In this three-part series, we examine the issues with the use of paper checks and explore alternatives. In the third part, we will make suggestions for moving B2B (Business to Business) customers to digital payment methods.
Simplify your transition to digital payments
As we mentioned in Part One, fewer consumers and businesses are paying with checks, but some continue to do so. Even if you switch to the digital payment methods described in Part 2, you will still need to be able to accept checks.
Fortunately, the technology available to businesses today can simplify your acceptance of both digital and traditional payments. Here are some suggestions to help you get started:
1. Choose a payment solution that integrates with your ERP system.
The payment system you choose should work seamlessly with the rest of your business systems, especially your ERP solution. solve that
2. Digitize and automate the settlement of the checks you accept.
Yes, the checks are dropping, but it still
Using machine learning, you can automate the cash application process to match any payment type with open receivables. Obtaining and reconciling payment data, eliminating entry errors, drastically reducing manual effort, and accelerating cash flow.
3. Automate the cash application.
Much of the difficulty with requesting cash stems from the fact that transfer information is often provided separately from the payment. This is especially true with electronic payments such as ACH and EFT, wire transfers, and virtual cards. Since advice on remittances is not formally required and is technically a courtesy, sometimes there is no information accompanying payments.
Your AR personnel have to spend time sifting through files – sometimes from multiple systems – to find transfer details matching a payment or refer to the customer for clarification.
There are tools that can help you manage reconnection of payments and invoices. Versby
You can also solve this challenge by having your customers pay you through a secure account
When your customers make payments within Versapay, the transfer information is automatically posted with the payment.
4. Make online payment convenient for customers
To encourage successful disposal of check payments, you should do so
Ease of use is essential when getting your customers to adopt online payment methods. Solutions such as “click to pay” billing that allow customers to make payments without having to create a login, are a great way to encourage customers to adopt them.
Boost cash flow and customer satisfaction with digital payments
One of the top reasons finance leaders cite for introducing digital payment methods is that
Digital payment methods are convenient for your customers, and they also benefit your business by saving resources and improving cash flow. Settlement times are faster, and you will no longer have to deal with complications from floating checks. in a
If you are ready to explore the world of digital transformation to online payment methods,