What this form is for
Accounts Receivable Aging Reports show lenders exactly how much customers owe you and how long those invoices have been outstanding, which helps banks assess your cash-flow health and collection efficiency. Business owners use this when applying for working-capital loans, lines of credit, or asset-based financing that uses receivables as collateral.
Before you start
- Pull your current accounts receivable ledger or aging summary from your accounting software (QuickBooks, Xero, FreshBooks, or similar)
- Gather copies of all unpaid customer invoices with invoice dates and amounts owed
- List each customer's full legal business name and outstanding balance
- Have your last bank reconciliation handy to verify total receivables match your general ledger
- Identify any disputed invoices, partial payments, or accounts you've stopped pursuing
Step-by-step
1. Enter the report date at the top, which determines how aging buckets are calculated (typically the last day of the month or the date you're submitting your loan package).
2. List each customer with an outstanding balance in the first column, using their legal business name exactly as it appears on invoices.
3. For each customer, break down their total balance into the five aging buckets: Current (0-30 days old), 1-30 days past due, 31-60 days past due, 61-90 days past due, and 91-120+ days past due.
4. Calculate the total amount owed by each individual customer across all aging buckets and enter it in the customer total column.
5. Sum each aging column vertically to show the grand total of receivables in each time bucket (for example, total dollars that are 61-90 days past due across all customers).
6. Calculate the overall grand total of all receivables by adding all aging-bucket totals together; this number must match your accounts receivable balance on your general ledger.
7. Apply the color-coding scheme consistently: typically green for Current, yellow for 1-30 and 31-60, orange for 61-90, and red for 91-120+, though confirm your bank's preference.
8. Note any special circumstances in a footnote section, such as disputed amounts, payment plans already in place, or invoices tied to long-term contracts with extended payment terms.
What lenders look for
- Banks want to see 70 percent or more of your receivables in the Current and 1-30 day buckets; high concentrations in 61+ day categories signal collection problems and reduce how much they'll lend against those receivables.
- Flag any single customer representing more than 20 percent of total receivables, as this concentration risk may lower your borrowing base or require additional guarantees.
- Never include receivables from related parties, owners, or family members; Florida lenders will exclude these during underwriting, and failing to disclose them damages your credibility.