{ "version": "https://jsonfeed.org/version/1.1", "user_comment": "This feed allows you to read the posts from this site in any feed reader that supports the JSON Feed format. To add this feed to your reader, copy the following URL -- https://www.pymnts.com/category/accounts-receivable/feed/json/ -- and add it your reader.", "next_url": "https://www.pymnts.com/category/accounts-receivable/feed/json/?paged=2", "home_page_url": "https://www.pymnts.com/category/accounts-receivable/", "feed_url": "https://www.pymnts.com/category/accounts-receivable/feed/json/", "language": "en-US", "title": "Accounts Receivable Archives | PYMNTS.com", "description": "What's next in payments and commerce", "icon": "https://www.pymnts.com/wp-content/uploads/2022/11/cropped-PYMNTS-Icon-512x512-1.png", "items": [ { "id": "https://www.pymnts.com/?p=2080168", "url": "https://www.pymnts.com/accounts-receivable/2024/agree-embeds-invoices-into-econtracts-speed-time-money-mid-market-businesses/", "title": "Agree Embeds Invoices Into eContracts to Speed Time to Money for Mid-Market Businesses", "content_html": "

In a world where time is money, the ability to streamline contracting and payment processes is more than just a convenience \u2014 it\u2019s a competitive advantage.

\n

Contracting and payment processes are notorious for being cumbersome, time-consuming and often riddled with inefficiencies. From the initiation of a contract to the final payment, businesses frequently find themselves mired in layers of friction that slow down operations and hinder cash flow.

\n

Whether you\u2019re a small, medium or large enterprise, the pain points associated with these processes are universally felt.

\n
\n

 

\n

\u201cAt the end of every signature, almost always, someone has to pay someone money,\u201d Marty Ringlein, co-founder of Agree.com, told PYMNTS CEO Karen Webster during a conversation with co-founder Will Hubbard.

\n

Despite this inevitable connection between signing contracts and making payments, the two processes often exist in disjointed, disconnected silos, Ringlein added. This separation leads to friction, delays and inefficiencies \u2014 problems that are not only frustrating, but also detrimental to business growth and efficiency.

\n

\u201cIt\u2019s back and forth over email, Word docs, PDFs, then you switch over to totally different software \u2026 eventually, things start to slip through the cracks,\u201d explained Hubbard. \u201cTo go from send, to sign, to get paid all in one platform is meaningful, particularly to mid-market groups, companies doing six to seven figures in revenue.\u201d

\n

Streamlining the Process With Contracting and Payment Processes

\n

One particularly problematic scenario that Ringlein highlighted involves investment agreements. After signing a SAFE agreement to invest in a company, investors are often left chasing confirmation of the transaction, with funds seemingly disappearing into the ether.

\n

The root of the problem lies in the fact that most businesses use separate, often outdated, systems for each step in the process. Ringlein noted that automated accounts receivable (AR) and accounts payable (AP) systems, which should ideally be able to communicate and trigger actions like payment confirmations, are often not connected. This disconnect forces businesses to rely on manual processes, further exacerbating delays and inefficiencies.

\n

\u201cThere\u2019s so much unnecessary back and forth, a lot of steps simply to get somebody paid,\u201d Ringlein said.

\n

He and Hubbard noted that their platform\u2019s approach to solving these issues relies on understanding every detail of a contract \u2014 down to the comma placement and payment terms. By doing so, the platform can automatically generate an invoice as soon as the contract is fully executed. This invoice can then be sent along with the signed agreement, complete with a secure payment link, allowing the entire process to be managed end-to-end in one seamless thread.

\n

The solution primarily targets the mid-market segment, which itself includes a diverse range of businesses, from independent contractors and small- to medium-sized businesses (SMBs) to B2B software companies. These businesses are often characterized by their reliance on contracts for revenue generation and their need to streamline operations to maintain competitiveness. Agree aims to replace the patchwork of tools currently in use, while also integrating with existing platforms where necessary.

\n

\u201cA lot of these legacy eSignature players, they mostly go after the sender,\u201d explained Ringlein. \u201cSo, in this case, a sales rep, but legal wants eyeballs into what\u2019s being changed on a document. Finance obviously wants eyeballs into what\u2019s happening. So, this is a collaborative place where those three siloed teams for the first time come together around the contract.\u201d

\n

Addressing Scalability and Overcoming Adoption Barriers

\n

One of the challenges Agree faces is ensuring that mid-market businesses are ready to embrace and integrate its solution. However, the founders said the response so far has been positive. Hubbard shared an anecdote from a conference where business owners cheered at the prospect of no longer having to pay for Docusign, reflecting the eagerness of many businesses to adopt a more integrated and cost-effective solution.

\n

And while the initial focus is on mid-market businesses, Agree has plans to move upmarket in the future, offering enterprise-grade features to larger companies. The platform\u2019s ability to integrate multiple layers of the contracting and payment process, including assigning different roles for signing and paying, makes it particularly appealing to businesses with more complex workflows.

\n

Ringlein and Hubbard said they also see potential in specific industries that have been slower to modernize, such as interior design and wedding photography. These sectors, characterized by their reliance on analog processes and the need for fast, secure payments, stand to benefit from Agree\u2019s solution. By increasing what Ringlein referred to as \u201csignature velocity,\u201d Agree works to help ensure that both parties are incentivized to move the process forward quickly, benefiting everyone involved.

\n

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.

\n

The post Agree Embeds Invoices Into eContracts to Speed Time to Money for Mid-Market Businesses appeared first on PYMNTS.com.

\n", "content_text": "In a world where time is money, the ability to streamline contracting and payment processes is more than just a convenience \u2014 it\u2019s a competitive advantage.\nContracting and payment processes are notorious for being cumbersome, time-consuming and often riddled with inefficiencies. From the initiation of a contract to the final payment, businesses frequently find themselves mired in layers of friction that slow down operations and hinder cash flow.\nWhether you\u2019re a small, medium or large enterprise, the pain points associated with these processes are universally felt.\n\n \n\u201cAt the end of every signature, almost always, someone has to pay someone money,\u201d Marty Ringlein, co-founder of Agree.com, told PYMNTS CEO Karen Webster during a conversation with co-founder Will Hubbard.\nDespite this inevitable connection between signing contracts and making payments, the two processes often exist in disjointed, disconnected silos, Ringlein added. This separation leads to friction, delays and inefficiencies \u2014 problems that are not only frustrating, but also detrimental to business growth and efficiency.\n\u201cIt\u2019s back and forth over email, Word docs, PDFs, then you switch over to totally different software \u2026 eventually, things start to slip through the cracks,\u201d explained Hubbard. \u201cTo go from send, to sign, to get paid all in one platform is meaningful, particularly to mid-market groups, companies doing six to seven figures in revenue.\u201d\nStreamlining the Process With Contracting and Payment Processes\nOne particularly problematic scenario that Ringlein highlighted involves investment agreements. After signing a SAFE agreement to invest in a company, investors are often left chasing confirmation of the transaction, with funds seemingly disappearing into the ether.\nThe root of the problem lies in the fact that most businesses use separate, often outdated, systems for each step in the process. Ringlein noted that automated accounts receivable (AR) and accounts payable (AP) systems, which should ideally be able to communicate and trigger actions like payment confirmations, are often not connected. This disconnect forces businesses to rely on manual processes, further exacerbating delays and inefficiencies.\n\u201cThere\u2019s so much unnecessary back and forth, a lot of steps simply to get somebody paid,\u201d Ringlein said.\nHe and Hubbard noted that their platform\u2019s approach to solving these issues relies on understanding every detail of a contract \u2014 down to the comma placement and payment terms. By doing so, the platform can automatically generate an invoice as soon as the contract is fully executed. This invoice can then be sent along with the signed agreement, complete with a secure payment link, allowing the entire process to be managed end-to-end in one seamless thread.\nThe solution primarily targets the mid-market segment, which itself includes a diverse range of businesses, from independent contractors and small- to medium-sized businesses (SMBs) to B2B software companies. These businesses are often characterized by their reliance on contracts for revenue generation and their need to streamline operations to maintain competitiveness. Agree aims to replace the patchwork of tools currently in use, while also integrating with existing platforms where necessary.\n\u201cA lot of these legacy eSignature players, they mostly go after the sender,\u201d explained Ringlein. \u201cSo, in this case, a sales rep, but legal wants eyeballs into what\u2019s being changed on a document. Finance obviously wants eyeballs into what\u2019s happening. So, this is a collaborative place where those three siloed teams for the first time come together around the contract.\u201d\nAddressing Scalability and Overcoming Adoption Barriers\nOne of the challenges Agree faces is ensuring that mid-market businesses are ready to embrace and integrate its solution. However, the founders said the response so far has been positive. Hubbard shared an anecdote from a conference where business owners cheered at the prospect of no longer having to pay for Docusign, reflecting the eagerness of many businesses to adopt a more integrated and cost-effective solution.\nAnd while the initial focus is on mid-market businesses, Agree has plans to move upmarket in the future, offering enterprise-grade features to larger companies. The platform\u2019s ability to integrate multiple layers of the contracting and payment process, including assigning different roles for signing and paying, makes it particularly appealing to businesses with more complex workflows.\nRinglein and Hubbard said they also see potential in specific industries that have been slower to modernize, such as interior design and wedding photography. These sectors, characterized by their reliance on analog processes and the need for fast, secure payments, stand to benefit from Agree\u2019s solution. By increasing what Ringlein referred to as \u201csignature velocity,\u201d Agree works to help ensure that both parties are incentivized to move the process forward quickly, benefiting everyone involved.\nFor all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.\nThe post Agree Embeds Invoices Into eContracts to Speed Time to Money for Mid-Market Businesses appeared first on PYMNTS.com.", "date_published": "2024-09-04T07:00:45-04:00", "date_modified": "2024-09-03T21:25:26-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/09/agree-e-contracts.jpg", "tags": [ "accounts payable", "Accounts Receivable", "Agree.com", "automation", "B2B", "B2B Payments", "commercial payments", "contracts", "Featured News", "Invoicing", "Marty Ringlein", "News", "PYMNTS News", "Will Hubbard" ] }, { "id": "https://www.pymnts.com/?p=2079753", "url": "https://www.pymnts.com/accounts-receivable/2024/the-hidden-cost-of-manual-ar-processes/", "title": "The Hidden Cost of Manual AR Processes", "content_html": "

It\u2019s almost 2025, but many enterprise firms are still chasing paper when it comes to their accounts receivable (AR).

\n

When faced with the choice between being buried in mounting piles of invoices or embracing the streamlined benefits of paperless processes, many organizations frequently choose to do nothing \u2014 preferring instead to struggle with outdated, manual AR processes that not only hinder cash flow but also stifle growth and innovation.

\n

\u201cIf I had to boil it down to two words, it\u2019s \u2018competitive advantage,\u2019\u201d Aaron LeHew, director of invoice-to-cash at Esker, told PYMNTS about embracing AR digitization and automation.

\n

\u201cOrganizations with well-oiled AR processes can rely on their own liquidity, reducing the need to tap into external financing,\u201d he added. \u201cThis allows them to invest in growth initiatives and other strategic priorities.\u201d

\n

In today\u2019s dynamic macro backdrop, cash flow is the lifeblood of any business, and the efficiency of an AR process is directly tied to a company\u2019s financial health and growth potential.

\n

At the same time, beyond financial benefits, a streamlined AR process can enhance customer and employee satisfaction.

\n

LeHew noted that 21st century business customers increasingly demand transparency, flexibility and ease of doing business. Simultaneously, their employees seek meaningful work and opportunities for growth \u2014 not just manual and repetitive tasks that sink them in drudgery.

\n

Automation in AR processes can address both needs, helping contribute to long-term business success.

\n

Read also: The High Cost of Manual AR Processes and What to Do About It

\n

The Impact of Outdated AR Processes Shouldn\u2019t Be Overlooked

\n

When examining the current state of AR programs, particularly within larger enterprises, LeHew said he has observed an ongoing shift toward more strategic roles and responsibilities.

\n

\u201cThere\u2019s a greater emphasis on continuous improvement and tracking the customer\u2019s journey,\u201d he explained. \u201cOrganizations are identifying gaps and addressing them to remain competitive.\u201d

\n

However, despite these advancements, many AR programs still rely on manual processes, which can lead to inefficiencies and bottlenecks.

\n

\u201cAs workloads increase, the issues with manual processes are exacerbated,\u201d LeHew said. \u201cWithout the ability to add headcount at the pace of growth, companies risk falling behind.\u201d

\n

Outdated AR processes can have far-reaching negative impacts on a business.

\n

\u201cWhen AR processes are outdated, organizations may struggle with delayed payments, cash flow issues and an inability to meet working capital needs,\u201d LeHew explained. \u201cThis can force companies to rely on external financing, which is not always ideal.\u201d

\n

Moreover, manual AR processes often involve repetitive, mundane tasks that can sap employee morale and productivity.

\n

\u201cEmployees may spend a significant portion of their day trying to determine what tasks to prioritize, rather than focusing on higher-value activities,\u201d LeHew said. \u201cThis can lead to a black hole of activities that aren\u2019t being tracked or managed effectively.\u201d

\n

See also: Payments Speed and Security Acceleration Driven by Behavioral Expectations

\n

The Strategic Importance of Efficient AR Processes

\n

Automation offers a solution to the challenges posed by manual AR processes. By using digital tools and technologies, organizations can streamline AR operations, improve cash flow visibility, and enhance both customer and employee experiences.

\n

\u201cAutomation can help organizations stay in front of customers, ensuring timely payments and addressing any issues that arise,\u201d LeHew said. \u201cIt also provides employees with clear priorities, allowing them to focus on high-priority tasks rather than mundane, repetitive work.\u201d

\n

Despite the clear benefits of automation, however, many organizations are hesitant to embrace it. LeHew pointed out that this hesitation often stems from a resistance to change, particularly among employees who may fear the disruption that automation could bring.

\n

\u201cChange is hard, and some people resist it because it impacts their world,\u201d LeHew said. \u201cIt\u2019s important to openly discuss where changes can make a positive impact and involve users early in the process. When users are part of the process of change, they are more likely to embrace it.\u201d

\n

For organizations looking to modernize their AR processes, finding the right partner is crucial. LeHew emphasized the importance of working with providers who offer strong change management support, including use-case scenarios, training and ongoing support during implementation.

\n

\u201cLook for a partner that can drive speed to value and provide the face time needed to ensure successful adoption,\u201d he said. \u201cChange management is key to realizing the full benefits of automation.\u201d

\n

As businesses continue to navigate an increasingly complex and competitive landscape, the need for efficient, automated AR processes is clear. By embracing automation, organizations can unlock competitive advantages, improve cash flow, and improve both customer and employee satisfaction.

\n

\u201cAutomation is not just about efficiency; it\u2019s about driving growth and ensuring that your business remains competitive in the long term,\u201d LeHew said.

\n

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.

\n

The post The Hidden Cost of Manual AR Processes appeared first on PYMNTS.com.

\n", "content_text": "It\u2019s almost 2025, but many enterprise firms are still chasing paper when it comes to their accounts receivable (AR).\nWhen faced with the choice between being buried in mounting piles of invoices or embracing the streamlined benefits of paperless processes, many organizations frequently choose to do nothing \u2014 preferring instead to struggle with outdated, manual AR processes that not only hinder cash flow but also stifle growth and innovation.\n\u201cIf I had to boil it down to two words, it\u2019s \u2018competitive advantage,\u2019\u201d Aaron LeHew, director of invoice-to-cash at Esker, told PYMNTS about embracing AR digitization and automation.\n\u201cOrganizations with well-oiled AR processes can rely on their own liquidity, reducing the need to tap into external financing,\u201d he added. \u201cThis allows them to invest in growth initiatives and other strategic priorities.\u201d\nIn today\u2019s dynamic macro backdrop, cash flow is the lifeblood of any business, and the efficiency of an AR process is directly tied to a company\u2019s financial health and growth potential.\nAt the same time, beyond financial benefits, a streamlined AR process can enhance customer and employee satisfaction.\nLeHew noted that 21st century business customers increasingly demand transparency, flexibility and ease of doing business. Simultaneously, their employees seek meaningful work and opportunities for growth \u2014 not just manual and repetitive tasks that sink them in drudgery.\nAutomation in AR processes can address both needs, helping contribute to long-term business success.\nRead also: The High Cost of Manual AR Processes and What to Do About It\nThe Impact of Outdated AR Processes Shouldn\u2019t Be Overlooked\nWhen examining the current state of AR programs, particularly within larger enterprises, LeHew said he has observed an ongoing shift toward more strategic roles and responsibilities.\n\u201cThere\u2019s a greater emphasis on continuous improvement and tracking the customer\u2019s journey,\u201d he explained. \u201cOrganizations are identifying gaps and addressing them to remain competitive.\u201d\nHowever, despite these advancements, many AR programs still rely on manual processes, which can lead to inefficiencies and bottlenecks.\n\u201cAs workloads increase, the issues with manual processes are exacerbated,\u201d LeHew said. \u201cWithout the ability to add headcount at the pace of growth, companies risk falling behind.\u201d\nOutdated AR processes can have far-reaching negative impacts on a business.\n\u201cWhen AR processes are outdated, organizations may struggle with delayed payments, cash flow issues and an inability to meet working capital needs,\u201d LeHew explained. \u201cThis can force companies to rely on external financing, which is not always ideal.\u201d\nMoreover, manual AR processes often involve repetitive, mundane tasks that can sap employee morale and productivity.\n\u201cEmployees may spend a significant portion of their day trying to determine what tasks to prioritize, rather than focusing on higher-value activities,\u201d LeHew said. \u201cThis can lead to a black hole of activities that aren\u2019t being tracked or managed effectively.\u201d\nSee also: Payments Speed and Security Acceleration Driven by Behavioral Expectations\nThe Strategic Importance of Efficient AR Processes\nAutomation offers a solution to the challenges posed by manual AR processes. By using digital tools and technologies, organizations can streamline AR operations, improve cash flow visibility, and enhance both customer and employee experiences.\n\u201cAutomation can help organizations stay in front of customers, ensuring timely payments and addressing any issues that arise,\u201d LeHew said. \u201cIt also provides employees with clear priorities, allowing them to focus on high-priority tasks rather than mundane, repetitive work.\u201d\nDespite the clear benefits of automation, however, many organizations are hesitant to embrace it. LeHew pointed out that this hesitation often stems from a resistance to change, particularly among employees who may fear the disruption that automation could bring.\n\u201cChange is hard, and some people resist it because it impacts their world,\u201d LeHew said. \u201cIt\u2019s important to openly discuss where changes can make a positive impact and involve users early in the process. When users are part of the process of change, they are more likely to embrace it.\u201d\nFor organizations looking to modernize their AR processes, finding the right partner is crucial. LeHew emphasized the importance of working with providers who offer strong change management support, including use-case scenarios, training and ongoing support during implementation.\n\u201cLook for a partner that can drive speed to value and provide the face time needed to ensure successful adoption,\u201d he said. \u201cChange management is key to realizing the full benefits of automation.\u201d\nAs businesses continue to navigate an increasingly complex and competitive landscape, the need for efficient, automated AR processes is clear. By embracing automation, organizations can unlock competitive advantages, improve cash flow, and improve both customer and employee satisfaction.\n\u201cAutomation is not just about efficiency; it\u2019s about driving growth and ensuring that your business remains competitive in the long term,\u201d LeHew said.\nFor all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.\nThe post The Hidden Cost of Manual AR Processes appeared first on PYMNTS.com.", "date_published": "2024-09-04T04:00:38-04:00", "date_modified": "2024-09-03T22:57:14-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/09/Esker-AR-automation.jpg", "tags": [ "Aaron LeHew", "Accounts Receivable", "automation", "B2B", "B2B Payments", "commercial payments", "digital transformation", "esker", "Featured News", "News", "PYMNTS News", "pymnts tv", "Technology", "video" ] }, { "id": "https://www.pymnts.com/?post_type=tracker_posts&p=2054984", "url": "https://www.pymnts.com/tracker_posts/businesses-at-risk-the-high-cost-of-manual-ar-processes-and-what-to-do-about-it/", "title": "Businesses at Risk: The High Cost of Manual AR Processes and What to Do About It", "content_html": "

The speed of business today demands agility, yet outdated accounts receivable (AR) processes remain a stubborn bottleneck for many organizations. Increasingly, the complexity and volume of invoices threaten to overwhelm manual systems, leaving businesses even more vulnerable to inefficiencies and lost revenue. In the face of these challenges, AR automation is no longer a luxury but a necessity. It provides a path to streamlined operations, clearer financial visibility and sustained growth. However, for many businesses concerned about complexity and disruption, the promise of AR automation hinges on solutions that are both powerful and intuitive. These solutions must act as a bridge to the future without disrupting the present.

\n\n

The Invoice Avalanche: How Outdated AR Threatens Cash Flow

\n

While Silicon Valley is racing to build the next artificial intelligence (AI) unicorn, many businesses are drowning in paper invoices. This mismatch is not just inefficient; it is a financial hazard waiting to detonate.

\n

Firms are gambling with outdated AR as a tsunami of digital invoices approaches.

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\n
\n
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Given that invoice volumes are projected to surge by 46% in the next three years, businesses are staring down a looming AR crisis. This is largely due to the 35% of firms that have not automated their AR processes and the 24% of AR teams that continue to rely on outdated spreadsheets. This critical gap between operational needs and automation adoption foreshadows cascading inefficiencies as transaction volumes grow, potentially hobbling businesses unprepared for a digital-first economy.

\n
\n
\n

59%

\n

of U.S. businesses link poor cash flow and forecasting to outdated manual AR methods.

\n
\n
\n
\n

Manual AR leaves firms suffocating under the weight of payments backlog.

\n

Manual AR processes pose an existential threat to businesses in the U.S. In a recent study, half of firms surveyed lament excessive time wasted on processing AR, and 44% struggle with delinquent payments collection. An alarming 43% of organizations report confronting too many late or delinquent payments, while 46% find it difficult to reduce days sales outstanding (DSO). This pattern of inefficient resource allocation and diminished productivity underscores the growing incompatibility of manual AR processes with the pace and complexity of modern business transactions. Consequently, many businesses face a competitive disadvantage in an increasingly digital economy.

\n

Manual AR processes drain cash and threaten financial health.

\n

Fifty-nine percent of businesses in the U.S. attribute poor cash flow and forecasting to outdated manual AR methods. In addition, 57% cite difficulties in managing credit risk. Even more troubling, 21% of AR teams relying on manual processes find it challenging to determine fundamental financial measures such as the credit-sales-to-AR ratio. The inability to use critical financial data creates a ripple effect that can distort strategic decision-making and severely limit business agility.

\n

AR Automation Paralysis: What Is Really Holding Companies Back?

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The AR automation train is leaving the station, and too many companies are still fumbling for their tickets. Countless businesses remain on the platform, paralyzed by a mix of budget constraints, tech trepidation and resistance to change. The costs compound daily.

\n

Budget constraints leave firms in AR automation limbo.

\n
\n
\n
\n

96%

\n

of mid-sized firms struggle with barriers to adopting AR automation.

\n
\n
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PYMNTS Intelligence\u2019s research reveals that an overwhelming 96% of mid-sized firms face barriers to adopting AR automation. Cost remains the primary roadblock, with nearly half halting automation plans due to the hefty price tag. Additionally, 37% of executives at these firms have paused or scrapped automation initiatives, fearing the time involved in bringing staff up to speed. This widespread hesitation threatens to leave companies in financial quicksand as competitors race ahead with automation. The longer businesses delay, the wider the efficiency gap grows.

\n
\n
\n
\n

Security and technology hurdles are stumbling some firms.

\n

Security concerns loom nearly as large, with 47% of executives at mid-sized businesses identifying security as a critical barrier, second only to cost. The situation is similarly challenging for larger businesses. In a separate study, PYMNTS Intelligence found that 80% of CFOs at firms with annual revenues exceeding $250 million say the excessive complexity of automated AR workflows cripples their ability to reduce DSO. Equally frustrating for these CFOs is the lack of on-call advisory services, further impeding DSO reduction efforts. This combination of security fears and implementation hurdles acts to widen the gap between automation leaders and laggards.

\n

Alleviating Manual AR Headaches

\n

For businesses, automated AR unlocks a wealth of insights and efficiencies. In a landscape where cash flow is paramount, AR automation is not just an upgrade \u2014 it is the new table stakes for optimized cash flow.

\n
\n
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AR automation rewires financial operations for digital-first success.

\n

U.S. Bank launched a comprehensive AR platform that integrates invoicing, payments, cash application, collections and credit management for suppliers. Meanwhile, AI-driven solutions, such as Esker Cash Application, are pushing the envelope further, employing advanced remittance management and auto-matching for payment reconciliation. This is the promise of digital automation \u2014 financial control and greater business agility.

\n
\n
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75%

\n

of AR executives at middle-market firms report improved cash flow and savings after AR automation.

\n
\n
\n
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Cold, hard numbers are driving interest in AR automation.

\n

Among adopters, AR automation is delivering a knockout punch to inefficiency, with 83% of AR executives reporting enhanced process efficiency and accuracy. Seventy-five percent also cite improved cash flow and increased savings, directly impacting business growth. These benefits extend beyond middle-market companies. More than one-third of smaller U.S. companies report improved cash position visibility, while nearly one-third are slashing AR processing times. These metrics underscore AR automation\u2019s potential to generate improvements across the financial board.

\n

AR automation fever shows no signs of breaking.

\n

PYMNTS Intelligence research also found that 93% of AR executives anticipate further improvements from more comprehensive automation. For example, more than half expect improved data availability, a key factor for strategic decision-making. Perhaps the greatest warning to the holdouts, 82% of AR teams using automation report increased overall effectiveness. This signals a widening chasm between \u201cthe automated\u201d and \u201cthe manual\u201d in the race for optimized AR.

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Ditch the Paper Chase: The 5-Step Guide to Automating AR

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As invoices pile up and cash flow tightens, forward-thinking AR teams are discovering a powerful ally in AR automation. For others, however, the path forward feels uncertain. In this reluctance lies a hidden cost \u2014 one measured not only in dollars and cents but also in missed opportunities and stunted growth. The good news is that the tools to transform AR from a headache into a driver of efficiency and growth are within reach.

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PYMNTS Intelligence prescribes the following actionable roadmap for businesses wrestling with manual AR.

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    \n
  1. Audit and analyze processes. Identify your firm\u2019s most time-consuming and error-prone AR tasks and quantify their financial impact. This data-driven approach will make a compelling business case for AR automation, showcasing potential return on investment (ROI) to key stakeholders.
    2. \n
  2. Find the right fit for the need. Explore AR automation solutions that align with your firm\u2019s size, industry and growth goals. Consider factors such as scalability, integration capabilities and ease of use when evaluating potential provider partners. Prioritize solutions offering customizable dashboards and real-time reporting to improve financial visibility.
    3. \n
  3. Consider AI an ally. Embrace AI-driven tools for tasks such as matching incoming payments to invoices (cash application) and processing remittance information. Look for AI solutions that can predict payment behavior and offer actionable insights, not only speeding up AR processing but also improving accuracy. Use these tools to free up your team for higher-value, strategic work, such as building stronger customer relationships and proactively managing credit risk.
    4. \n
  4. Go for a strategic rollout, not a big bang. Start with a pilot implementation in a high-impact area such as invoicing or collections. This allows your AR team to test the waters, refine the application and build internal buy-in for a wider rollout. Develop clear success metrics for the pilot and use the results to fine-tune a full implementation strategy.
    5. \n
  5. Seek AR partners, not just providers. Look for AR automation partners who understand your firm\u2019s industry and business challenges. Collaborate with those also offering strategic guidance and ongoing support to ensure your AR team\u2019s success in the long run.
    6. \n
\n

In the machinery of digital-first business, manual AR is a hand-weaving tool amid power looms. Savvy firms use AR automation to reinforce the very fabric of their businesses with optimized cash flow management and operational efficiency.

\n
\n
\"Ari
\n
\n
\n
\n

As the responsibilities and priorities of the office of the CFO continue to expand, so too does the complementary role that AR teams play in helping to contain costs, reduce DSO and preserve customer relationships. Automation solutions \u2014 particularly those driven by AI technologies \u2014 are a key tool for achieving these goals by way of faster processes, improved decision-making and better business outcomes.\u201d

\n
Ari Widlansky
\nManaging Director and U.S. COO
\n
\n
\n
\n

The post Businesses at Risk: The High Cost of Manual AR Processes and What to Do About It appeared first on PYMNTS.com.

\n", "content_text": "The speed of business today demands agility, yet outdated accounts receivable (AR) processes remain a stubborn bottleneck for many organizations. Increasingly, the complexity and volume of invoices threaten to overwhelm manual systems, leaving businesses even more vulnerable to inefficiencies and lost revenue. In the face of these challenges, AR automation is no longer a luxury but a necessity. It provides a path to streamlined operations, clearer financial visibility and sustained growth. However, for many businesses concerned about complexity and disruption, the promise of AR automation hinges on solutions that are both powerful and intuitive. These solutions must act as a bridge to the future without disrupting the present.\n\n The Invoice Avalanche: How Outdated AR Threatens Cash Flow\n AR Automation Paralysis: What Is Really Holding Companies Back?\n Alleviating Manual AR Headaches\n Ditch the Paper Chase: The 5-Step Guide to Automating AR\n\nThe Invoice Avalanche: How Outdated AR Threatens Cash Flow\nWhile Silicon Valley is racing to build the next artificial intelligence (AI) unicorn, many businesses are drowning in paper invoices. This mismatch is not just inefficient; it is a financial hazard waiting to detonate.\nFirms are gambling with outdated AR as a tsunami of digital invoices approaches.\n\n\n\nGiven that invoice volumes are projected to surge by 46% in the next three years, businesses are staring down a looming AR crisis. This is largely due to the 35% of firms that have not automated their AR processes and the 24% of AR teams that continue to rely on outdated spreadsheets. This critical gap between operational needs and automation adoption foreshadows cascading inefficiencies as transaction volumes grow, potentially hobbling businesses unprepared for a digital-first economy.\n\n\n59%\nof U.S. businesses link poor cash flow and forecasting to outdated manual AR methods.\n\n\n\nManual AR leaves firms suffocating under the weight of payments backlog.\nManual AR processes pose an existential threat to businesses in the U.S. In a recent study, half of firms surveyed lament excessive time wasted on processing AR, and 44% struggle with delinquent payments collection. An alarming 43% of organizations report confronting too many late or delinquent payments, while 46% find it difficult to reduce days sales outstanding (DSO). This pattern of inefficient resource allocation and diminished productivity underscores the growing incompatibility of manual AR processes with the pace and complexity of modern business transactions. Consequently, many businesses face a competitive disadvantage in an increasingly digital economy.\nManual AR processes drain cash and threaten financial health.\nFifty-nine percent of businesses in the U.S. attribute poor cash flow and forecasting to outdated manual AR methods. In addition, 57% cite difficulties in managing credit risk. Even more troubling, 21% of AR teams relying on manual processes find it challenging to determine fundamental financial measures such as the credit-sales-to-AR ratio. The inability to use critical financial data creates a ripple effect that can distort strategic decision-making and severely limit business agility.\nAR Automation Paralysis: What Is Really Holding Companies Back?\nThe AR automation train is leaving the station, and too many companies are still fumbling for their tickets. Countless businesses remain on the platform, paralyzed by a mix of budget constraints, tech trepidation and resistance to change. The costs compound daily.\nBudget constraints leave firms in AR automation limbo.\n\n\n\n96%\nof mid-sized firms struggle with barriers to adopting AR automation.\n\n\nPYMNTS Intelligence\u2019s research reveals that an overwhelming 96% of mid-sized firms face barriers to adopting AR automation. Cost remains the primary roadblock, with nearly half halting automation plans due to the hefty price tag. Additionally, 37% of executives at these firms have paused or scrapped automation initiatives, fearing the time involved in bringing staff up to speed. This widespread hesitation threatens to leave companies in financial quicksand as competitors race ahead with automation. The longer businesses delay, the wider the efficiency gap grows.\n\n\n\nSecurity and technology hurdles are stumbling some firms.\nSecurity concerns loom nearly as large, with 47% of executives at mid-sized businesses identifying security as a critical barrier, second only to cost. The situation is similarly challenging for larger businesses. In a separate study, PYMNTS Intelligence found that 80% of CFOs at firms with annual revenues exceeding $250 million say the excessive complexity of automated AR workflows cripples their ability to reduce DSO. Equally frustrating for these CFOs is the lack of on-call advisory services, further impeding DSO reduction efforts. This combination of security fears and implementation hurdles acts to widen the gap between automation leaders and laggards.\nAlleviating Manual AR Headaches\nFor businesses, automated AR unlocks a wealth of insights and efficiencies. In a landscape where cash flow is paramount, AR automation is not just an upgrade \u2014 it is the new table stakes for optimized cash flow.\n\n\n\nAR automation rewires financial operations for digital-first success.\nU.S. Bank launched a comprehensive AR platform that integrates invoicing, payments, cash application, collections and credit management for suppliers. Meanwhile, AI-driven solutions, such as Esker Cash Application, are pushing the envelope further, employing advanced remittance management and auto-matching for payment reconciliation. This is the promise of digital automation \u2014 financial control and greater business agility.\n\n\n75%\nof AR executives at middle-market firms report improved cash flow and savings after AR automation.\n\n\n\nCold, hard numbers are driving interest in AR automation.\nAmong adopters, AR automation is delivering a knockout punch to inefficiency, with 83% of AR executives reporting enhanced process efficiency and accuracy. Seventy-five percent also cite improved cash flow and increased savings, directly impacting business growth. These benefits extend beyond middle-market companies. More than one-third of smaller U.S. companies report improved cash position visibility, while nearly one-third are slashing AR processing times. These metrics underscore AR automation\u2019s potential to generate improvements across the financial board.\nAR automation fever shows no signs of breaking.\nPYMNTS Intelligence research also found that 93% of AR executives anticipate further improvements from more comprehensive automation. For example, more than half expect improved data availability, a key factor for strategic decision-making. Perhaps the greatest warning to the holdouts, 82% of AR teams using automation report increased overall effectiveness. This signals a widening chasm between \u201cthe automated\u201d and \u201cthe manual\u201d in the race for optimized AR.\nDitch the Paper Chase: The 5-Step Guide to Automating AR\nAs invoices pile up and cash flow tightens, forward-thinking AR teams are discovering a powerful ally in AR automation. For others, however, the path forward feels uncertain. In this reluctance lies a hidden cost \u2014 one measured not only in dollars and cents but also in missed opportunities and stunted growth. The good news is that the tools to transform AR from a headache into a driver of efficiency and growth are within reach.\nPYMNTS Intelligence prescribes the following actionable roadmap for businesses wrestling with manual AR.\n\nAudit and analyze processes. Identify your firm\u2019s most time-consuming and error-prone AR tasks and quantify their financial impact. This data-driven approach will make a compelling business case for AR automation, showcasing potential return on investment (ROI) to key stakeholders.\nFind the right fit for the need. Explore AR automation solutions that align with your firm\u2019s size, industry and growth goals. Consider factors such as scalability, integration capabilities and ease of use when evaluating potential provider partners. Prioritize solutions offering customizable dashboards and real-time reporting to improve financial visibility.\nConsider AI an ally. Embrace AI-driven tools for tasks such as matching incoming payments to invoices (cash application) and processing remittance information. Look for AI solutions that can predict payment behavior and offer actionable insights, not only speeding up AR processing but also improving accuracy. Use these tools to free up your team for higher-value, strategic work, such as building stronger customer relationships and proactively managing credit risk.\nGo for a strategic rollout, not a big bang. Start with a pilot implementation in a high-impact area such as invoicing or collections. This allows your AR team to test the waters, refine the application and build internal buy-in for a wider rollout. Develop clear success metrics for the pilot and use the results to fine-tune a full implementation strategy.\nSeek AR partners, not just providers. Look for AR automation partners who understand your firm\u2019s industry and business challenges. Collaborate with those also offering strategic guidance and ongoing support to ensure your AR team\u2019s success in the long run.\n\nIn the machinery of digital-first business, manual AR is a hand-weaving tool amid power looms. Savvy firms use AR automation to reinforce the very fabric of their businesses with optimized cash flow management and operational efficiency.\n\n\n\n\n\n As the responsibilities and priorities of the office of the CFO continue to expand, so too does the complementary role that AR teams play in helping to contain costs, reduce DSO and preserve customer relationships. Automation solutions \u2014 particularly those driven by AI technologies \u2014 are a key tool for achieving these goals by way of faster processes, improved decision-making and better business outcomes.\u201d\nAri Widlansky\nManaging Director and U.S. COO\n\n\n\nThe post Businesses at Risk: The High Cost of Manual AR Processes and What to Do About It appeared first on PYMNTS.com.", "date_published": "2024-08-26T04:02:21-04:00", "date_modified": "2024-08-29T20:49:21-04:00", "authors": [ { "name": "Ashley McLeod", "url": "https://www.pymnts.com/author/amcleod/", "avatar": "https://secure.gravatar.com/avatar/5fcbfee0fc4dc81613187d709d661036?s=512&d=blank&r=g" } ], "author": { "name": "Ashley McLeod", "url": "https://www.pymnts.com/author/amcleod/", "avatar": "https://secure.gravatar.com/avatar/5fcbfee0fc4dc81613187d709d661036?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/08/accounts-receivable-automation-AI.jpg", "tags": [ "Accounts Receivable", "Accounts Receivable Automation", "AR", "AR automation", "automation", "B2B", "B2B Payments", "commercial payments", "digital transformation", "esker", "Featured News", "News", "PYMNTS Intelligence", "PYMNTS News", "Tracker Series" ] }, { "id": "https://www.pymnts.com/?p=2015645", "url": "https://www.pymnts.com/accounts-receivable/2024/us-bank-and-billtrust-partner-on-ar-platform-for-suppliers/", "title": "US Bank and Billtrust Partner on AR Platform for Suppliers", "content_html": "

U.S. Bank has introduced an automated, comprehensive accounts receivable (AR) platform designed for suppliers.

\n

The U.S. Bank Advanced Receivables platform was created in partnership with Billtrust and combines the bank\u2019s payment and risk management capabilities with Billtrust\u2019s AR technology, the bank said in a Tuesday (July 23) press release.

\n

The platform is designed to help suppliers deal with the challenges they face from the time they receive an order until the cash is in their account, including manual and paper-based steps, a cumbersome credit process, billing errors and payment delays, Alberto Casas, head of product for U.S. Bank Global Treasury Management, said in the release.

\n

\u201cWith U.S. Bank Advanced Receivables, businesses can transform their entire receivables process to drive down costs and gain real-time visibility into their financial position and cash flow,\u201d Casas said.

\n

The platform\u2019s capabilities encompass invoicing, payments, cash application, collections and credit, according to the release.

\n

Together, these capabilities can help suppliers accelerate cash flow, cut costs and deliver better payment experiences, the release said.

\n

U.S. Bank Advanced Receivables complements another solution the bank has offered since 2021: the U.S. Bank AP Optimizer, which automates accounts payable (AP) processes, from invoice receipt to payment disbursement, per the release.

\n

PYMNTS Intelligence has found that chief financial officers (CFOs) are looking at automation to improve their AR processes.

\n

Specifically, CFOs are seeking to improve AR functionality and efficiency, tackle payment delays and errors, and streamline AR processes by eliminating the need for archaic manual procedures, according to \u201cAutomation Clears the Path to Getting Paid on Time,\u201d a PYMNTS Intelligence and Billtrust collaboration.

\n

The report also found that 67% of CFOs said their firms \u201cprobably\u201d need more automation and 27% said they \u201cdefinitely\u201d need more.

\n

U.S. Bank launched another tool designed for businesses in October 2023 \u2014 the Avvance offering that lets businesses offer consumer financing at the point of sale. The bank said at the time that this \u201cembedded, multi-channel point-of-sale lending solution\u201d for businesses lets shoppers pay over time with personalized loan options available during checkout.

\n

In September 2023, the bank introduced an online third-party payment/treasury solution marketplace called the Connected Partnership Network.

\n

The post US Bank and Billtrust Partner on AR Platform for Suppliers appeared first on PYMNTS.com.

\n", "content_text": "U.S. Bank has introduced an automated, comprehensive accounts receivable (AR) platform designed for suppliers.\nThe U.S. Bank Advanced Receivables platform was created in partnership with Billtrust and combines the bank\u2019s payment and risk management capabilities with Billtrust\u2019s AR technology, the bank said in a Tuesday (July 23) press release.\nThe platform is designed to help suppliers deal with the challenges they face from the time they receive an order until the cash is in their account, including manual and paper-based steps, a cumbersome credit process, billing errors and payment delays, Alberto Casas, head of product for U.S. Bank Global Treasury Management, said in the release.\n\u201cWith U.S. Bank Advanced Receivables, businesses can transform their entire receivables process to drive down costs and gain real-time visibility into their financial position and cash flow,\u201d Casas said.\nThe platform\u2019s capabilities encompass invoicing, payments, cash application, collections and credit, according to the release.\nTogether, these capabilities can help suppliers accelerate cash flow, cut costs and deliver better payment experiences, the release said.\nU.S. Bank Advanced Receivables complements another solution the bank has offered since 2021: the U.S. Bank AP Optimizer, which automates accounts payable (AP) processes, from invoice receipt to payment disbursement, per the release.\nPYMNTS Intelligence has found that chief financial officers (CFOs) are looking at automation to improve their AR processes.\nSpecifically, CFOs are seeking to improve AR functionality and efficiency, tackle payment delays and errors, and streamline AR processes by eliminating the need for archaic manual procedures, according to \u201cAutomation Clears the Path to Getting Paid on Time,\u201d a PYMNTS Intelligence and Billtrust collaboration.\nThe report also found that 67% of CFOs said their firms \u201cprobably\u201d need more automation and 27% said they \u201cdefinitely\u201d need more.\nU.S. Bank launched another tool designed for businesses in October 2023 \u2014 the Avvance offering that lets businesses offer consumer financing at the point of sale. The bank said at the time that this \u201cembedded, multi-channel point-of-sale lending solution\u201d for businesses lets shoppers pay over time with personalized loan options available during checkout.\nIn September 2023, the bank introduced an online third-party payment/treasury solution marketplace called the Connected Partnership Network.\nThe post US Bank and Billtrust Partner on AR Platform for Suppliers appeared first on PYMNTS.com.", "date_published": "2024-07-23T17:12:11-04:00", "date_modified": "2024-07-23T17:12:11-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/07/US-Bank-Billtrust.jpg", "tags": [ "Accounts Receivable", "Alberto Casas", "AR", "automation", "B2B", "B2B Payments", "Billtrust", "commercial payments", "News", "PYMNTS News", "U.S. Bank Advanced Receivables", "US Bank", "What's Hot", "What's Hot In B2B" ] }, { "id": "https://www.pymnts.com/?p=1967224", "url": "https://www.pymnts.com/accounts-receivable/2024/goodbye-checks-hello-progress-ar-automation-unlocks-growth-potential/", "title": "Goodbye Checks, Hello Progress: AR Automation Unlocks Growth Potential", "content_html": "

Commercial payments are never just payments. More than the money movement itself, business payments comprise the workflows and data surrounding and supporting them.

\n

Ultimately, commercial payments help define and dictate the end-to-end experience a business can provide its customers.

\n

\u201cHelping our customers move to a more automated payment transaction and provide their customers with a frictionless process is the biggest benefit,\u201d Ari Widlansky, managing director and U.S. chief operating officer at Esker, told PYMNTS.

\n

\u201cBy improving the transaction experience, it makes that customer stickier,\u201d Widlansky added.

\n

Getting paid is crucial to the livelihood of businesses, no matter their size, and that makes the accounts receivable (AR) function critical to growth. The shift from legacy payment systems to digital solutions is proving to not be just a trend \u2014 but a necessity.

\n

As Widlansky explained, the multifaceted benefits of digitizing the AR function can help unlock downstream improvements in both operational efficiency and customer experience.

\n

Still, despite the proliferation and attractive positioning of digital payment options, many businesses rely heavily on traditional methods such as checks.

\n

\u201cChecks are still a big part of payments,\u201d Widlansky said. \u201cSurprisingly, 20% to 30% is not an uncommon number to hear.\u201d

\n

This reliance on outdated methods can be attributed to various factors, including familiarity, inertia and a lack of resources or knowledge to implement digital solutions, he said.

\n

As he emphasized, there is no better time than now for businesses to catch up to the 21st century and embrace the benefits of digitizing their AR programs.

\n

Substituting Digital for Legacy Payments

\n

Legacy payment systems come with a host of inefficiencies and risks. Manual processing of checks and other paper-based methods can lead to errors, delays and increased operational costs, while outdated payment methods can erode customer loyalty and satisfaction.

\n

On top of all that, the lack of real-time visibility into cash flow can hinder decision-making and negatively impact working capital management.

\n

Conversely, as highlighted by Widlansky, one of the advantages of digital payments is the real-time visibility they offer into financial data. By embracing digital AR solutions, businesses can track transactions, monitor cash flow and make informed decisions quickly.

\n

\u201cIt\u2019s not just the visibility, it\u2019s the real-time visibility and being able to take that data and transact and make decisions based on that data in real time,\u201d said Widlansky. \u201cThis is where you can unlock value across the entire invoice-to-cash experience.\u201d

\n

Automating the AR process also reduces the manual effort required, allowing employees to focus on more value-added tasks. This efficiency can lead to cost savings and improved productivity across the organization.

\n

At the same time, Widlansky explained that digital AR solutions provide the flexibility needed to scale operations, whether domestically or globally. They support mergers, acquisitions and other growth initiatives by integrating seamlessly with existing systems.

\n

Digital payments also provide a seamless and frictionless experience for customers. The ease of transaction can strengthen customer relationships and enhance brand loyalty.

\n

Read also: Getting Paid: Digital Payments for Improving Cash Flow and Customer Experience

\n

Driving Down DSO and Building Stronger Bonds

\n

Despite the benefits, some businesses hesitate to transition to digital payments.

\n

Common barriers include a lack of resources, resistance to change and concerns about the complexity of implementation. Widlansky emphasized the importance of change management and organizational readiness, saying, \u201cChange management is key to a successful implementation. Ensuring that internal teams are organized and committed to the initiative is crucial.\u201d

\n

\u201cWhen you go from paper to digital, there\u2019s a change period \u2026 and that change needs to be managed,\u201d he added. \u201cIt\u2019s easy to fall back on, \u2018This is what we\u2019ve always done in the past and I\u2019m used to this.\u2019\u201d

\n

Looking ahead, the potential for innovation in the digital payment space is immense, and Widlansky noted that there\u2019s an ongoing and substantial shift in mindset from using digital AR programs to merely address a pain toward viewing AR automation as a way to unlock growth.

\n

The integration of artificial intelligence and machine learning is also set to further enhance the capabilities of digital payment systems. These technologies can provide deeper insights into customer behavior, optimize payment processes and even predict future trends.

\n

\u201cEsker is at the forefront of AI integration, with 25% of our 1,100 employees worldwide focused on R&D,\u201d noted Widlansky.

\n

This focus on innovation ensures businesses can stay ahead of the curve and continuously improve their operations.

\n

By embracing digital payments, businesses can unlock efficiencies, enhance customer experience and position themselves for sustained growth.

\n

As Widlansky summarized, \u201cDefine what success means for your company upfront. This can save you so much time, energy and resources.\u201d

\n

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.

\n

The post Goodbye Checks, Hello Progress: AR Automation Unlocks Growth Potential appeared first on PYMNTS.com.

\n", "content_text": "Commercial payments are never just payments. More than the money movement itself, business payments comprise the workflows and data surrounding and supporting them.\nUltimately, commercial payments help define and dictate the end-to-end experience a business can provide its customers.\n\u201cHelping our customers move to a more automated payment transaction and provide their customers with a frictionless process is the biggest benefit,\u201d Ari Widlansky, managing director and U.S. chief operating officer at Esker, told PYMNTS.\n\u201cBy improving the transaction experience, it makes that customer stickier,\u201d Widlansky added.\nGetting paid is crucial to the livelihood of businesses, no matter their size, and that makes the accounts receivable (AR) function critical to growth. The shift from legacy payment systems to digital solutions is proving to not be just a trend \u2014 but a necessity.\nAs Widlansky explained, the multifaceted benefits of digitizing the AR function can help unlock downstream improvements in both operational efficiency and customer experience.\nStill, despite the proliferation and attractive positioning of digital payment options, many businesses rely heavily on traditional methods such as checks.\n\u201cChecks are still a big part of payments,\u201d Widlansky said. \u201cSurprisingly, 20% to 30% is not an uncommon number to hear.\u201d\nThis reliance on outdated methods can be attributed to various factors, including familiarity, inertia and a lack of resources or knowledge to implement digital solutions, he said.\nAs he emphasized, there is no better time than now for businesses to catch up to the 21st century and embrace the benefits of digitizing their AR programs.\nSubstituting Digital for Legacy Payments\nLegacy payment systems come with a host of inefficiencies and risks. Manual processing of checks and other paper-based methods can lead to errors, delays and increased operational costs, while outdated payment methods can erode customer loyalty and satisfaction.\nOn top of all that, the lack of real-time visibility into cash flow can hinder decision-making and negatively impact working capital management.\nConversely, as highlighted by Widlansky, one of the advantages of digital payments is the real-time visibility they offer into financial data. By embracing digital AR solutions, businesses can track transactions, monitor cash flow and make informed decisions quickly.\n\u201cIt\u2019s not just the visibility, it\u2019s the real-time visibility and being able to take that data and transact and make decisions based on that data in real time,\u201d said Widlansky. \u201cThis is where you can unlock value across the entire invoice-to-cash experience.\u201d\nAutomating the AR process also reduces the manual effort required, allowing employees to focus on more value-added tasks. This efficiency can lead to cost savings and improved productivity across the organization.\nAt the same time, Widlansky explained that digital AR solutions provide the flexibility needed to scale operations, whether domestically or globally. They support mergers, acquisitions and other growth initiatives by integrating seamlessly with existing systems.\nDigital payments also provide a seamless and frictionless experience for customers. The ease of transaction can strengthen customer relationships and enhance brand loyalty.\nRead also: Getting Paid: Digital Payments for Improving Cash Flow and Customer Experience\nDriving Down DSO and Building Stronger Bonds\nDespite the benefits, some businesses hesitate to transition to digital payments.\nCommon barriers include a lack of resources, resistance to change and concerns about the complexity of implementation. Widlansky emphasized the importance of change management and organizational readiness, saying, \u201cChange management is key to a successful implementation. Ensuring that internal teams are organized and committed to the initiative is crucial.\u201d\n\u201cWhen you go from paper to digital, there\u2019s a change period \u2026 and that change needs to be managed,\u201d he added. \u201cIt\u2019s easy to fall back on, \u2018This is what we\u2019ve always done in the past and I\u2019m used to this.\u2019\u201d\nLooking ahead, the potential for innovation in the digital payment space is immense, and Widlansky noted that there\u2019s an ongoing and substantial shift in mindset from using digital AR programs to merely address a pain toward viewing AR automation as a way to unlock growth.\nThe integration of artificial intelligence and machine learning is also set to further enhance the capabilities of digital payment systems. These technologies can provide deeper insights into customer behavior, optimize payment processes and even predict future trends.\n\u201cEsker is at the forefront of AI integration, with 25% of our 1,100 employees worldwide focused on R&D,\u201d noted Widlansky.\nThis focus on innovation ensures businesses can stay ahead of the curve and continuously improve their operations.\nBy embracing digital payments, businesses can unlock efficiencies, enhance customer experience and position themselves for sustained growth.\nAs Widlansky summarized, \u201cDefine what success means for your company upfront. This can save you so much time, energy and resources.\u201d\nFor all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.\nThe post Goodbye Checks, Hello Progress: AR Automation Unlocks Growth Potential appeared first on PYMNTS.com.", "date_published": "2024-06-27T04:02:30-04:00", "date_modified": "2024-06-26T21:37:42-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/06/paper-checks-pymnts-tv.jpg", "tags": [ "Accounts Receivable", "Ari Widlansky", "automation", "B2B", "B2B Payments", "commercial payments", "Digital Payments", "digital transformation", "esker", "Featured News", "News", "PYMNTS News", "pymnts tv", "video" ] }, { "id": "https://www.pymnts.com/?p=1961912", "url": "https://www.pymnts.com/accounts-receivable/2024/40seas-launches-ai-powered-global-accounts-receivable-platform/", "title": "40Seas Launches AI-Powered Global Accounts Receivable Platform", "content_html": "

40Seas has launched a Global Accounts Receivable platform that is powered by artificial intelligence (AI) and centralizes invoice data in a single dashboard.

\n

The platform can also help companies streamline the reconciliation process, collect payments and offer extended payment terms to their customers, the company said in a Monday (June 17)\u00a0press release.

\n

\u201cThe launch of our Global Accounts Receivable platform represents the latest step in our mission to digitize and streamline key steps in B2B global trade,\u201d\u00a0Eyal Moldovan, co-founder and CEO of 40Seas, said in the release.

\n

With invoice data centralized in a single dashboard, companies can more easily track payment statuses, manage due dates, expedite invoice approvals and mitigate the risk of payment delays, according to the release.

\n

When the accounts receivable (AR) platform is connected to a company\u2019s enterprise resource planning (ERP) system or accounting software, the company can benefit from a streamlined reconciliation process that matches invoices with purchase orders and delivery receipts in real-time, the release said. Companies can also collect payments via credit card, direct debit or digital wire transfers in different currencies.

\n

With the platform\u2019s ability to help companies offer extended payment terms of up to 90 days\u00a0to their customers, companies can do so without absorbing any credit risk, per the release. 40Seas leverages data-driven technology to verify creditworthiness, assess risk and process financing.

\n

Together, these capabilities of the Global Accounts Receivable platform are designed to replace manual AR processes that are prone to errors and that undermine productivity, Moldovan said in the release.

\n

\u201cIn today\u2019s increasingly congested supply chain landscape, improving cash flow management through automation is an absolute prerequisite for longevity,\u201d Moldovan said. \u201cOur real-time tracking enables companies to easily monitor invoice statuses, identify bottlenecks, optimize workflows and drive business growth.\u201d

\n

40Seas emerged from stealth in January 2023 with the announcement of an $11 million\u00a0seed funding round complemented by a $100 million credit facility for exporters and importers.

\n

The company\u2019s first offering was a platform for cross-border trade financing designed to facilitate access to finance for small- to medium-sized businesses (SMBs) and \u201cmake life easier\u201d for both importers and exporters.

\n

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.

\n

The post 40Seas Launches AI-Powered Global Accounts Receivable Platform appeared first on PYMNTS.com.

\n", "content_text": "40Seas has launched a Global Accounts Receivable platform that is powered by artificial intelligence (AI) and centralizes invoice data in a single dashboard.\nThe platform can also help companies streamline the reconciliation process, collect payments and offer extended payment terms to their customers, the company said in a Monday (June 17)\u00a0press release.\n\u201cThe launch of our Global Accounts Receivable platform represents the latest step in our mission to digitize and streamline key steps in B2B global trade,\u201d\u00a0Eyal Moldovan, co-founder and CEO of 40Seas, said in the release.\nWith invoice data centralized in a single dashboard, companies can more easily track payment statuses, manage due dates, expedite invoice approvals and mitigate the risk of payment delays, according to the release.\nWhen the accounts receivable (AR) platform is connected to a company\u2019s enterprise resource planning (ERP) system or accounting software, the company can benefit from a streamlined reconciliation process that matches invoices with purchase orders and delivery receipts in real-time, the release said. Companies can also collect payments via credit card, direct debit or digital wire transfers in different currencies.\nWith the platform\u2019s ability to help companies offer extended payment terms of up to 90 days\u00a0to their customers, companies can do so without absorbing any credit risk, per the release. 40Seas leverages data-driven technology to verify creditworthiness, assess risk and process financing.\nTogether, these capabilities of the Global Accounts Receivable platform are designed to replace manual AR processes that are prone to errors and that undermine productivity, Moldovan said in the release.\n\u201cIn today\u2019s increasingly congested supply chain landscape, improving cash flow management through automation is an absolute prerequisite for longevity,\u201d Moldovan said. \u201cOur real-time tracking enables companies to easily monitor invoice statuses, identify bottlenecks, optimize workflows and drive business growth.\u201d\n40Seas emerged from stealth in January 2023 with the announcement of an $11 million\u00a0seed funding round complemented by a $100 million credit facility for exporters and importers.\nThe company\u2019s first offering was a platform for cross-border trade financing designed to facilitate access to finance for small- to medium-sized businesses (SMBs) and \u201cmake life easier\u201d for both importers and exporters.\nFor all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.\nThe post 40Seas Launches AI-Powered Global Accounts Receivable Platform appeared first on PYMNTS.com.", "date_published": "2024-06-17T11:36:20-04:00", "date_modified": "2024-06-17T11:37:17-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/06/40Seas-accounts-receivable-AI.jpg", "tags": [ "40seas", "Accounts Receivable", "AI", "artificial intelligence", "B2B", "B2B Payments", "commercial payments", "invoice payments", "News", "PYMNTS News", "What's Hot", "What's Hot In B2B" ] }, { "id": "https://www.pymnts.com/?post_type=tracker_posts&p=1956086", "url": "https://www.pymnts.com/tracker_posts/getting-paid-digital-payments-for-improving-cash-flow-and-customer-experience/", "title": "Getting Paid: Digital Payments for Improving Cash Flow and Customer Experience", "content_html": "

Accounts receivable (AR) is the lifeblood of any business, ensuring that a company gets paid for its services in a timely manner to maintain smooth operations and invest to thrive and grow. However, this critical function has suffered in recent years as inflation and other macroeconomic factors have led to widespread payment delays and disruptions in cash flow for businesses across many industries.

\n

Just as in consumer payments, digital methods have the power to ease and speed the business-to-business (B2B) payment process. Electronic payments can significantly reduce not only the costs of payment processing but also the days sales outstanding (DSO), or the time it takes to receive payment for services provided, resulting in healthier cash flow and more efficient financial operations. Moreover, digital payments offer a more streamlined and convenient payment experience, further enhancing revenue generation by fostering strong B2B relationships and customer loyalty.

\n\n

Legacy Payments Cause Considerable AR Pain

\n

Despite the digital shift of recent years, a continued reliance on legacy payment methods is still a significant source of pain to businesses worldwide.

\n

Legacy payments are driving up DSO …

\n
\n
\n
\n

Even amid the widespread digital transformation of the last few years, legacy pain points continue to plague business payments. In fact, 75% of organizations are still using paper checks \u2014 despite the method\u2019s associated high costs, slow processing, potential for error, poor visibility into cash flow and susceptibility to fraud. Paper-based payment options such as checks also rely heavily on manual payment processing, which is not only slow but also prone to human error. All these factors lead to longer DSO, adversely affecting firms\u2019 financial health.

\n
\n
\n

75%

\n

of companies continue to use paper checks.

\n
\n
\n
\n

… and costing firms big.

\n

Paper checks lengthen DSO by several days at least, as vendors must not only wait for them to arrive by mail but also endure processing delays. A good example of this is in the construction space, where 76% of subcontractors say they are almost always paid by general contractors and property owners with paper checks. In 2023, slow and delayed payments cost these businesses $273 billion. Checks are costing buyers, too, with experts estimating a cost of $4 to $20 per check for preparation, including labor, materials and postage. By comparison, digital payment processing costs roughly 30 cents per transaction. Clearly, both sides of the ledger stand to benefit from removing this legacy method from the B2B payment process.

\n

Digital Payments Dramatically Improve DSO

\n

Implementing digital channels for customer transactions streamlines the payment process, effectively reducing delays and errors that can worsen DSO.

\n
\n
\n
\n

83%

\n

of firms consider fully electronic payment processing to be important or very important.

\n
\n
\n

Digital payments reduce payment waits.

\n

Given vendors\u2019 problems with late payments, it stands to reason that 79% want to receive digital payments, including wire, automated clearing house (ACH) and virtual cards. Faster payment processing is not the only impetus, either: 76% of vendors believe that buyers are likelier to pay on time when they pay electronically.

\n
\n
\n
\n

Offered through a self-service payment portal, integrated digital payments allow suppliers to be paid for their services online easily and securely in the payment modality of their choice. Meanwhile, the portals incentivize buyers to pay on time or early through features such as supply chain financing and discounting, ensuring that both parties maintain a healthy cash flow. It is no surprise that 83% of surveyed firms consider moving to fully electronic payment processing to be important or very important.

\n

Digital payments\u2019 better transparency and cash flow forecasting bolster the bottom line.

\n

A recent survey by Citizens Financial Group confirms that treasury executives are recognizing the strong advantages of digital payments. The study found that 97% of middle-market firms that adopted digital treasury processes reported improvements to their cash flow processing, with 96% noting enhanced financial visibility and control. Another 91% said these benefits bolstered their companies\u2019 bottom lines. As a result, 94% of treasury departments that use checks expect to transition their companies entirely to digital payments within the next five years.

\n

Instant payments are a boon to B2B transactions

\n

Furthermore, even within digital payments, processing time is a key consideration. Faster digital payments such as real-time payments have an enormous speed advantage. While checks and even slower ACH payments can take days to process, real-time payments settle instantly. The Citizens study highlights the trend of mid-sized businesses increasingly embracing instant payments to capitalize on these process improvements. This year, 77% adopted instant payments, compared to only 62% one year ago. Of these adopters, 92% of firms now leverage the RTP\u00ae network, while 77% have implemented the FedNow\u00ae Service.

\n

According to a newly published survey from the Federal Reserve Financial Services, 92% of businesses say instant payments benefit B2B use cases. The primary drivers behind businesses\u2019 adoption of instant or faster payments include cost reduction (cited by 48%), the ability to pay and be paid according to customer preferences (39%) and the 24/7 year-round accessibility of instant payment services (35%). These benefits prompted 86% of businesses to adopt faster payment methods last year, 74% of which were provided by their financial institutions.

\n

Digitalizing to Enhance the Customer Experience

\n

Legacy payments not only harm companies\u2019 cash flow but also damage their customer relationships. Introducing digital payments can bring significant improvements to customer loyalty in B2B relationships.

\n
\n
\n
\n

Digital payments can strengthen B2B bonds.

\n

By offering both convenience and tangible benefits to both parties, integrated digital payment portals can enhance and strengthen B2B partnerships. Fulfilling B2B customers\u2019 expectations for digital payments will be increasingly critical to optimize the customer experience, as 72% of business buyers say they have greater loyalty to businesses that offer their preferred payment methods. In addition, 91% of manufacturers that make B2B payments view the use of real-time payments as important to building better relationships with suppliers.

\n
\n
\n

91%

\n

of manufacturing buyers say the use of real-time payments is important to building better supplier relationships.

\n
\n
\n
\n

SMBs are digitalizing B2B payments to enhance the customer experience.

\n

Adopting digital platforms for both receiving and making payments has become a critical concern for small firms, to the extent that many are willing to abandon their current banking relationships in favor of these faster payment options. In a recent Chase for Business survey, 54% of small to mid-sized business (SMB) owners said they would change banks to access same-day ACH payments. This is in line with a general trend toward digital transformation across the board: 90% of SMBs said they prefer to receive B2B payments electronically, while 78% said they prefer to pay employees that way as well. In addition, more and more SMBs are looking to implement artificial intelligence (AI) to enhance the overall customer experience.

\n

Driving Down DSO and Building Stronger Bonds With Digital Payments

\n

Digital payments can play a crucial role in reducing DSO for firms struggling with late payments. By leveraging the speed, efficiency and transparency of digital transactions, businesses can not only accelerate their receivables but also enhance their liquidity and cash flow. Unlike traditional payment methods such as paper checks, which take several days for mailing, receipt and clearance, businesses can process digital payments almost instantaneously, expediting the conversion of sales into cash.

\n

Digital payments can also foster stronger B2B partnerships. Prompt and reliable payments are fundamental to establishing trust and credibility with suppliers, while offering buyers\u2019 preferred payment methods and options such as discounting and financing shows a dedication to customer service that incentivizes both loyalty and faster payment. Adopting digital payment methods, in short, is an investment that is likely to pay in long-term revenue gains and financial health for both sides of the B2B equation.

\n

The post Getting Paid: Digital Payments for Improving Cash Flow and Customer Experience appeared first on PYMNTS.com.

\n", "content_text": "Accounts receivable (AR) is the lifeblood of any business, ensuring that a company gets paid for its services in a timely manner to maintain smooth operations and invest to thrive and grow. However, this critical function has suffered in recent years as inflation and other macroeconomic factors have led to widespread payment delays and disruptions in cash flow for businesses across many industries.\nJust as in consumer payments, digital methods have the power to ease and speed the business-to-business (B2B) payment process. Electronic payments can significantly reduce not only the costs of payment processing but also the days sales outstanding (DSO), or the time it takes to receive payment for services provided, resulting in healthier cash flow and more efficient financial operations. Moreover, digital payments offer a more streamlined and convenient payment experience, further enhancing revenue generation by fostering strong B2B relationships and customer loyalty.\n\n Legacy Payments Cause Considerable AR Pain\n Digital Payments Dramatically Improve DSO\n Digitalizing to Enhance the Customer Experience\n Driving Down DSO and Building Stronger Bonds With Digital Payments\n\nLegacy Payments Cause Considerable AR Pain\nDespite the digital shift of recent years, a continued reliance on legacy payment methods is still a significant source of pain to businesses worldwide.\nLegacy payments are driving up DSO …\n\n\n\nEven amid the widespread digital transformation of the last few years, legacy pain points continue to plague business payments. In fact, 75% of organizations are still using paper checks \u2014 despite the method\u2019s associated high costs, slow processing, potential for error, poor visibility into cash flow and susceptibility to fraud. Paper-based payment options such as checks also rely heavily on manual payment processing, which is not only slow but also prone to human error. All these factors lead to longer DSO, adversely affecting firms\u2019 financial health.\n\n\n75%\nof companies continue to use paper checks.\n\n\n\n… and costing firms big.\nPaper checks lengthen DSO by several days at least, as vendors must not only wait for them to arrive by mail but also endure processing delays. A good example of this is in the construction space, where 76% of subcontractors say they are almost always paid by general contractors and property owners with paper checks. In 2023, slow and delayed payments cost these businesses $273 billion. Checks are costing buyers, too, with experts estimating a cost of $4 to $20 per check for preparation, including labor, materials and postage. By comparison, digital payment processing costs roughly 30 cents per transaction. Clearly, both sides of the ledger stand to benefit from removing this legacy method from the B2B payment process.\nDigital Payments Dramatically Improve DSO\nImplementing digital channels for customer transactions streamlines the payment process, effectively reducing delays and errors that can worsen DSO.\n\n\n\n83%\nof firms consider fully electronic payment processing to be important or very important.\n\n\nDigital payments reduce payment waits.\nGiven vendors\u2019 problems with late payments, it stands to reason that 79% want to receive digital payments, including wire, automated clearing house (ACH) and virtual cards. Faster payment processing is not the only impetus, either: 76% of vendors believe that buyers are likelier to pay on time when they pay electronically.\n\n\n\nOffered through a self-service payment portal, integrated digital payments allow suppliers to be paid for their services online easily and securely in the payment modality of their choice. Meanwhile, the portals incentivize buyers to pay on time or early through features such as supply chain financing and discounting, ensuring that both parties maintain a healthy cash flow. It is no surprise that 83% of surveyed firms consider moving to fully electronic payment processing to be important or very important.\nDigital payments\u2019 better transparency and cash flow forecasting bolster the bottom line.\nA recent survey by Citizens Financial Group confirms that treasury executives are recognizing the strong advantages of digital payments. The study found that 97% of middle-market firms that adopted digital treasury processes reported improvements to their cash flow processing, with 96% noting enhanced financial visibility and control. Another 91% said these benefits bolstered their companies\u2019 bottom lines. As a result, 94% of treasury departments that use checks expect to transition their companies entirely to digital payments within the next five years.\nInstant payments are a boon to B2B transactions\nFurthermore, even within digital payments, processing time is a key consideration. Faster digital payments such as real-time payments have an enormous speed advantage. While checks and even slower ACH payments can take days to process, real-time payments settle instantly. The Citizens study highlights the trend of mid-sized businesses increasingly embracing instant payments to capitalize on these process improvements. This year, 77% adopted instant payments, compared to only 62% one year ago. Of these adopters, 92% of firms now leverage the RTP\u00ae network, while 77% have implemented the FedNow\u00ae Service.\nAccording to a newly published survey from the Federal Reserve Financial Services, 92% of businesses say instant payments benefit B2B use cases. The primary drivers behind businesses\u2019 adoption of instant or faster payments include cost reduction (cited by 48%), the ability to pay and be paid according to customer preferences (39%) and the 24/7 year-round accessibility of instant payment services (35%). These benefits prompted 86% of businesses to adopt faster payment methods last year, 74% of which were provided by their financial institutions.\nDigitalizing to Enhance the Customer Experience\nLegacy payments not only harm companies\u2019 cash flow but also damage their customer relationships. Introducing digital payments can bring significant improvements to customer loyalty in B2B relationships.\n\n\n\nDigital payments can strengthen B2B bonds.\nBy offering both convenience and tangible benefits to both parties, integrated digital payment portals can enhance and strengthen B2B partnerships. Fulfilling B2B customers\u2019 expectations for digital payments will be increasingly critical to optimize the customer experience, as 72% of business buyers say they have greater loyalty to businesses that offer their preferred payment methods. In addition, 91% of manufacturers that make B2B payments view the use of real-time payments as important to building better relationships with suppliers.\n\n\n91%\nof manufacturing buyers say the use of real-time payments is important to building better supplier relationships.\n\n\n\nSMBs are digitalizing B2B payments to enhance the customer experience.\nAdopting digital platforms for both receiving and making payments has become a critical concern for small firms, to the extent that many are willing to abandon their current banking relationships in favor of these faster payment options. In a recent Chase for Business survey, 54% of small to mid-sized business (SMB) owners said they would change banks to access same-day ACH payments. This is in line with a general trend toward digital transformation across the board: 90% of SMBs said they prefer to receive B2B payments electronically, while 78% said they prefer to pay employees that way as well. In addition, more and more SMBs are looking to implement artificial intelligence (AI) to enhance the overall customer experience.\nDriving Down DSO and Building Stronger Bonds With Digital Payments\nDigital payments can play a crucial role in reducing DSO for firms struggling with late payments. By leveraging the speed, efficiency and transparency of digital transactions, businesses can not only accelerate their receivables but also enhance their liquidity and cash flow. Unlike traditional payment methods such as paper checks, which take several days for mailing, receipt and clearance, businesses can process digital payments almost instantaneously, expediting the conversion of sales into cash.\nDigital payments can also foster stronger B2B partnerships. Prompt and reliable payments are fundamental to establishing trust and credibility with suppliers, while offering buyers\u2019 preferred payment methods and options such as discounting and financing shows a dedication to customer service that incentivizes both loyalty and faster payment. Adopting digital payment methods, in short, is an investment that is likely to pay in long-term revenue gains and financial health for both sides of the B2B equation.\nThe post Getting Paid: Digital Payments for Improving Cash Flow and Customer Experience appeared first on PYMNTS.com.", "date_published": "2024-06-12T04:02:03-04:00", "date_modified": "2024-07-19T12:34:16-04:00", "authors": [ { "name": "Ashley McLeod", "url": "https://www.pymnts.com/author/amcleod/", "avatar": "https://secure.gravatar.com/avatar/5fcbfee0fc4dc81613187d709d661036?s=512&d=blank&r=g" } ], "author": { "name": "Ashley McLeod", "url": "https://www.pymnts.com/author/amcleod/", "avatar": "https://secure.gravatar.com/avatar/5fcbfee0fc4dc81613187d709d661036?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/06/accounts-receivable-b2b-payments.png", "tags": [ "Accounts Receivable", "AR", "B2B", "B2B Payments", "commercial payments", "Digital Payments", "esker", "Featured News", "News", "PYMNTS Intelligence", "PYMNTS News", "SMBs", "Tracker Series" ] }, { "id": "https://www.pymnts.com/?p=1951215", "url": "https://www.pymnts.com/accounts-receivable/2024/billtrust-adds-ai-tools-accounts-receivable-software-platform/", "title": "Billtrust Adds AI Tools to Accounts Receivable Software Platform", "content_html": "

Billtrust, a B2B order-to-cash and digital payments provider, unveiled new artificial intelligence tools within its accounts receivable software platform.

\n

The tools aim to empower finance professionals by providing them with business insights and enabling them to make strategic decisions and engage customers more effectively, the company said in a Thursday (May 30) press release.

\n

One of the key features introduced by Billtrust is the Finance Co-Pilot, a generative AI tool that offers deep analysis of customer data, according to the release. Users can input questions in plain language and obtain instant insights and recommendations. The tool provides views of customers\u2019 cash flow efficiency based on key AR user personas, allowing finance professionals to benchmark, answer questions and make informed recommendations.

\n

Billtrust also introduced two new analytics modules: Payments Analytics and Cash Application Analytics. These self-service reporting dashboards provide finance professionals with real-time data and insights, enabling them to obtain a holistic view of their business, the release said. By using these analytics modules together, finance professionals can make faster decisions, improve cash flow and working capital, and ensure customer satisfaction.

\n

The Payments Analytics module supports strategic decision-making by providing a clearer understanding of buyer behavior and trends such as timeliness, payment preferences and variability, per the release. It also enables a more targeted customer engagement strategy, allowing businesses to improve outreach and transition buyers to online platforms.

\n

The Cash Application Analytics module helps users understand data on overall matching performance, match volume and payment volume at a buyer/payer level, according to the release. It allows businesses to recognize trends and isolate \u201cbad payors\u201d by customizing parameters for formulating a bad payor list.

\n

Both Payments Analytics and Cash Application Analytics offer enhanced data analysis capabilities, including flexible time series visualization, interactive key performance indicators, comparative data examination and competitive benchmarking, per the release.

\n

The ability of language models to understand and interpret data marks a shift toward making AR a strategic asset for enterprises, Ahsan Shah, senior vice president of data intelligence at Billtrust, told PYMNTS in an interview posted in February.

\n

Generative AI helps solve existing problems in a \u201cmore accelerated\u201d way and further automates processes and improves analytics for better decision-making, Shah said.

\n

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.

\n

The post Billtrust Adds AI Tools to Accounts Receivable Software Platform appeared first on PYMNTS.com.

\n", "content_text": "Billtrust, a B2B order-to-cash and digital payments provider, unveiled new artificial intelligence tools within its accounts receivable software platform.\nThe tools aim to empower finance professionals by providing them with business insights and enabling them to make strategic decisions and engage customers more effectively, the company said in a Thursday (May 30) press release.\nOne of the key features introduced by Billtrust is the Finance Co-Pilot, a generative AI tool that offers deep analysis of customer data, according to the release. Users can input questions in plain language and obtain instant insights and recommendations. The tool provides views of customers\u2019 cash flow efficiency based on key AR user personas, allowing finance professionals to benchmark, answer questions and make informed recommendations.\nBilltrust also introduced two new analytics modules: Payments Analytics and Cash Application Analytics. These self-service reporting dashboards provide finance professionals with real-time data and insights, enabling them to obtain a holistic view of their business, the release said. By using these analytics modules together, finance professionals can make faster decisions, improve cash flow and working capital, and ensure customer satisfaction.\nThe Payments Analytics module supports strategic decision-making by providing a clearer understanding of buyer behavior and trends such as timeliness, payment preferences and variability, per the release. It also enables a more targeted customer engagement strategy, allowing businesses to improve outreach and transition buyers to online platforms.\nThe Cash Application Analytics module helps users understand data on overall matching performance, match volume and payment volume at a buyer/payer level, according to the release. It allows businesses to recognize trends and isolate \u201cbad payors\u201d by customizing parameters for formulating a bad payor list.\nBoth Payments Analytics and Cash Application Analytics offer enhanced data analysis capabilities, including flexible time series visualization, interactive key performance indicators, comparative data examination and competitive benchmarking, per the release.\nThe ability of language models to understand and interpret data marks a shift toward making AR a strategic asset for enterprises, Ahsan Shah, senior vice president of data intelligence at Billtrust, told PYMNTS in an interview posted in February.\nGenerative AI helps solve existing problems in a \u201cmore accelerated\u201d way and further automates processes and improves analytics for better decision-making, Shah said.\nFor all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.\nThe post Billtrust Adds AI Tools to Accounts Receivable Software Platform appeared first on PYMNTS.com.", "date_published": "2024-05-30T14:53:08-04:00", "date_modified": "2024-05-30T14:53:08-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2023/11/Billtrust.jpg", "tags": [ "Accounts Receivable", "artificial intelligence", "B2B", "B2B Payments", "Billtrust", "commercial payments", "GenAI", "News", "PYMNTS News", "software", "Technology", "What's Hot", "What's Hot In B2B" ] }, { "id": "https://www.pymnts.com/?p=1940655", "url": "https://www.pymnts.com/accounts-receivable/2024/cts-systems-adds-corcentrics-managed-ar-to-travel-booking-platform/", "title": "CTS Systems Adds\u00a0Corcentric\u2019s\u00a0Managed AR\u00a0to Travel Booking Platform", "content_html": "

CTS Systems\u00a0has integrated\u00a0Corcentric\u2019s\u00a0Managed Accounts Receivable (AR) services into its travel booking platform.\u00a0

\n

With this integration, the CTS Systems platform will offer corporate travel agents and hotels a single-source solution providing consolidated, digitized\u00a0and\u00a0secure invoice processing, the companies said in a Wednesday\u00a0(May 8)\u00a0press release.\u00a0

\n

\u201cBy partnering with Corcentric, we\u2019re able to leverage our existing platform to vastly improve the flow and speed of payments to hotels and commissions to booking agents,\u201d Carl Roberts, founder\u00a0and president at CTS Systems, said in the release.

\n

Corcentric\u2019s Managed AR solution helps customers eliminate bad debt, payment risks\u00a0and\u00a0high days sales outstanding (DSO), according to the release.

\n

The solution includes support from subject matter experts, financial services\u00a0and\u00a0software, per the release.

\n

Integrated with the CTS Systems platform, this offering will customers in the corporate travel and booking industry make travel booking processes \u201cconvenient, easy\u00a0and\u00a0fast,\u201d\u00a0Matt Clark, president and CEO\u00a0at Corcentric, said in the release.

\n

\u201cCTS has a long history of solving for pain points that do just that, and we are honored to work with them on this latest venture to bring our Managed AR onto their platform to ease the burden of the invoicing and payments process for their clients,\u201d Clark said.

\n

PYMNTS Intelligence has found that specialized software and automation act as engines for efficiency, speed\u00a0and\u00a0accuracy in\u00a0AR and\u00a0accounts payable (AP) workflows, replacing labor-intensive, manual processes that are prone to human error and delays.

\n

Eight in 10 chief financial officers (CFOs) with automated AP/AR processes reported significant reductions to friction and disruption, according to \u201cWhy CFOs Recognize the Need to Automate AP/AR Workflows,\u201d a PYMNTS Intelligence and Corcentric collaboration.

\n

Customers are starting to realize that enduring friction points along the business relationship and\u00a0B2B transaction journey aren\u2019t necessarily worth putting up with,\u201d Clark told PYMNTS in an interview posted in June.

\n

\u201cYou don\u2019t have to look much further than B2C today for the future of B2B\u00a0tomorrow,\u00a0when it comes to things like efficiency and digitization,\u201d Clark said. \u201cSome of the newer generations rising\u00a0up\u00a0in organizations just won\u2019t accept some of the things that have been taken for granted as status quo for decades \u2014 they’ll say this is too difficult, this needs to change.\u201d

\n

For all PYMNTS B2B coverage, subscribe to the daily\u00a0B2B Newsletter.

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The post CTS Systems Adds\u00a0Corcentric\u2019s\u00a0Managed AR\u00a0to Travel Booking Platform appeared first on PYMNTS.com.

\n", "content_text": "CTS Systems\u00a0has integrated\u00a0Corcentric\u2019s\u00a0Managed Accounts Receivable (AR) services into its travel booking platform.\u00a0\nWith this integration, the CTS Systems platform will offer corporate travel agents and hotels a single-source solution providing consolidated, digitized\u00a0and\u00a0secure invoice processing, the companies said in a Wednesday\u00a0(May 8)\u00a0press release.\u00a0\n\u201cBy partnering with Corcentric, we\u2019re able to leverage our existing platform to vastly improve the flow and speed of payments to hotels and commissions to booking agents,\u201d Carl Roberts, founder\u00a0and president at CTS Systems, said in the release.\nCorcentric\u2019s Managed AR solution helps customers eliminate bad debt, payment risks\u00a0and\u00a0high days sales outstanding (DSO), according to the release.\nThe solution includes support from subject matter experts, financial services\u00a0and\u00a0software, per the release.\nIntegrated with the CTS Systems platform, this offering will customers in the corporate travel and booking industry make travel booking processes \u201cconvenient, easy\u00a0and\u00a0fast,\u201d\u00a0Matt Clark, president and CEO\u00a0at Corcentric, said in the release.\n\u201cCTS has a long history of solving for pain points that do just that, and we are honored to work with them on this latest venture to bring our Managed AR onto their platform to ease the burden of the invoicing and payments process for their clients,\u201d Clark said.\nPYMNTS Intelligence has found that specialized software and automation act as engines for efficiency, speed\u00a0and\u00a0accuracy in\u00a0AR and\u00a0accounts payable (AP) workflows, replacing labor-intensive, manual processes that are prone to human error and delays.\nEight in 10 chief financial officers (CFOs) with automated AP/AR processes reported significant reductions to friction and disruption, according to \u201cWhy CFOs Recognize the Need to Automate AP/AR Workflows,\u201d a PYMNTS Intelligence and Corcentric collaboration.\nCustomers are starting to realize that enduring friction points along the business relationship and\u00a0B2B transaction journey aren\u2019t necessarily worth putting up with,\u201d Clark told PYMNTS in an interview posted in June.\n\u201cYou don\u2019t have to look much further than B2C today for the future of B2B\u00a0tomorrow,\u00a0when it comes to things like efficiency and digitization,\u201d Clark said. \u201cSome of the newer generations rising\u00a0up\u00a0in organizations just won\u2019t accept some of the things that have been taken for granted as status quo for decades \u2014 they’ll say this is too difficult, this needs to change.\u201d\nFor all PYMNTS B2B coverage, subscribe to the daily\u00a0B2B Newsletter.\nThe post CTS Systems Adds\u00a0Corcentric\u2019s\u00a0Managed AR\u00a0to Travel Booking Platform appeared first on PYMNTS.com.", "date_published": "2024-05-08T12:28:40-04:00", "date_modified": "2024-05-08T13:13:03-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/05/b2b-payments-accounts-receivable.png", "tags": [ "Accounts Receivable", "AR", "B2B", "B2B Payments", "commercial payments", "Corcentric", "CTS Systems", "hotels", "News", "partnerships", "PYMNTS News", "travel", "travel agents", "Travel Payments", "What's Hot", "What's Hot In B2B" ] }, { "id": "https://www.pymnts.com/?p=1939442", "url": "https://www.pymnts.com/accounts-receivable/2024/many-smaller-smbs-opt-to-process-ad-hoc-payments-manually-and-its-costing-them/", "title": "Many Smaller SMBs Opt to Process Ad Hoc Payments Manually \u2014 and It\u2019s Costing Them", "content_html": "

Fifty-seven percent of the total accounts receivable (AR) transactional volume flowing into the coffers of small to mid-sized businesses (SMBs)\u00a0comes in the form of nonrecurring, ad hoc payments.\u00a0

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Yet, PYMNTS Intelligence found that in most cases, the process around receiving and processing these ad hoc payments is far from efficient. Delays are common, and those delays can result in cash flow shortfalls \u2014 which can be especially detrimental to smaller firms.\u00a0

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In PYMNTS Intelligence\u2019s \u201cHow Instant Ad Hoc Payment Costs Impact Small SMBs,\u201d a collaboration with\u00a0Ingo Payments, we determined one way many SMBs are overcoming these inefficiencies and delays is by leveraging the use of instant payment methods. Doing so enables SMBs to turn ad hoc payments more quickly into working capital, which is especially important to those small SMBs who are the primary receivers of ad hoc payments.\u00a0

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Ad hoc payments make up 72% of SMBs\u2019 AR volume in dollars, and using instant payment methods can provide them with timely receipt of their funds. This likely explains why the share of ad hoc payments received instantly rose 24% since September 2023.\u00a0

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However, for many SMBs, the cost of processing instant payments can be prohibitive. The smallest SMBs \u2014 those generating less than $100,000 in revenue annually \u2014 have decreased their use of instant payments since September 2023, we found, likely because of the fees associated with processing instant payouts.\u00a0

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But PYMNTS Intelligence data suggests that those SMBs that opt to process ad hoc payments manually \u2014 because they believe they are saving money by doing so \u2014 may ultimately be misguided.

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In exclusive PYMNTS Intelligence data was not included in the final edition of \u201cHow Instant Ad Hoc Payment Costs Impact Small SMBs,\u201d we found that the smaller the SMB is, the more likely it was to process ad hoc payments manually.\u00a0

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As the chart illustrates, 44% of SMBs earning less than $100,000 annually rely mostly on manual methods of processing their ad hoc payments; 38% of those earning between $100,000 and $1 million annually do the same. Meanwhile, 52% of those SMBs earning between $5 million and $25 million annually and\u00a048% of firms earning between $1 million and $5 million rely primarily on automated ad hoc payment processing.\u00a0

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This reliance on manual processing is especially important to note because firms that rely on internal, manual processes\u00a0actually\u00a0pay the highest fees: $12.70 per transaction, or 9% more than what SMBs relying primarily on automated systems pay.\u00a0

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In other words, when smaller SMBs do pay to process their ad hoc payments instantly, they pay more, which likely reinforces their fee-averse position.\u00a0

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But by incorporating external vendors and intermediaries to process ad hoc payments instantly, fee-averse SMBs could actually\u00a0lower their overall costs in the end.\u00a0

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PYMNTS Intelligence found that 57% of SMBs overall are now willing to pay a fixed fee to receive instant payments, while one-quarter of the smallest identify the expense associated with instant payments to be the biggest barrier in their adoption of instant payment processing.\u00a0

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The lesson here is twofold: It\u2019s costing smaller, fee-averse SMBs more to process their ad hoc payments manually. Meanwhile, those senders looking to enhance their relationships with smaller SMBs might be missing an opportunity to do so by offering them free or low-cost instant payouts for ad hoc payments.\u00a0

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The post Many Smaller SMBs Opt to Process Ad Hoc Payments Manually \u2014 and It\u2019s Costing Them appeared first on PYMNTS.com.

\n", "content_text": "Fifty-seven percent of the total accounts receivable (AR) transactional volume flowing into the coffers of small to mid-sized businesses (SMBs)\u00a0comes in the form of nonrecurring, ad hoc payments.\u00a0\nYet, PYMNTS Intelligence found that in most cases, the process around receiving and processing these ad hoc payments is far from efficient. Delays are common, and those delays can result in cash flow shortfalls \u2014 which can be especially detrimental to smaller firms.\u00a0\nIn PYMNTS Intelligence\u2019s \u201cHow Instant Ad Hoc Payment Costs Impact Small SMBs,\u201d a collaboration with\u00a0Ingo Payments, we determined one way many SMBs are overcoming these inefficiencies and delays is by leveraging the use of instant payment methods. Doing so enables SMBs to turn ad hoc payments more quickly into working capital, which is especially important to those small SMBs who are the primary receivers of ad hoc payments.\u00a0\nAd hoc payments make up 72% of SMBs\u2019 AR volume in dollars, and using instant payment methods can provide them with timely receipt of their funds. This likely explains why the share of ad hoc payments received instantly rose 24% since September 2023.\u00a0\nHowever, for many SMBs, the cost of processing instant payments can be prohibitive. The smallest SMBs \u2014 those generating less than $100,000 in revenue annually \u2014 have decreased their use of instant payments since September 2023, we found, likely because of the fees associated with processing instant payouts.\u00a0\n\nBut PYMNTS Intelligence data suggests that those SMBs that opt to process ad hoc payments manually \u2014 because they believe they are saving money by doing so \u2014 may ultimately be misguided.\nIn exclusive PYMNTS Intelligence data was not included in the final edition of \u201cHow Instant Ad Hoc Payment Costs Impact Small SMBs,\u201d we found that the smaller the SMB is, the more likely it was to process ad hoc payments manually.\u00a0\nAs the chart illustrates, 44% of SMBs earning less than $100,000 annually rely mostly on manual methods of processing their ad hoc payments; 38% of those earning between $100,000 and $1 million annually do the same. Meanwhile, 52% of those SMBs earning between $5 million and $25 million annually and\u00a048% of firms earning between $1 million and $5 million rely primarily on automated ad hoc payment processing.\u00a0\nThis reliance on manual processing is especially important to note because firms that rely on internal, manual processes\u00a0actually\u00a0pay the highest fees: $12.70 per transaction, or 9% more than what SMBs relying primarily on automated systems pay.\u00a0\nIn other words, when smaller SMBs do pay to process their ad hoc payments instantly, they pay more, which likely reinforces their fee-averse position.\u00a0\nBut by incorporating external vendors and intermediaries to process ad hoc payments instantly, fee-averse SMBs could actually\u00a0lower their overall costs in the end.\u00a0\nPYMNTS Intelligence found that 57% of SMBs overall are now willing to pay a fixed fee to receive instant payments, while one-quarter of the smallest identify the expense associated with instant payments to be the biggest barrier in their adoption of instant payment processing.\u00a0\nThe lesson here is twofold: It\u2019s costing smaller, fee-averse SMBs more to process their ad hoc payments manually. Meanwhile, those senders looking to enhance their relationships with smaller SMBs might be missing an opportunity to do so by offering them free or low-cost instant payouts for ad hoc payments.\u00a0\n \nThe post Many Smaller SMBs Opt to Process Ad Hoc Payments Manually \u2014 and It\u2019s Costing Them appeared first on PYMNTS.com.", "date_published": "2024-05-06T17:45:13-04:00", "date_modified": "2024-05-06T17:45:13-04:00", "authors": [ { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" } ], "author": { "name": "PYMNTS", "url": "https://www.pymnts.com/author/pymnts/", "avatar": "https://secure.gravatar.com/avatar/f05cc0fdcc9e387e4f3570c17158c503?s=512&d=blank&r=g" }, "image": "https://www.pymnts.com/wp-content/uploads/2024/05/accounts-receivable-manual-processing.jpg", "tags": [ "Accounts Receivable", "Ad Hoc Payments", "automation", "instant payments", "News", "nonrecurring payments", "PYMNTS Intelligence", "PYMNTS News", "real time payments", "small business", "SMBs" ] } ] }