Read about the digital transformation of commercial payments and how to automate your enterprise cash cycle.
5 Financial Resolutions to Kickstart the New Year
Dec 6, 2023 by Zazil Martinez
Discover the essentials to thrive in the new year. From streamlining expenses to embracing digital payments, we provide actionable steps for success. Join us in securing a resilient financial future.
Learning from Silicon Valley Bank's 2023 Mistakes
Nov 30, 2023 by Zazil Martinez
In the fast-paced world of finance, Silicon Valley Bank's collapse in 2023 sent shockwaves through the industry. In this retrospective, we will examine what caused the downfall, how it affected things, and what we can learn.
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How Do You Become Sage Intacct Certified?
Nov 14, 2023 by Kelsey Banerjee
With roughly 3,000 customers worldwide, Sage Intacct is one of the top financial management platforms for growing and mid-market companies. It's also one of the top options for teaching users how to master everything the platform offers.
How to Scale Your AR Process with Your Growing Business
Nov 10, 2023 by Zazil Martinez
As your business grows, scaling your AR processes is crucial. From improving cash flow, addressing communication issues, filling knowledge gaps, and enhancing security, this guide provides actionable insights for streamlined and efficient business growth.
How Much is it Costing Your Business to Accept Paper Checks?
Nov 9, 2023 by Kelsey Banerjee
Paper checks are one of the most costly ways to collect payments. Still, many businesses think getting paid by check is the most affordable method. While only 33% of businesses make payments by check, in 2021, 91% of organizations across the U.S. continued to receive checks, even though they understand the associated costs and risks. Of course, there are also many indirect costs to check processing, such as labor and processing fees. The bill can quickly eat into your bottom line — and that's before potential errors. It's no wonder businesses have been shifting from paper checks to digital alternatives that offer more convenience, data, control, and automation. The 2020 pandemic only accelerated the shift as consumers demanded contactless payments. Ditching paper-based payment methods can help companies cut costs by reducing the amount of manual work and payment fraud risk. In most cases, the solution will integrate with your ERP, making it easy for AR teams to navigate. Let's explore what it costs your business to accept paper checks and alternative payment options.
In Face of Shaky Economy, ACH Outages and Bank Failures, Paystand Ranks 210 on Deloitte Technology Fast 500 List of Fastest Growing U.S. Companies
Nov 9, 2023 by Erika Hernandez
Company sees 671% growth for its transformative zero-fee payment network enabling SMBs to enhance the bottom line
The Future of Accounts Receivable in 2024
Nov 8, 2023 by Zazil Martinez
Efficiency, financial stability, and growth are paramount for B2B companies. Yet, one often overlooked element for any business's success is accounts receivable (AR). Your company's financial health depends on your AR's state. A well-managed AR can be a game-changer in an era where cash flow is king. As we approach 2024, B2B companies must ensure their financial stability. A robust AR can offer the liquidity needed for daily operations, invest in growth, and provide a cushion against economic declines. Businesses must adapt and predict the trends shaping their future success. By aligning with these trends, businesses can unlock their full potential. Let's take a look at them.
Ensuring Timely Payments: How Paystand Users Still Got Paid During a Banking Outage
Nov 8, 2023 by Zazil Martinez
Last Friday, most banks in the United States were affected by a failure that left thousands of people unpaid nationwide. Bank of America, Wells Fargo, and Chase, among others, reported delays in more than 850,000 deposits, which is alarming for individuals and businesses that depend on timely payments. According to The Federal Reserve, this was due to a "processing issue.” An error at The Clearing House, a U.S.-based limited liability company owned by the largest commercial banks, disrupted ACH-processed transactions. This ranged from direct deposits to mortgages and utility bill payments. According to NACHA, The ACH Network processed an average of $330 billion daily in September. Many customers have since complained to their banks for not communicating clearly about the delayed deposits.
How to Automate Your Accounts Receivable Process
Nov 7, 2023 by Kelsey Banerjee
Accounts receivable (AR) teams are often overwhelmed with tedious and costly manual processes. Performing the receivable process manually wastes time and money, causes errors, and results in lost documents and compliance breaches. At the same time, there has been a prominent fear that automation could cost accounts receivable (AR) teams their jobs. But that anxiety is becoming unfounded. Instead, it has significantly reduced the need to waste hours on data entry and invoice corrections. AR departments worldwide also struggle with time. There's never enough of it when you must send, follow up on, and reconcile invoices by hand. It's common for CFOs and their teams to spend 90% of their time on financial close. Manual processes –from mailing invoices to correcting billing mistakes– mean less time to analyze data and design competitive workflow strategies. To make matters worse, spending time on these repetitive processes doesn't guarantee results. Across industries, organizations of all sizes struggle to get paid on time. AR teams in 26 industries reported that over 10% of their payments are over 90 days past due. AR management can't longer be a purely manual process. It's unsustainable. But automation can turn the tide. Automating AR processes can address these problems and enhance the efficiency of the AR team. AR automation benefits include reduced DSO and saved time for financial close, freeing up teams for more high-value tasks. One study found that 80% of businesses that used automated AR software said this approach made their accounting process more efficient and successful. Keep reading to learn how to turn the manual AR process into an automated, well-oiled machine.
Interchange Fees | B2B Finance Glossary
Oct 20, 2023 by Zazil Martinez
What Are Interchange Fees? Interchange fees, or “swipe fees,” are fees a merchant must pay every time a retailer processes a credit or debit card payment. Interchange fees are designed to pay card issuers for their work when accepting, processing, and authorizing card transactions. For example, when a customer makes a purchase using their debit or credit card, many things need to happen on the backend to ensure that this payment goes through, namely, requesting and receiving payment authorization for ensuring there are enough funds in the customer’s account to make the payment, fraud protection, and finally, processing the payment itself. A small portion of the interchange fee goes toward the credit card processing service, and the rest goes to the bank or credit card company tied to the card that the customer uses to make the purchase. Typically, interchange fees include a small fixed fee plus a percentage of the total sale; however, these fees and rates vary depending on the merchant category code associated with the business making the transaction, which company has issued the card to the consumer, and the credit card processing service that allows the entire system to keep running.
Dues and Assessments | B2B Finance Glossary
Oct 20, 2023 by Zazil Martinez
What Are Dues and Assessments? When it comes to card processing, dues and assessments make up the second largest cost that occurs in this system. Dues and assessments are about 10% to 15% of the total card processing cost. About 30 different assessments and dues fees are paid directly to the card networks to cover operating expenses and the costs of managing the networks themselves. It’s important to note that all credit card processors are contingent upon the same assessment fees and are passed on to merchants who must cover the cost. However, some acquirers mark up some of these fees. In this system, “dues” refers to grouping all the different miscellaneous fees the card networks charge. These fees are primarily per-item transaction fees charged alongside each authorization and settlement of a sale. It’s important to note that some dues fees are charged on every transaction, while others are charged based on the particular characteristics of certain transactions. “Assessments,” on the other hand, are the flat-rate percentages that the card networks charge against total gross monthly sales, and they usually range from 0.12% to 0.14%. Similarly to interchange fees, assessments and dues cannot be negotiated, but there are a few areas where these fees can be optimized.
Credit | B2B Finance Glossary
Oct 20, 2023 by Zazil Martinez
What is Credit? In its most basic sense, credit is the ability to borrow money or access goods and services with the understanding that you will pay for them later. Lenders, merchants, and service providers will grant credit based on how confident they are that you will pay them back what you’ve borrowed and any other charges that may be added. If creditors believe that you are trustworthy, you are known as creditworthy. In other words, you have good credit.