS PAST \r DUE\r  OVER 90 DAYS \r PAST DUE AMOUNT DUE\r  -                        -                        -                        -                        -                        -$                      \r BILL TO\r  DESCRIPTION",null,"Accounts Receivable","1",513,"xls","https://templates.business-in-a-box.com/imgs/1000px/accounts-receivable-D308.png","https://templates.business-in-a-box.com/imgs/250px/308.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#308.xml",{"title":15,"description":6},"accounts receivable",[17,20,23],{"label":18,"url":19},"Finance & Accounting","/templates/finance-accounting/",{"label":21,"url":22},"Business Accounting","/templates/business-accounting/",{"label":24,"url":25},"Business Spreadsheets","/templates/business-spreadsheets/","Accounts Receivable Template","https://templates.business-in-a-box.com/imgs/400px/308.png",[29,17,20,23],{"label":30,"url":31},"Templates","/templates/",[33,34,35],{"label":30,"url":31},{"label":18,"url":19},{"label":7,"url":36},"/templates/accounts-receivable/",[38,43,47,51,55,59,63,67,71,75,79,83,103,117,134,150,165],{"label":39,"url":40,"thumb":41,"extension":42},"Assignment of Accounts Receivable With Recourse","/template/assignment-of-accounts-receivable-with-recourse-D181","https://templates.business-in-a-box.com/imgs/250px/181.png","doc",{"label":44,"url":45,"thumb":46,"extension":42},"Repurchase of Accounts Receivable Agreement","/template/repurchase-of-accounts-receivable-agreement-D290","https://templates.business-in-a-box.com/imgs/250px/290.png",{"label":48,"url":49,"thumb":50,"extension":42},"Assignment of Accounts Receivable Non-Recourse","/template/assignment-of-accounts-receivable-non-recourse-D180","https://templates.business-in-a-box.com/imgs/250px/180.png",{"label":52,"url":53,"thumb":54,"extension":42},"Agreement of Absolute Transfer and Assignment of Accounts Receivable","/template/agreement-of-absolute-transfer-and-assignment-of-accounts-receivable-D177","https://templates.business-in-a-box.com/imgs/250px/177.png",{"label":56,"url":57,"thumb":58,"extension":42},"Agreement of Sale, Transfer & Assignment of Accounts Receivable","/template/agreement-of-sale-transfer-assignment-of-accounts-receivable-D934","https://templates.business-in-a-box.com/imgs/250px/934.png",{"label":60,"url":61,"thumb":62,"extension":42},"Accounts Payable Policy","/template/accounts-payable-policy-D13242","https://templates.business-in-a-box.com/imgs/250px/13242.png",{"label":64,"url":65,"thumb":66,"extension":10},"Accounts Payable Ledger","/template/accounts-payable-ledger-D12682","https://templates.business-in-a-box.com/imgs/250px/12682.png",{"label":68,"url":69,"thumb":70,"extension":42},"Payment on Specific Accounts","/template/payment-on-specific-accounts-D455","https://templates.business-in-a-box.com/imgs/250px/455.png",{"label":72,"url":73,"thumb":74,"extension":42},"How to Review Debtors Accounts","/template/how-to-review-debtors-accounts-D12594","https://templates.business-in-a-box.com/imgs/250px/12594.png",{"label":76,"url":77,"thumb":78,"extension":42},"Request for Verification of Receivable During Audit","/template/request-for-verification-of-receivable-during-audit-D458","https://templates.business-in-a-box.com/imgs/250px/458.png",{"label":80,"url":81,"thumb":82,"extension":42},"Checklist Action to Improve Collection of Accounts","/template/checklist-action-to-improve-collection-of-accounts-D183","https://templates.business-in-a-box.com/imgs/250px/183.png",{"description":84,"descriptionCustom":6,"label":85,"pages":86,"size":87,"extension":42,"preview":88,"thumb":89,"svgFrame":90,"seoMetadata":91,"parents":92,"keywords":101,"url":102},"SECURED INSTALLMENT NOTE This Secured Installment Note (the \"Note\") is made and effective the [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Maker\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [INSTITUTION NAME] (the \"Institution\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] TERMS OF NOTE For value received, Maker promises to pay to the order of Institution, the principal sum of [AMOUNT] with interest thereon at [%] per annum in installments as follows: [NUMBER] monthly installments of [AMOUNT] each, beginning on [DATE], and on the same date of each month thereafter, ending on [DATE]. PREPAYMENT OF NOTE If this note is prepaid in full before [DATE], Institution shall charge Maker [AMOUNT] to cover acquisition costs of Institution. ACCELERATION ON DEFAULT If any installment due on this note is not paid at the time and place specified in this note, the entire unpaid balance shall be payable immediately at the election of Institution. COLLATERAL To secure the payment of this note, Maker has pledged with Institution the following property: [DESCRIBE] with a market value of [AMOUNT] as of [DATE]. Maker also pledges as collateral any additions to or substitutions for the pledged property, together with all money and other property held by Institution on deposit or otherwise for the account of Maker or in which Maker has an interest. ADDITIONAL COLLATERAL Institution may call for additional collateral if Institution determines in its sole discretion that additional collateral is necessary for its protection. If Maker fails to supply the additional collateral that Institution calls for within [NUMBER] days from the date of request, this note shall, at the option of Institution, become immediately due and payable. SALE OF COLLATERAL ON DEFAULT On default by Maker of any obligation of this note, Institution may immediately, and without notice or advertisement, sell at public or private auction the collateral pledged under this note. If the sale is public, Institution may purchase the collateral or any part thereof. PROCEEDS OF SALE","Secured Installment Note","3",38,"https://templates.business-in-a-box.com/imgs/1000px/secured-installment-note-D440.png","https://templates.business-in-a-box.com/imgs/250px/440.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#440.xml",{"title":6,"description":6},[93,95,98],{"label":18,"url":94},"finance-accounting",{"label":96,"url":97},"Business Loans","business-loan",{"label":99,"url":100},"Promissory Notes","promisory-note","secured installment note","/template/secured-installment-note-D440",{"description":104,"descriptionCustom":6,"label":105,"pages":86,"size":106,"extension":42,"preview":107,"thumb":108,"svgFrame":109,"seoMetadata":110,"parents":111,"keywords":115,"url":116},"PROMISSORY NOTE This Promissory Note (the \"Note\") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the \"Lender\"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Borrower\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] TERMS FOR VALUE RECEIVED, the Borrower promises to pay to the order of Lender, at its principal office located at [ADDRESS], or at such other place that is designated in writing by the holder hereof, the principal sum of [AMOUNT], together with all charges and interest herein provided, payable at the rate and in the manner hereinafter set forth: Borrower shall make monthly payments of principal and interest at the rate of [%] per annum based upon an amortization of [NUMBER] months. Monthly payments shall be due on or before the first day of each month with the first payment being due on or before [DATE]. If not sooner paid, all amounts due under this Note, including principal, interest and other charges shall be due and payable in full on or before the first day of [MONTH], [YEAR] (the \"Maturity Date\"). Time is of the essence of the payment obligations hereunder and each monthly payment shall be due and payable on or before the first day of each month. This Note is and will be secured by a certain first priority security interest in all of the tangible and intangible property of the Borrower, to be recorded in all applicable governmental offices. The parties shall execute a separate security agreement, in form and substance acceptable to the Lender in all respects. Borrower agrees to execute any such security agreements presented by the Lender or other documents required by the Lender in order to perfect its security interest in the above described property. Said Security Agreement and any other instruments and documents executed in connection with or given as security for this Note shall hereinafter be referred to collectively as the \"Loan Documents.\" All of the terms, covenants, Conditions, representations and warranties contained in the Loan Documents are hereby made part of this Note to the same extent and with the same force and effect as if fully set forth herein. If all or any portion of any payment due hereunder is not received by the Lender within [NUMBER] calendar days after the date when such payment is due, Borrower shall pay a late charge equal to [%] of such payment, such late charge to be immediately due and payable without demand by Lender. Borrower shall have the right to prepay all (but not a portion) of the indebtedness evidenced by this Note at any time, by paying the Lender an amount equal to the sum of (I) the principal balance then outstanding, (ii) all interest accrued to the date of such prepayment, (iii) all interest calculated through the Maturity Date, and (iv) any late charge or charges then due and owing. If any payment under this Note is not paid in full by the [DAY] of any month during the term hereof or if the entire amount due as represented by this Note is not paid in full on or before the Maturity Date, or should default be made in the performance or observation of any of the terms, covenants, or conditions contained in the Loan Documents, or if any representation or warranty contained in the Loan Documents is breached or is or becomes untrue, this Note shall be in default, and the entire principal amount outstanding hereunder, accrued interest thereon, all late charges, if any, and any and all other charges due hereunder, shall, at Lender's option, immediately become due and payable, without further notice, the giving of such notice being expressly waived by the Borrower","Promissory Note",39,"https://templates.business-in-a-box.com/imgs/1000px/promissory-note-D434.png","https://templates.business-in-a-box.com/imgs/250px/434.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#434.xml",{"title":6,"description":6},[112,113,114],{"label":18,"url":94},{"label":96,"url":97},{"label":99,"url":100},"promissory note","/template/promissory-note-D434",{"description":118,"descriptionCustom":6,"label":119,"pages":120,"size":9,"extension":42,"preview":121,"thumb":122,"svgFrame":123,"seoMetadata":124,"parents":126,"keywords":125,"url":133},"SECURED LUMP-SUM PROMISSORY NOTE AGREEMENT This Secured Lump-Sum Promissory Note Agreement (the \"Agreement\") is effective [DATE], BETWEEN: [FIRST PARTY NAME], (the \"Issuer\") a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE] with its head office located at/Individual having an address at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME], (the \"Holder\") company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE] with its head office located at/Individual having an address at: [YOUR COMPLETE ADDRESS] FOR VALUE RECEIVED, the undersigned Issuer hereby promises to pay to the order of the Holder, the maximum Principal Amount of [PRINCIPAL AMOUNT] together with interest on the unpaid Principal Amount (as defined in this Agreement) outstanding from time to time at the rate (or rates) hereafter specified, and all other sums which may be owing to the Holder by the Issuer hereunder. The terms of the Note are as follows: MATURITY DATE AND PAYMENT TERMS This Note will mature, and be due and payable in full, on [DATE] (the \"Maturity Date\") and shall be paid in the lump sum amount of [LUMP SUM AMOUNT TO BE PAID]. INTEREST From and after the date hereof, all outstanding principal of this Note will bear simple interest at the rate of [PERCENT OF INTEREST] per annum. On the date that is [NUMBER OF DAYS] days after the date of this Note, the Issuer shall pay the then accrued interest on this Note. Upon the occurrence and during the continuance of any Event of Default (as hereinafter defined) under this Note, all outstanding principal of this Note shall bear interest at the rate of [PERCENT OF INTEREST] per annum. All outstanding principal and accrued but unpaid interest on this Note shall be payable on the Maturity Date. SECURITY This Note is Secured by a Security Agreement on the Issuer's Property, described as [PROPERTY DESCRIPTION], hereinafter known as the \"Security,\" which shall transfer to the possession and ownership of the Holder immediately in case of Acceleration. The Security may not be sold or transferred without the Holder's consent until the Maturity Date. If the Issuer breaches this provision, the Holder may declare all sums due under this Note immediately due and payable, unless prohibited by applicable law. The Holder shall have the sole option to accept the Security as full payment for the Principal Amount without further liabilities or obligations. If the market value of the Security does not exceed the Principal Amount, the Issuer shall remain liable for the balance due while accruing interest at the maximum rate allowed by law. PREPAYMENT The Issuer may prepay this Note prior to the Maturity Date, without premium or penalty, upon written notice to the Holder. EVENTS OF DEFAULT The occurrence of any one or more of the following events shall constitute an \"Event of Default\" under this Note: the failure of the Issuer to pay any sum due under this Note when due, whether by demand or otherwise, and such sum remains unpaid for five (5) days after the Due Date; and any other Event of Default described in the Security Agreement that might be signed between the Parties regarding the Property that is pledged as collateral to the loan. RIGHTS AND REMEDIES UPON DEFAULT ","Secured Lumpsum Promissory Note Agreement","4","https://templates.business-in-a-box.com/imgs/1000px/secured-lumpsum-promissory-note-agreement-D13041.png","https://templates.business-in-a-box.com/imgs/250px/13041.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13041.xml",{"title":125,"description":6},"secured lumpsum promissory note agreement",[127,130],{"label":128,"url":129},"Business Plan Kit","business-plan-kit",{"label":131,"url":132},"Business Procedures","business-procedures","/template/secured-lumpsum-promissory-note-agreement-D13041",{"description":135,"descriptionCustom":6,"label":136,"pages":137,"size":9,"extension":42,"preview":138,"thumb":139,"svgFrame":140,"seoMetadata":141,"parents":143,"keywords":142,"url":149},"PERSONAL GUARANTEE This Personal Guarantee (the \"Agreement\") is effective [DATE], BETWEEN: [FIRST PARTY NAME] (the \"Guarantor\"), an individual with his main address located at: [YOUR COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Second Party\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] I, [NAME OF GUARANTOR], residing at [COMPLETE ADDRESS], hereby personally and solidarity guarantee all of the obligations of [YOUR COMPANY NAME] and agree to be bound solidarity with [YOUR COMPANY NAME] for the prompt performance of [YOUR COMPANY NAME]'s obligations under that certain [SPECIFY] Agreement dated [DATE] (the \"Agreement\") between [YOUR COMPANY NAME] and [COMPANY NAME], including without limitation the payment of all goods, wares and merchandise as [YOUR COMPANY NAME] may from time to time select and purchase on credit from [COMPANY NAME], and hereby expressly renounce to the benefits of division and discussion. Furthermore, I agree that waive may extend the time for payment of any amounts owing to it by waive and/or may waive any default by waive without it in any way lessening or limiting my liability hereunder. Notwithstanding the foregoing, my guarantee hereunder to pay any and all amounts owing by [YOUR COMPANY NAME] to [COMPANY NAME] shall be limited to the sum of [AMOUNT] OR [%] of such outstanding amount.","Personal Guarantee","2","https://templates.business-in-a-box.com/imgs/1000px/personal-guarantee-D405.png","https://templates.business-in-a-box.com/imgs/250px/405.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#405.xml",{"title":142,"description":6},"personal guarantee",[144,145,146],{"label":18,"url":94},{"label":96,"url":97},{"label":147,"url":148},"Guaranties & Collateral","guaranties-collateral","/template/personal-guarantee-D405",{"description":151,"descriptionCustom":6,"label":152,"pages":8,"size":9,"extension":42,"preview":153,"thumb":154,"svgFrame":155,"seoMetadata":156,"parents":158,"keywords":163,"url":164},"[DATE] [CONTACT NAME] [ADDRESS] [ADDRESS 2] [CITY, STATE/PROVINCE] [ZIP/POSTAL CODE] SUBJECT: demand for extension of payment date Dear [Contact name], This will acknowledge our telephone conversation of this date. As was stated in our letter dated [Date], we should be receiving our financing by [Date].","Demand for Extension of Payment Date","https://templates.business-in-a-box.com/imgs/1000px/demand-for-extension-of-payment-date-D444.png","https://templates.business-in-a-box.com/imgs/250px/444.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#444.xml",{"title":157,"description":6},"demand for extension of payment date",[159,160],{"label":18,"url":94},{"label":161,"url":162},"Administration","business-administration","demand for extension payment date","/template/demand-for-extension-of-payment-date-D444",{"description":166,"descriptionCustom":6,"label":167,"pages":8,"size":9,"extension":42,"preview":168,"thumb":169,"svgFrame":170,"seoMetadata":171,"parents":173,"keywords":172,"url":178},"CREDIT NOTE CREDIT NOTE NUMBER: [Unique Credit Note Number] INVOICE NUMBER: [Related Invoice Number] DATE OF INVOICE: [Date of Related Invoice] [YOUR COMPANY NAME] [YOUR COMPANY ADDRESS] [CITY, STATE, ZIP CODE] [DATE] [CUSTOMER NAME] [CUSTOMER ADDRESS] [CITY, STATE, ZIP CODE] ","Credit Note","https://templates.business-in-a-box.com/imgs/1000px/credit-note-D13639.png","https://templates.business-in-a-box.com/imgs/250px/13639.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13639.xml",{"title":172,"description":6},"credit note",[174,177],{"label":175,"url":176},"Credit & Collection","credit-collection",{"label":175,"url":176},"/template/credit-note-D13639",false,{"seo":181,"reviewer":194,"legal_disclaimer":198,"quick_facts":199,"at_a_glance":201,"personas":205,"variants":230,"glossary":258,"clauses":294,"how_to_fill":342,"common_mistakes":383,"faqs":408,"industries":436,"comparisons":453,"diy_vs_lawyer":466,"jurisdictions":479,"related_template_ids_curated":500,"schema":509,"classification":510},{"meta_title":182,"meta_description":183,"primary_keyword":184,"secondary_keywords":185},"Accounts Receivable Template | Free Word Download","Free accounts receivable template to formalize payment obligations, track outstanding balances, and protect your right to collect.","accounts receivable template",[186,187,188,189,190,191,192,193],"accounts receivable agreement template","accounts receivable contract template","accounts receivable template word","accounts receivable document free","receivables agreement template","invoice payment agreement template","outstanding balance agreement template","debt collection agreement template",{"name":195,"credential":196,"reviewed_date":197},"Bruno Goulet","CEO, Business in a Box","2026-05-02",true,{"difficulty":200,"legal_review_recommended":198,"signature_required":198},"medium",{"what_it_is":202,"when_you_need_it":203,"whats_inside":204},"An Accounts Receivable agreement is a binding legal document that formally records a debtor's obligation to pay an outstanding balance to a creditor for goods delivered or services rendered. This free Word download gives you a structured, enforceable starting point you can edit online and export as PDF — covering payment schedules, interest on overdue amounts, dispute resolution, and collection rights in a single document.\n","Use it when a customer or client has an outstanding balance and you need a signed, enforceable record of the payment obligation — especially when the amount is material, payment has been delayed, or an informal invoice alone is insufficient to protect your position. It is also used when formalizing installment arrangements on existing invoices or assigning receivables to a third-party financier.\n","Creditor and debtor identification, the outstanding balance with supporting invoice references, a defined payment schedule, interest and late-fee provisions, dispute resolution procedures, assignment and transfer rights, and governing law. An optional personal guarantee section is included for sole traders and small-business debtors.\n",[206,210,214,218,222,226],{"title":207,"use_case":208,"icon_asset_id":209},"Small business owners","Formalizing overdue client balances before escalating to collections","persona-small-business-owner",{"title":211,"use_case":212,"icon_asset_id":213},"Freelancers and consultants","Converting unpaid invoices into a signed, enforceable payment plan","persona-freelancer",{"title":215,"use_case":216,"icon_asset_id":217},"Finance managers","Standardizing receivables documentation across the AR ledger","persona-finance-manager",{"title":219,"use_case":220,"icon_asset_id":221},"Wholesale distributors","Documenting extended payment terms for high-volume trade accounts","persona-wholesale-distributor",{"title":223,"use_case":224,"icon_asset_id":225},"Factoring and lending firms","Establishing assignable receivables as collateral or purchased assets","persona-lender",{"title":227,"use_case":228,"icon_asset_id":229},"Staffing and service agencies","Recording client payment obligations tied to placed workers or delivered services","persona-staffing-agency",[231,235,239,243,247,251,255],{"situation":232,"recommended_template":233,"slug":234},"Formalizing a one-time overdue invoice payment","Accounts Receivable Agreement","accounts-receivable-D308",{"situation":236,"recommended_template":237,"slug":238},"Splitting an outstanding balance into monthly installments","Payment Plan Agreement","payment-plan-agreement-D12663",{"situation":240,"recommended_template":241,"slug":242},"Selling or assigning receivables to a finance company","Accounts Receivable Purchase Agreement","repurchase-of-accounts-receivable-agreement-D290",{"situation":244,"recommended_template":245,"slug":246},"Securing payment from a debtor with personal liability","Personal Guarantee Agreement","personal-guarantee-D405",{"situation":248,"recommended_template":249,"slug":250},"Formally demanding payment before legal action","Demand for Payment Letter","demand-for-extension-of-payment-date-D444",{"situation":252,"recommended_template":253,"slug":254},"Settling a disputed outstanding balance for less than owed","Debt Settlement Agreement","secured-lumpsum-promissory-note-agreement-D13041",{"situation":256,"recommended_template":257,"slug":234},"Tracking multiple outstanding invoices across an AR ledger","Accounts Receivable Aging Report",[259,262,265,268,271,274,277,280,282,285,288,291],{"term":260,"definition":261},"Accounts Receivable (AR)","Money owed to a business by its customers or clients for goods or services already delivered but not yet paid for.",{"term":263,"definition":264},"Creditor","The party owed money — the business or individual that delivered goods or services and is waiting for payment.",{"term":266,"definition":267},"Debtor","The party that owes money — the customer or client who received goods or services and has an outstanding balance.",{"term":269,"definition":270},"Outstanding Balance","The total amount currently owed by the debtor, including principal, accrued interest, and any applicable fees as of a stated date.",{"term":272,"definition":273},"Payment Schedule","A contractually agreed series of payment dates and amounts by which the debtor will retire the outstanding balance.",{"term":275,"definition":276},"Late Payment Interest","Interest charged on overdue amounts, typically expressed as an annual percentage rate applied per month to the unpaid balance.",{"term":278,"definition":279},"Assignment of Receivables","The transfer of the right to collect an outstanding debt from the original creditor to a third party, such as a factoring company or lender.",{"term":136,"definition":281},"A clause in which an individual — typically a director or sole trader — agrees to be personally liable for the debtor's obligation if the entity cannot pay.",{"term":283,"definition":284},"Acceleration Clause","A provision that makes the entire outstanding balance immediately due and payable if the debtor misses a scheduled payment or breaches a material term.",{"term":286,"definition":287},"Aging Report","An internal AR report grouping outstanding invoices by how long they have been unpaid, typically in 0–30, 31–60, 61–90, and 90+ day buckets.",{"term":289,"definition":290},"Factoring","A financing arrangement in which a business sells its receivables to a third party at a discount in exchange for immediate cash.",{"term":292,"definition":293},"Net Payment Terms","The number of days from invoice date within which a buyer must pay — e.g., Net 30 means full payment is due within 30 calendar days.",[295,300,305,309,314,318,323,327,332,337],{"name":296,"plain_english":297,"sample_language":298,"common_mistake":299},"Parties and Recitals","Identifies the creditor and debtor by legal name and address, and describes the underlying transaction that created the debt — typically by referencing the original invoice or contract.","This Accounts Receivable Agreement is entered into as of [DATE] by and between [CREDITOR LEGAL NAME], a [STATE/PROVINCE] [ENTITY TYPE] ('Creditor'), and [DEBTOR LEGAL NAME], a [STATE/PROVINCE] [ENTITY TYPE] ('Debtor'). The parties acknowledge that Debtor owes Creditor the sum of $[AMOUNT] arising from Invoice No. [INVOICE NUMBER] dated [DATE] for [DESCRIPTION OF GOODS/SERVICES].","Referencing an invoice number without attaching the actual invoice as an exhibit. If the debtor disputes the underlying obligation, an unattached reference is difficult to enforce.",{"name":301,"plain_english":302,"sample_language":303,"common_mistake":304},"Acknowledgment of Outstanding Balance","The debtor formally confirms the amount owed, waiving any right to claim ignorance of the debt or contest the principal balance as stated.","Debtor hereby acknowledges and confirms that, as of [DATE], the outstanding balance owed to Creditor is $[AMOUNT] ('Outstanding Balance'), inclusive of [accrued interest / fees as applicable], and Debtor waives any objection to the validity or amount of the Outstanding Balance.","Omitting this clause and relying solely on the original invoice. A signed acknowledgment restarts the limitation period for debt collection in most jurisdictions and is far stronger evidence in court.",{"name":272,"plain_english":306,"sample_language":307,"common_mistake":308},"Sets out exactly when and how the debtor will pay — whether as a lump sum by a fixed date or in defined installments — with the amount of each payment stated in numbers.","Debtor agrees to pay the Outstanding Balance as follows: (a) an initial payment of $[AMOUNT] due on [DATE]; (b) [NUMBER] equal monthly installments of $[AMOUNT] due on the [DAY] of each calendar month commencing [DATE]; and (c) a final balloon payment of $[AMOUNT] due on [DATE].","Specifying installment amounts that do not add up to the full outstanding balance. This creates a disputed residual balance at the end of the schedule — leaving the creditor without a clear claim for the shortfall.",{"name":310,"plain_english":311,"sample_language":312,"common_mistake":313},"Interest and Late Fees","States the annual interest rate applied to any overdue amount, the daily or monthly calculation method, and any fixed late fee triggered by a missed payment.","Any amount not paid when due shall bear interest at the rate of [X]% per annum ([X/12]% per month), calculated daily on the unpaid balance from the due date until paid in full. In addition, a late fee of $[AMOUNT] shall be assessed for each payment not received within [NUMBER] days of its due date.","Setting an interest rate that exceeds the usury limit in the governing jurisdiction. Courts can void an entire interest clause — not just the excess — when the stated rate violates local usury laws.",{"name":283,"plain_english":315,"sample_language":316,"common_mistake":317},"Provides that if the debtor misses a payment or breaches any material term of the agreement, the entire remaining balance becomes immediately due and payable without further notice.","If Debtor fails to make any payment when due or materially breaches any provision of this Agreement, the entire Outstanding Balance, together with all accrued interest and fees, shall, at Creditor's option, become immediately due and payable without further notice or demand.","Forgetting to include a cure period before acceleration triggers. Many courts require a reasonable cure window — typically 3 to 10 days — before acceleration is enforceable, particularly for consumer debts.",{"name":319,"plain_english":320,"sample_language":321,"common_mistake":322},"Security and Collateral","Identifies any asset pledged by the debtor as security for the outstanding balance, and the creditor's right to seize or sell it in the event of default.","As security for the Outstanding Balance, Debtor grants Creditor a security interest in [DESCRIPTION OF COLLATERAL] ('Collateral'). Creditor is authorized to file a UCC-1 financing statement or equivalent notice of security interest in the applicable jurisdiction. Upon default, Creditor may exercise all rights of a secured party under applicable law.","Failing to perfect the security interest by filing the required UCC-1 (US) or equivalent notice. An unperfected security interest is subordinate to other creditors and may provide no real protection in a debtor insolvency.",{"name":136,"plain_english":324,"sample_language":325,"common_mistake":326},"Makes an individual — typically a director, owner, or principal of the debtor entity — personally liable for the full outstanding balance if the entity fails to pay.","In consideration of Creditor's agreement to extend the payment schedule set forth herein, [GUARANTOR FULL NAME] ('Guarantor'), in his/her personal capacity, unconditionally and irrevocably guarantees the full and timely payment of the Outstanding Balance and all amounts due hereunder.","Using a guarantee signed by an officer without authority to bind themselves personally. Confirm that the guarantor signs in their individual capacity — not on behalf of the entity — and that the signature block clearly reflects this.",{"name":328,"plain_english":329,"sample_language":330,"common_mistake":331},"Assignment and Transfer","Permits the creditor to sell, assign, or transfer its right to collect the outstanding balance to a third party — such as a factoring firm or collections agency — without the debtor's consent.","Creditor may, at any time and without Debtor's consent, assign, transfer, or sell its rights under this Agreement, including the right to collect the Outstanding Balance, to any third party. Debtor shall pay any assignee as directed without set-off, counterclaim, or deduction.","Including an anti-assignment clause that mirrors standard contract language — this would inadvertently prevent the creditor from factoring or assigning the receivable, which is often the document's primary commercial purpose.",{"name":333,"plain_english":334,"sample_language":335,"common_mistake":336},"Dispute Resolution","States the process for resolving disagreements — negotiation first, then mediation or arbitration — and identifies the governing jurisdiction for any legal proceedings.","The parties shall first attempt to resolve any dispute informally within [NUMBER] days of written notice. If unresolved, disputes shall be submitted to binding arbitration administered by [AAA / JAMS / applicable body] in [CITY, STATE]. Creditor may seek injunctive relief or summary judgment in a court of competent jurisdiction to enforce payment obligations.","Mandating arbitration for collection of small amounts where the arbitration filing fee exceeds the sum in dispute, making enforcement economically unviable.",{"name":338,"plain_english":339,"sample_language":340,"common_mistake":341},"Governing Law and Entire Agreement","Specifies which jurisdiction's laws govern the agreement and confirms that this document supersedes all prior oral or written discussions about the debt.","This Agreement shall be governed by and construed in accordance with the laws of [STATE / PROVINCE / COUNTRY], without regard to conflict-of-law principles. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiations, representations, and agreements.","Choosing a governing law jurisdiction that has no connection to either party or the underlying transaction. Courts in the debtor's home jurisdiction may apply local law regardless, creating an unenforceable choice-of-law clause.",[343,348,353,358,363,368,373,378],{"step":344,"title":345,"description":346,"tip":347},1,"Identify both parties with their legal names and addresses","Enter the creditor's and debtor's full registered legal names — not trade names — along with their registered addresses and any applicable tax or company registration numbers.","Pull the debtor's exact legal name from their original contract, purchase order, or company registry. A mismatch between the agreement name and the debtor's actual legal entity can complicate enforcement.",{"step":349,"title":350,"description":351,"tip":352},2,"State the outstanding balance and attach supporting invoices","Enter the precise outstanding balance as of a specific date. List every unpaid invoice by number and date, and attach them as exhibits to the agreement.","Including a running total reconciliation — original invoice amounts minus any partial payments received — eliminates the most common debtor defense: disputing the balance.",{"step":354,"title":355,"description":356,"tip":357},3,"Define the payment schedule with specific dates and amounts","Set out each payment date and exact dollar amount. Confirm that the sum of all scheduled payments equals the outstanding balance plus any agreed interest. If using installments, calculate each payment so the schedule retires the full debt.","Align installment due dates with the debtor's known cash-flow cycle — end of month or after payroll — to reduce the risk of missed payments.",{"step":359,"title":360,"description":361,"tip":362},4,"Set the interest rate and late-fee terms","Enter the annual interest rate to be applied to overdue amounts and any fixed late fee. Confirm both figures are within the usury limits of the governing jurisdiction before finalizing.","Check the applicable state, provincial, or national usury ceiling before inserting your rate. Rates that look standard in one jurisdiction can be illegal in another.",{"step":364,"title":365,"description":366,"tip":367},5,"Complete the security and collateral section if applicable","If the debtor is pledging collateral, describe it with enough specificity to identify it uniquely — serial numbers for equipment, addresses for real property, or account numbers for financial assets.","File a UCC-1 financing statement (US) or PPSA registration (Canada) immediately after signing to perfect your security interest before other creditors.",{"step":369,"title":370,"description":371,"tip":372},6,"Add a personal guarantee if the debtor is a business entity","If the debtor is a corporation, LLC, or partnership, include a personal guarantee signed by the principal owner or director in their individual capacity. Confirm they have the authority and willingness to sign personally before finalizing the document.","A guarantee signed at the same time as the main agreement avoids fresh-consideration problems that arise if you try to add one later.",{"step":374,"title":375,"description":376,"tip":377},7,"Confirm governing law and dispute resolution terms","Select the jurisdiction whose law will govern the agreement — ideally the creditor's home jurisdiction — and specify the arbitration or court venue for disputes.","If the debtor is in a different state or country, consider whether a court in your jurisdiction can practically enforce a judgment against the debtor's assets before selecting your governing law.",{"step":379,"title":380,"description":381,"tip":382},8,"Execute before two witnesses or a notary where required","Both parties must sign and date the agreement. In jurisdictions that require witnessing or notarization for debt instruments above a certain amount, comply with those formalities before relying on the document.","Use a timestamped eSignature platform to create an irrefutable record of when each party signed — particularly important if the debtor later claims they never agreed to the payment schedule.",[384,388,392,396,400,404],{"mistake":385,"why_it_matters":386,"fix":387},"No acknowledgment of the underlying debt","Without a signed acknowledgment of the balance, a debtor can contest the amount or deny the debt entirely, forcing the creditor to prove the obligation from scratch in court.","Include an explicit acknowledgment clause where the debtor confirms the outstanding balance as of a stated date and waives objection to its validity.",{"mistake":389,"why_it_matters":390,"fix":391},"Interest rate exceeds the applicable usury limit","Courts in most jurisdictions will void an interest clause — or in some cases the entire agreement — when the stated rate violates local usury law, leaving the creditor with no contractual right to interest at all.","Verify the usury ceiling in the governing jurisdiction before drafting the interest clause. Cap your rate at least two percentage points below the legal limit to allow for error.",{"mistake":393,"why_it_matters":394,"fix":395},"Failing to perfect a security interest after signing","A security interest created in the agreement but never perfected by filing is subordinate to every other secured creditor — meaning you collect last if the debtor becomes insolvent.","File the UCC-1 financing statement (US) or PPSA registration (Canada) within 24 hours of execution, and confirm receipt of the filed copy before proceeding.",{"mistake":397,"why_it_matters":398,"fix":399},"Payment schedule amounts that do not add up to the balance","If the installments total less than the outstanding balance, the creditor has no clear contractual claim for the shortfall at the end of the schedule — the debtor can argue the balance was forgiven.","Build a payment schedule in a spreadsheet first, confirm the total of all installments equals the principal plus agreed interest, then transfer the figures into the agreement.",{"mistake":401,"why_it_matters":402,"fix":403},"Omitting an acceleration clause","Without acceleration, a creditor whose debtor misses one installment can only sue for that missed payment — not the full remaining balance — which makes collection economically unviable.","Include a standard acceleration clause giving the creditor the option to declare the entire remaining balance due upon any missed payment, with a short cure window of 3 to 5 business days.",{"mistake":405,"why_it_matters":406,"fix":407},"Using a trade name instead of the debtor's legal entity name","A judgment against a trade name is not enforceable against the underlying legal entity or its assets — rendering an otherwise valid agreement worthless at the collection stage.","Confirm the debtor's exact legal entity name from the applicable company registry before drafting. Include the trade name as an alias: '[TRADE NAME], operating as [LEGAL NAME]' if both are relevant.",[409,412,415,418,421,424,427,430,433],{"question":410,"answer":411},"What is an accounts receivable agreement?","An accounts receivable agreement is a legally binding document in which a debtor formally acknowledges and commits to paying an outstanding balance owed to a creditor for goods or services already delivered. It establishes a payment schedule, interest on overdue amounts, consequences of default, and the creditor's collection rights — converting an informal unpaid invoice into an enforceable contract.\n",{"question":413,"answer":414},"When should I use an accounts receivable agreement instead of just sending an invoice?","An invoice alone is sufficient for straightforward, timely payments. An accounts receivable agreement becomes necessary when a balance is already overdue, when the amount is material enough to warrant legal protection, when you are offering a structured repayment plan, or when you intend to assign or factor the receivable to a third party. A signed agreement restarts the limitation period for debt collection and is substantially stronger evidence in court than an unpaid invoice.\n",{"question":416,"answer":417},"Does an accounts receivable agreement need to be notarized?","Notarization is not required for most commercial accounts receivable agreements in the US, Canada, or the UK. However, if the agreement includes a pledge of real property as collateral, or if the total amount exceeds jurisdictional thresholds for certain debt instruments, notarization or witnessing requirements may apply. Check the requirements in the governing jurisdiction before execution if the amount is material.\n",{"question":419,"answer":420},"What is the difference between an accounts receivable agreement and a promissory note?","An accounts receivable agreement documents an existing debt arising from a prior transaction — goods delivered or services rendered — and typically includes detailed terms about the underlying obligation, collateral, and collection rights. A promissory note is a standalone unconditional written promise to pay a specific sum on demand or on a fixed date, without reference to the underlying transaction. Promissory notes are often negotiable instruments; most accounts receivable agreements are not. For larger or more complex debts, a promissory note is more commonly used in formal lending contexts.\n",{"question":422,"answer":423},"Can I assign or sell my accounts receivable to a third party?","Yes, in most jurisdictions a creditor can assign the right to collect an outstanding receivable to a third party — typically a factoring company or collections firm — without the debtor's consent, unless the underlying contract expressly prohibits assignment. The accounts receivable agreement should include an explicit assignment clause permitting this and stating that the debtor must pay any assignee as directed without set-off or counterclaim.\n",{"question":425,"answer":426},"What happens if the debtor misses a payment under the agreement?","If the agreement contains an acceleration clause — which it should — the creditor can declare the entire remaining balance immediately due and payable. After any contractual cure period expires, the creditor can issue a formal demand for payment, engage a collections agency, or commence legal proceedings. A signed accounts receivable agreement is far stronger evidence for a summary judgment application than an unpaid invoice alone, typically shortening the litigation process.\n",{"question":428,"answer":429},"How does a personal guarantee interact with an accounts receivable agreement?","A personal guarantee makes an individual — typically the owner or director of the debtor entity — personally liable for the outstanding balance if the entity cannot pay. It is included in or executed alongside the accounts receivable agreement and gives the creditor recourse against the guarantor's personal assets. The guarantee must be signed by the individual in their personal capacity, not on behalf of the entity, to be enforceable.\n",{"question":431,"answer":432},"What interest rate can I charge on overdue accounts receivable?","The maximum rate depends on the governing jurisdiction and whether the debtor is a consumer or a business. In the US, state usury laws set maximum rates that vary from roughly 6% to 24% per annum for commercial debts, with some states having no ceiling for business-to-business transactions. In the UK, the Late Payment of Commercial Debts Act 1998 entitles creditors to statutory interest of 8% above the Bank of England base rate on qualifying commercial debts. Always confirm the applicable ceiling before inserting an interest rate into the agreement.\n",{"question":434,"answer":435},"Do I need a lawyer to prepare an accounts receivable agreement?","For standard commercial receivables with a straightforward payment plan, a well-prepared template is typically sufficient. Consider engaging a lawyer when the outstanding balance exceeds $25,000, when collateral or a personal guarantee is involved, when the debtor is in a different jurisdiction from the creditor, or when the receivable will be assigned to a lender or factoring company. A brief legal review typically costs $300 to $600 and is worthwhile when enforceability is critical.\n",[437,441,445,449],{"industry":438,"icon_asset_id":439,"specifics":440},"Professional Services","industry-professional-services","Law firms, accounting practices, and consultancies use AR agreements to formalize repayment plans on overdue retainer balances, often paired with a personal guarantee from the client principal.",{"industry":442,"icon_asset_id":443,"specifics":444},"Wholesale and Distribution","industry-manufacturing","Distributors extend trade credit on Net 30 or Net 60 terms and use AR agreements to restructure overdue balances from retailers, often including a security interest in delivered inventory.",{"industry":446,"icon_asset_id":447,"specifics":448},"Construction and Contracting","industry-construction","Contractors use AR agreements to document unpaid progress billings and milestone invoices, frequently referencing lien rights and including project-specific collateral descriptions.",{"industry":450,"icon_asset_id":451,"specifics":452},"Healthcare and Medical Services","industry-healthtech","Medical providers use AR agreements to structure patient or insurer payment plans on outstanding balances, subject to HIPAA confidentiality requirements and state-specific consumer debt regulations.",[454,457,460,463],{"vs":455,"vs_template_id":234,"summary":456},"Invoice","An invoice is a unilateral payment request issued after delivery — it records what is owed but does not create a signed obligation. An accounts receivable agreement is a bilateral contract in which the debtor acknowledges and commits to paying the balance. A signed AR agreement is significantly stronger evidence in court and typically restarts the statutory limitation period for debt recovery.",{"vs":105,"vs_template_id":458,"summary":459},"promissory-note-D12760","A promissory note is an unconditional, often negotiable written promise to pay a fixed sum on demand or on a specified date, without necessarily referencing the underlying transaction. An accounts receivable agreement is transaction-specific — it documents an existing debt from a prior sale or service and typically includes collateral, personal guarantee, and assignment terms. Use a promissory note for standalone loan obligations; use an AR agreement to formalize an existing trade debt.",{"vs":253,"vs_template_id":461,"summary":462},"debt-settlement-agreement-D13206","A debt settlement agreement reduces the outstanding balance in exchange for immediate or accelerated payment — the creditor accepts less than the full amount owed as full satisfaction. An accounts receivable agreement preserves the full balance and establishes a schedule to collect it in its entirety. Use a settlement agreement only when you have assessed collectability and determined that discounting the debt is preferable to prolonged collection efforts.",{"vs":237,"vs_template_id":464,"summary":465},"payment-agreement-D12742","A payment plan agreement covers a broad range of instalment obligations — including future purchases, personal loans, or service fees — and is not specific to receivables arising from a prior transaction. An accounts receivable agreement is purpose-built for formalizing an existing unpaid balance, includes an acknowledgment of the underlying debt, and typically incorporates AR-specific provisions such as assignment rights and aging references. For trade debts already on the books, the AR agreement is the more appropriate instrument.",{"use_template":467,"template_plus_review":471,"custom_drafted":475},{"best_for":468,"cost":469,"time":470},"Standard commercial receivables under $25,000 between domestic parties with a straightforward payment schedule","Free","20–30 minutes",{"best_for":472,"cost":473,"time":474},"Receivables with collateral, personal guarantees, or cross-border debtors where enforceability is critical","$300–$600","1–3 days",{"best_for":476,"cost":477,"time":478},"Large receivables above $100,000, factoring or assignment transactions, or secured commercial lending arrangements","$1,000–$3,500+","1–2 weeks",[480,485,490,495],{"code":481,"name":482,"flag_asset_id":483,"note":484},"us","United States","flag-us","State usury laws cap interest rates on commercial debts and vary significantly — from no ceiling in some states to 10–18% per annum in others. Security interests in personal property must be perfected by filing a UCC-1 financing statement with the applicable Secretary of State. Limitation periods for written debt instruments range from 3 to 10 years depending on the state. The Fair Debt Collection Practices Act applies when a third-party collector pursues the debt.",{"code":486,"name":487,"flag_asset_id":488,"note":489},"ca","Canada","flag-ca","The Criminal Code caps effective interest rates at 60% per annum for all debt instruments. Security interests in personal property are governed provincially under Personal Property Security Acts and must be registered in the PPSA registry of the debtor's jurisdiction to be perfected. Quebec receivables involving consumers must comply with the Consumer Protection Act. Limitation periods for written contracts are generally 2 years in most provinces under modern limitations legislation.",{"code":491,"name":492,"flag_asset_id":493,"note":494},"uk","United Kingdom","flag-uk","The Late Payment of Commercial Debts (Interest) Act 1998 entitles business creditors to statutory interest at 8% above the Bank of England base rate on qualifying commercial debts, enforceable without a specific contractual interest clause. Limitation periods for written debt contracts are 6 years in England, Wales, and Northern Ireland, and 5 years in Scotland. Debt collection for consumer accounts is regulated by the Financial Conduct Authority.",{"code":496,"name":497,"flag_asset_id":498,"note":499},"eu","European Union","flag-eu","The EU Late Payment Directive (2011/7/EU) sets a default payment term of 30 days for public authorities and 60 days for commercial transactions, with statutory interest applying automatically on overdue amounts. Member state implementation varies — Germany, France, and Spain each impose additional local requirements. GDPR applies to any personal data about individual debtors processed in connection with the receivable, including data shared with collection agencies.",[501,502,254,246,250,503,504,505,506,234,507,508],"secured-installment-note-D440","promissory-note-D434","credit-note-D13639","purchase-order-D1411","sales-invoice-D383","service-agreement-D12711","non-disclosure-agreement-nda-D12692","independent-contractor-agreement-D160",{"emit_how_to":198,"emit_defined_term":198},{"primary_folder":94,"secondary_folder":511,"document_type":512,"industry":513,"business_stage":514,"tags":515,"confidence":520},"accounts-receivable","agreement","general","all-stages",[516,517,518,511,519],"payment","contract","invoice","collections",0.95,"\u003Ch2>What is an Accounts Receivable Agreement?\u003C/h2>\n\u003Cp>An \u003Cstrong>Accounts Receivable Agreement\u003C/strong> is a legally binding contract in which a debtor formally acknowledges an outstanding balance owed to a creditor for goods delivered or services already rendered, and commits to a defined schedule for repaying that balance. Unlike a standard invoice — which is a unilateral request for payment — an accounts receivable agreement is a bilateral document signed by both parties, establishing enforceable obligations on the amount owed, the repayment timeline, interest on overdue amounts, and the creditor's rights if payment is not made. It may also include a security interest in the debtor's assets, a personal guarantee from the debtor's principal, and an explicit right for the creditor to assign or sell the receivable to a third party.\u003C/p>\n\u003Ch2>Why You Need This Document\u003C/h2>\n\u003Cp>When a customer's account goes unpaid, an invoice alone gives you limited legal leverage. Without a signed acknowledgment of the debt, a debtor can dispute the balance, contest the underlying obligation, or simply let the limitation period run — leaving you with nothing enforceable. An accounts receivable agreement closes that gap: it locks in the balance as of a specific date, creates a contractual payment obligation that restarts the limitation clock, and gives you a clear basis to accelerate the full remaining balance if a single installment is missed. For businesses that carry material trade credit or plan to factor their receivables, a properly drafted AR agreement is not optional — it is the foundational document that determines whether your receivables have real commercial value or are simply entries on a ledger.\u003C/p>\n",1779480688318]