If your company is still using only manual systems for processing invoices for B2B payments and purchases, it’s time to move forward and to look for a more contemporary solution that will streamline your processes and facilitate your cash flow to ensure your company’s efficiency. Although at one time there were only manual options available for AR and AP departments, these days, there are many different methods to choose from, such as B2B card payment services, and opting for one of these modern alternatives could improve the competitiveness of your company in today’s crowded marketplace and give it the edge over less forward-thinking businesses.
There are many weaknesses involved in only accepting manual payments. Here, we look at the main five, finding out why they could prove problematic for your business and looking at the best way to resolve the issues.
1. High Risk of Late or Missed Payments
Receiving payments on time couldn’t be more important for B2B businesses since late or missed payments can result in serious cash flow problems and cause damage in the long term to your business’ reputation and your ongoing working relationship with other partners. Relying solely on manual payments makes late and missed payments considerably more likely.
2. Greater Risk of Lapses in Security
Almost half of all B2B businesses suffer from losses because of fraudulent activities or hacking attempts in any one year. The more parties are involved in making and receiving a payment, the higher the chances that procedures won’t be correctly followed, meaning that the business is exposed to more risk.
3. Poor Ability to Accept International Payments
Because B2B businesses operate all around the world, the ability to handle different payment methods, languages, and currencies is vital. However, if a company is limited in the ways that it can accept payments, it is also limited in which markets it is able to access and with which companies it is capable of working.
4. Time-Consuming and Prone to Errors
Processing payments manually is tedious, takes a long time, and, what’s more, increases the likelihood of an accidental error occurring. Handling payments in this way lacks efficiency and reduces productivity for any company. Finding a way to speed up the receipt of revenue is essential to keep any business afloat in today’s tough commercial environment.
5. Losing Ground Against Competitors
Another serious implication of relying heavily on manual B2B payments is that it sets the company behind many of its competitors in the marketplace. Proactive companies are now realizing the advantages of choosing an automated payment process and that means that those businesses that stick to the traditional manual processes will inevitably be left behind.
The Perfect B2B Payment Solution
For businesses that need to find a new way of handling their B2B payment processing, choosing a high-quality payment services provider is the ideal option. By partnering with a third-party payment solution provider, such as REPAY, businesses can benefit from an automated system that gives clients the opportunity to pay using their preferred method and via a convenient online or Interactive Voice Response channel. This makes making and receiving payments much simpler and faster. And, as an added advantage, it is also extremely secure thanks to its PCI, SSAE-16, and HIPAA certification.
REPAY’s B2B card payment services facilitate and speed up B2B payments while ensuring security, compliance, and reduced costs when compared with the fees involved in processing paper checks. By accelerating the availability of cleared funds and by integrating seamlessly with existing software solutions, REPAYmakes it easier than ever to receive B2B payments and to compete more effectively in the worldwide marketplace.