ERP Payment Advisors

Before the government gets into trying to regulate interchange. They should get a basic understanding of auth, capture, adjustment and it all works. How on earth will this roll out? Sounds like an absolute nightmare and almost logistically impossible. Pay for the tax using your card, but the bank and network and acquirer give that volume away for free? So what happens to the already screwed up tax value on level II data that is being populated by bogus values to get level II qualifications in b2b sales? I mean really…. Does anyone think this is a good idea? Seems like a virtue signal vs any real impact https://hubs.ly/Q02FYwVn0

Card acceptance policies are like lipstick on a toddler...how? Just like my daughter, if non applied properly, you are stuck with a mess. Longer DSO, high float cost, decreased capital, frustrated AR teams and confused customers. What if, like lipstick, your card policy added the final touch of beauty to your #collections makeover. Card HAS a proper place in the term cycle, and when used right, it is a beautiful masterpiece. When accepted like a 3 year old puts on lipstick, card leaves a mess and delivers ZERO BENEFIT. Let our teams put a proper policy in place & #stopleavingspendonthetable

Join me to learn about how to boost card acceptance at your suppliers! To register go here. https://hubs.ly/Q02qQP6q0 @instituteofcommercialpayments

Simply put, “suppliers who do not accept card will loose business” https://hubs.ly/Q02n9HP70

Did you know 60% of SMB’s are using cards as a source of capital over loans and lines of credit? Additionally large corporates are migrating to card to increase working capital and back office efffeciencies. If you leverage card as an alternative to term, you can get paid faster, acquire new customers, improve NPS scores all while reducing float costs and back office inefficiencies. How does this impact your DSO as a supplier of you don’t have card acceptance policy in place? https://hubs.ly/Q02m2YxD0

10 operational efficiencies card as an alternative to net terms delivers. 1. **Simplified Credit Assessment**: Credit card payments transfer the burden of credit assessment to the card issuers. Businesses no longer need to conduct thorough credit checks, as the responsibility for evaluating creditworthiness shifts to the credit card companies. 2. **Immediate Credit Approval**: Credit card transactions provide instant credit approval at the point of sale, eliminating the need to set individual credit limits and manage approvals internally. 3. **Automated Payment Processing**: Invoicing becomes simpler or even unnecessary for immediate transactions, as payments are processed automatically through the credit card network. This reduces the paperwork and administrative effort required to generate and dispatch invoices. 4. **Reduced Accounts Receivable Tracking**: Credit card payments are processed quickly, often within a few business days, significantly reducing the volume of outstanding receivables to track and manage. 5. **Minimized Payment Reminders**: The need for sending payment reminders diminishes, as payments are processed immediately at the time of the transaction. This reduces the administrative burden of following up on overdue payments. 6. **Efficient Receipt of Payment**: Payments are deposited directly into the business’s bank account, streamlining the payment receipt process. There’s no need to handle checks or manually process payments. 7. **Simplified Reconciliation**: Credit card statements and transaction reports can simplify the reconciliation process, as they provide a detailed record of sales and payments that can be easily matched to sales records. 8. **Lowered Debt Collection Efforts**: The risk of non-payment is significantly reduced, as payment is secured at the point of sale. This minimizes the need for debt collection activities and associated costs. 9. **Enhanced Reporting and Analysis**: Many credit card processing platforms offer analytical tools that provide insights into sales trends, customer spending patterns, and transaction volumes, facilitating better financial analysis and decision-making. 10. **Policy Review and Adjustment**: With fewer issues related to credit risk and collections, businesses can focus their policy review efforts on optimizing transaction fees, negotiating better rates with credit card processors, and improving customer payment experiences. While credit card payments can streamline many operational aspects of credit management, businesses should also consider the costs associated with credit card processing, including transaction fees and chargeback risks. However, for many businesses, the benefits of improved cash flow, reduced administrative burden, and lower credit risk make accepting credit card payments an attractive alternative to offering net terms.

Card remains the most secure, efficient and mutually beneficial payment method method when implemented along the proper card acceptance policy. “cards help guarantee that payments are tendered on the right date, with the right amount, and according to the terms agreed upon by buyers and suppliers.” https://hubs.ly/Q02lMBFk0

Should you offer terms or utilize alternative collection tools such as card? Offering both card & net terms to your customers can be a powerful strategy to strengthen relationships and fuel sales growth. It allows clients the flexibility to manage their cash flow more effectively, potentially leading to larger orders and more frequent purchases. However, net terms does come with its share of considerations: 1. **Credit Risk**: Extending credit increases the risk of late or non-payment, potentially impacting your revenue. 2. **Cash Flow Impact**: Delayed payments can strain your cash flow, crucial for the smooth operation of your business. 3. **Operational Overhead**: Managing accounts receivable requires resources, from conducting credit assessments to following up on overdue payments. 4. **Potential for Bad Debt**: Non-payment requires writing off the debt, directly affecting your bottom line. 5. **Interest Rate Exposure**: Borrowing to cover cash flow during payment delays can lead to increased borrowing costs. 6. **Opportunity Cost**: Funds tied in receivables could be allocated elsewhere, driving growth or investment. 7. **Customer Concentration Risk**: Heavy reliance on a few customers on net terms can pose significant financial risks. 8. **Legal and Collection Costs**: Recovering unpaid invoices can be costly and time-consuming. 9. **Reputation**: Aggressive collection tactics or disputes can damage valuable business relationships. 10. **Fraud Risk**: There's a chance of fraudulent activity, with clients receiving goods with no intention to pay. Mitigating these risks involves strategic measures such as implementing comprehensive credit control procedures, defining clear payment terms, and considering credit insurance for added protection. This balanced approach ensures you can extend net terms confidently, fostering growth while managing the associated risks effectively.

As middle market firms report to plan to leverage card products as a source of working capital, is your organization equipped with the proper card acceptance policy and procedure to accept? https://hubs.ly/Q02l0LgB0

Great overview on how to leverage working capital solutions provided through card with {{linkedin_mention(2642014|Plastiq)}} https://hubs.ly/Q02k8-tY0