The verdict in three sentences
An application to automate dunning and receivables collection costs between 10,000 and 30,000 EUR net in 2026, delivered in 5 to 10 weeks. The return is immediate: DSO cut by 10 to 20 days, collection rate up roughly 15% and cash freed from the first quarter. It is one of the fastest-ROI automation projects, because every DSO day saved is cash in hand.
What an automated dunning solution costs
The scope covers automatic schedules, multichannel dunning (email, SMS, letter, WhatsApp), progressive escalation, payment-promise tracking and accounting integration. Here are the 2026 ranges.
| Work package | Indicative timeline | 2026 cost (EUR net) |
|---|---|---|
| Discovery + dunning scenarios | 1 week | 1,500 - 3,500 |
| Schedule engine + segmentation | 1-2 weeks | 2,500 - 6,000 |
| Multichannel dunning + escalation | 2-3 weeks | 3,000 - 8,000 |
| Promise tracking + DSO dashboard | 1-2 weeks | 2,000 - 6,000 |
| Accounting integration (Sage, Xero, QuickBooks) | 1-2 weeks | 2,000 - 6,500 |
| Testing + training + go-live | 1 week | 1,000 - 3,000 |
A Starter build (email/SMS dunning + tracking) fits within 10,000 to 14,000 EUR net. A complete multichannel build with scoring and accounting integration reaches 24,000 to 30,000 EUR net.
The cash lever: quantifying the gain
Automated collection acts on two levers: collection speed (DSO) and collection rate. Here is the typical impact.
| Indicator | Before automation | After automation |
|---|---|---|
| Average DSO | 58 days | 40-48 days |
| Collection rate at 60 days | ~78% | ~90% |
| Reminders sent on time | ~50% | ~98% |
| Time spent on dunning | 10-15 h/month | 2-3 h/month |
| Receivables written off | baseline | -20 to -30% |
For an SME billing 3 M EUR/year, cutting DSO by 15 days frees roughly 123,000 EUR of cash durably (3,000,000 / 365 x 15). That is a structural cash gain, not just time saved.
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Mini case study
Sophie, CFO of a 45-person construction SME in Dublin, faces a 58-day DSO and a 78% collection rate at 60 days. Her team spends 12 hours/month on manual dunning. She invests 20,000 EUR net in an automation solution (schedule, multichannel dunning, DSO dashboard, accounting connector), plus 500 EUR/month maintenance.
Over 12 months: DSO falls to 44 days, freeing about 115,000 EUR of cash on 3 M EUR revenue; the collection rate rises to 90%, recovering about 90,000 EUR of previously lost or late receivables. Total first-year cost: 20,000 + 6,000 = 26,000 EUR net. The project pays back in under two months on freed cash alone.
FAQ
How much is maintenance? Maintenance runs between 300 and 700 EUR/month in 2026, depending on the number of channels and accounting integration.
Which dunning channels work best? The email + SMS + WhatsApp combination with progressive escalation gives the best rates. SMS and WhatsApp show open rates above 90%.
Can I keep control of the tone? Yes. Scenarios are customisable per customer segment and per ageing tier, from a courteous reminder to a formal notice.
How fast does DSO improve? The effect is measurable from the first billing cycle. A DSO cut of 10 to 20 days usually stabilises in 2 to 3 months.
How long until delivery? Expect 5 to 10 weeks from discovery to go-live, accounting integration included.
Let's scope your project. Share your current DSO, invoice volume and accounting software, and we will price your dunning automation. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
