What is Aged Debtor Report?

An aged debtor report (also called an aged receivables report) breaks down money owed to your business by the length of time each invoice has been outstanding. It is one of the most important credit-control tools for any UK business.

Typical ageing brackets: - Current — not yet due - 1–30 days overdue - 31–60 days overdue - 61–90 days overdue - 90+ days overdue

• **Why aged debtor reports matter:**
• Prioritise chasing: — focus effort on the oldest, highest-value debts first
• Spot problem clients: — recurring late payers stand out immediately
• Cash flow forecasting: — understand when money is realistically likely to arrive
• Bad debt provisioning: — the longer a debt ages, the less likely it is to be collected; many businesses write off debts over 90 or 120 days
• Lender and investor confidence: — banks reviewing overdraft facilities often request aged debtor reports

Best practices: 1. Run the report weekly or at minimum monthly 2. Set internal thresholds — e.g. call any client with a balance over 30 days 3. Cross-reference with credit limits before accepting new orders 4. Use the report to justify stricter payment terms for consistently late clients

Aged debtors vs aged creditors: The aged debtor report shows money owed to you. An aged creditor report shows money you owe to suppliers.