01 Nov How Small Biz Can Lead the Way in B2B Payment Innovation
If you own a small business, you know exactly how important cash flow is. You do everything you can to ensure timely payments – but are you sure you’re taking the most innovative approach?
According to pymynts.com, the B2B sector is home to about $3 Trillion worth of “inefficiencies” in how payments are made. A lot of that comes from the role paper plays in making sure businesses get supplied and paid.
Small businesses are well-poised to pivot toward more efficient payment solutions. Because you have personal relationships with your customers, you can consider what payment solution will work best for them. And paper invoices might not be the best way to go. Credit cards are often the most convenient solution.
Here are a few steps you can take to make and collect payments more efficiently, and lead the way in B2B Payment Innovation:
1. Explore Payment Options
Small businesses have a key advantage over their corporate counterparts – flexibility. The capacity to innovate, and honor consumer buying preferences, is a tool you can use to stay ahead.
If you don’t already, you should consider offering more payment options by accepting credit cards, debit cards or automated clearing house (ACH) payments. Digital wallet or mobile payment solutions show your customers you’re at the cutting edge of technology, and you care about their buying preferences.
2. Streamline Your Bills
To simplify your financial life as a business owner, you need to streamline your bills and paperwork. Signing up for paperless statements, creating automatic payments and bundling services will help you get control of the clutter. It will also save an invaluable resource – time. Say goodbye to the hours you spend every week poring over invoices and writing checks. Look at an online program, like bill.com, to simplify – and modernize – your billing process.
3. Request an analysis of your processing program
You may not have realized it, but most credit card processors drastically overcharge businesses in the B2B arena. And corporate, purchasing, rewards and business credit cards are commonly overcharged. Look for a processor, like BASYS, that offers a free savings analysis, so you can check the health of your program.
4. Step Away from the Check
The average invoice takes $17 and 10 days to process — in fact, the entire lifecycle of a B2B transaction stands at 34 days in the U.S. market. Digest this: 67% of consumer payments are made electronically, and 64% of B2B payments are still made with checks. That gap between B2B and consumer payments leads to a lot of headaches and delayed funds. Payments expert Vijay Ramnathan recently said, “so much paper – and so many touchpoints for invoices, checks and other documents, presents ample temptation for fraud and other forms of malfeasance, along with the introduction of mistakes into the process.”
5. Then, Go Digital
Staying cashflow-positive can be a challenge, as it can take customers up to two months to pay once they’ve been billed. That’s why you should consider integrating digital payments. A B2B payment solution, like a billing and invoicing software program, cuts your payment cycle and helps you stay cashflow-positive. You can also rest easy with the knowledge that digital payments are safe, maybe even more so than paper checks.
Steve Jobs once said, “innovation distinguishes between a leader and a follower.” As a small business owner, the payment arena is an ideal space to innovate.
BASYS Processing as a business partner
Does your current processor understand the unique struggles of your industry? Do they provide great rates and personal customer service? Are they offering solutions to grow your business and being proactive about helping you reduce risk and increase your savings?
BASYS Processing features:
• A friendly, live voice will answer the phone when you call; no automated phone systems
• In-house PCI Compliance team to walk you through the process step-by-step, improving security and reducing costs
• A knowledgeable Account Manager assigned to your business to support your needs
• Accept payments in person, over the phone or online
• Next-day funding options
About BASYS Processing
BASYS Processing provides credit card and debit card processing services, plus solutions that include terminals, virtual terminals, e-commerce, mobile, and point-of-sale, customized to fit any need. Banks, associations, and software partners depend on us to strengthen their reputations and relationships with their customers by providing remarkable service paired with ultimate flexibility and pricing. Merchants depend on us to make accepting credit cards and debit cards convenient, safe & affordable. BASYS was founded in 2002 on one philosophy: to take care of our merchants, partners, and employees so they never want to leave. We are dedicated to working one-on-one with our customers to design the perfect solution. BASYS is Personal Payment Processing.
Learn more at basyspro.com, and connect with us online at: