Do not reset invoice dates to make the unpaid list look current

A cleaner list can hide an older problem

Each week, unpaid supplier balances are moved into next week's payment list. After several cycles, the report no longer shows how long those debts have been outstanding. Preserve the original due dates and record discussions separately. If the company is repeatedly unable to pay debts, obtain qualified advice rather than relying on a refreshed payment schedule that makes the backlog appear new.

Keep the original obligation visible

Imagine a landscaping company postponing the same material invoices over several weekly meetings. Record the invoice date, contractual due date and outstanding amount. Show any proposed payment date in a separate field. Moving an internal forecast entry does not establish that the supplier agreed to change the obligation, and the report should not imply that an unanswered request is an accepted arrangement.

Treat recurring non-payment as a serious signal

ASIC advises directors to seek qualified advice promptly where insolvency is suspected. Give the adviser the true creditor history, including repeated deferrals and disputed amounts. A report containing only the next intended payment date may conceal information needed to assess the company's position. Do not edit the ageing information to create a more comfortable version of that history.

Source: ASIC: What to do if your company is insolvent

Record actual agreements accurately

Where revised terms are agreed, retain the evidence and show what changed. In the landscaping example, one supplier may accept instalments while another continues to require payment of the overdue balance. Those accounts should not be presented identically. Ask the accountant and lawyer about the appropriate treatment where terms or the effect of correspondence are unclear.

Watch the backlog rather than one successful payment

Compare the total unpaid amount and its age across reviews. A payment to the loudest caller may reduce one account while the rest deteriorates. Keep new obligations distinguishable from older unpaid ones so management can understand whether the problem is growing. Do not turn this reporting exercise into a self-devised legal payment-priority rule; obtain advice about decisions in the actual circumstances.

Use the honest report for the next decision

Provide the ageing history, cash position and supporting arrangements to the adviser. Record the advice and the actions that need attention. The purpose of keeping original dates is not to make the report look worse. It is to stop repeated internal postponements from obscuring the company's real ability to meet its obligations and delaying a necessary review.