What is difference between debtors and creditors

Let's solve this.

Debtors are individuals or entities that owe money to a company. They represent an asset for the company because the company has a claim to receive money from them. Examples include customers who have purchased goods or services on credit.

Creditors, on the other hand, are individuals or entities to whom a company owes money. They represent a liability for the company. Examples include suppliers from whom the company has purchased goods or services on credit, or banks from which the company has taken a loan.