Accounts Receivable

12 Months Ended

Sep. 30, 2020

5.	Accounts Receivable

The accounts receivable balance at September 30, 2020 and 2019, represents trade and other receivables. Accounts receivable primarily consists of contracts in transit. These amounts represent anticipated funding from the loan agreement customers execute at the store when they purchase their new or pre-owned boat. These finance contracts are typically funded within 30 days. Trade receivables include amounts due from customers on the sale of boats, parts, service, and storage. Amounts due from manufacturers represent receivables for various manufacturer incentive programs and parts and service work performed pursuant to the manufacturers’ warranties.

Accounts receivable consisted of the following:

($ in thousands)	September 30, 2020			September 30, 2019
Contracts in transit	$	13,532		$	8,453
Trade and other accounts receivable		1,023			1,544
Manufacturer receivable		4,059			5,297
Total accounts receivable		18,614			15,294
Less – allowance for doubtful accounts		(135	)		-
Total accounts receivable, net	$	18,479		$	15,294

The allowance for uncollectible receivables was not material to the consolidated financial statements as of September 30, 2020 or 2019. Management closely monitors outstanding accounts receivable for collectability based on the age of the receivable and the history of past collections and will write off any balances that are considered to be uncollectible.