<ul data-eligibleForWebStory="false"><li>Accounts Payable (AP) refers to the amount a business owes to its creditors for goods and services purchased on credit, listed under current liabilities on the balance sheet. These are short-term debts payable within a year or working cycle.</li><li>Accounts Receivable (AR) is the money owed to a business by customers for delivered goods or services not yet paid for. AR is a recoverable line of credit generally expected to be cash within a short duration, usually 30, 60, or 90 days.</li><li>Effective management of AP and AR is crucial for a business's financial health, optimizing cash flow, balancing money and expenses, and ensuring solvency and profitability.</li><li>Outsourcing accounts payable and accounts receivable services can enhance efficiency, reduce costs, ensure timely payments, support cash flow management, scale services with business growth, enhance data security, improve processing speed, accuracy, and provide fraud protection.</li></ul>

Accounts Payable & Receivable in UAE – A Guide for Businesses

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