Payment Automation
In order to make sure your accounts payable department is running as smooth as can be, it’s important to automate every part of the invoicing process. One often-overlooked part of that process is payment automation. Whether it’s because the automation doesn’t seem necessary for payments or business just don’t realize there are secure B2B options, few companies take full advantage of the benefits of payment automation.
Electronic payments are more reliable and secure, with features that help prevent fraud prevention and unauthorized payments. When looking for an automation solution, look for a solution that offers a wide range of payment options. Some of these options include Customer System Delivery, ACH transactions, virtual cards such as American Express P-Cards or MasterCard P-Card, and check printing. You know your process and your suppliers best, so as you search through the different options and benefits, it will be easy to see which payment solution will help you the most.
Virtual credit cards are just what they sound like: credit cards that you don’t physically possess. Instead, a unique number is created for your card per selected amount of invoices to be processed. The payments are processed immediately and in less than half an hour, the supplier receives the information. Once the payment is accepted and received, the virtual card number becomes invalid and cannot be reused. While it’s not a card you can hold or use for a team lunch, it’s a simple path to solid security and fast invoice settlement.
If your customers still love the sweet feeling of a paper check in hand as they get paid, that’s okay too. But with the right solution, your AP department shouldn’t have to spend a single moment writing up paper check payments. Simply determine which suppliers would prefer to keep receiving payment through checks and submit the necessary information. Then, when it’s time for a payment to be made, you give approval and suppliers have their check in one to two business days – it’s a win-win situation.
ACH processing standards are alternative payment solutions to virtual credit card or check payments. ACH processing delivers funds within about one business week, and at no additional supplier cost. Well within lines of the standards of AP automation, ACH processing services are accurate and efficient, all while increasing visibility. With no setbacks noted, the funds settle smoothly into the supplier’s bank account.
With the right online payment automation solution, your department runs more smoothly. Rather than processing invoices completely electronically, then having to fall on old methods for payments, it becomes part of the process. Just like approving an invoice takes only the click of a mouse, making a payment can be as easy as verifying the payment information and clicking “approve.” If you’re curious how payment automation can be part of your full automation process, we’re happy to help.