Receiving payments from customers and clients is a fundamental part of doing business—no matter what business you’re in, or how small or large your company is. It’s also a part of business that can become mired in minutiae and inefficient processes that not only drive up costs but may also lead to customer dissatisfaction, errors, and delays in reaping the rewards of a current accounts receivable.
The more inefficient these processes, and the more steps and handoffs required, the greater the costs and potential for error. These inefficient payment processes cost you money!
Consider the inefficiencies that are inherent in traditional payment processes:
The costs many businesses incur when choosing to keep finances separate from their accounting systems can be substantial.
The solution? Streamlining the B2B payment process with automated credit card processing. Today’s innovative payment solutions can save time and fuel business growth.
When companies turn manual processes into electronic processes, they reduce transaction and reconciliation time, as well as improve the convenience for their customer. Here we take a look at some of the areas of big benefits in cutting administrative costs that you can realize by selecting the right B2B credit card processing partner.
When you accept credit cards, especially when customers and clients can pay electronically, payments can be processed quickly—in near real time. That allows your business to reduce the staff time and effort needed to complete transactions.
We’ve already mentioned some of the convenience you and your staff will realize by cutting administrative costs through credit card payment processing. But your customers will appreciate the added convenience as well. Credit cards are widely accepted for in-person and online transactions, helping to expedite payments—and payment processing.
The faster and more efficiently you can process payments, the sooner your company will have the advantage of these funds being available for your own expenses and investments. Increased cash flow makes a huge difference to your bottom line.
Credit card payments are more secure—especially when you take advantage of Level II and III processing, which provides additional details about transactions that go beyond Level I processing (which can be useful for fraud prevention and detection):
An added benefit: when you use Level II and III processing, you can qualify for greater discounts, meaning reduced processing fees and more money flowing to your bottom line. Make sure your software provider is able to automate the Level II and III processing to keep the transactions simple.
Credit card processing comes with a cost too, and you want that cost to be as low as possible while ensuring you and your customers have a positive, efficient, and safe experience. That cost is known as an “effective rate,” and it’s an important metric to monitor and to stay on top of so you know the total overall cost to your business of accepting credit card payments.
Time really is money for businesses of all types and sizes. Cutting administrative costs in processing credit card payments can boost your bottom line while reaping added benefits like greater accuracy and security and more satisfied employees—and customers!
Whether you are considering a specific credit card payment vendor, your bank, or are already using something like QuickBooks Payments, the more information you have to make an informed decision, the better. Now you can access our helpful guide, Conquering Change Anxiety: Migrating From QuickBooks Payments To New B2B Payment Solutions, which dives into all the best practices and considerations you need to know in making these decisions.
Use our guide to learn: