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While many people have embraced online bill payment in their personal lives, a lot of businesses continue to pay the invoices they receive by check. But when you compare the two methods of paying bills, online payment options are a clear winner. They are faster, cheaper, and much more secure.
Get Time Back in Your Day
Let’s face it, check writing takes time. From manually writing the check and getting all the signing authorizations, to dropping it off in the mail and finally reconciliation, the process can take hours, even days! With an online account payable solution like WayPay, the process is much quicker. In a few clicks and a matter of minutes, you’re able to automatically view, pay, and reconcile approved bills and invoices. The platform simplifies every stage of the payments process.
Studies from the Bank of America and the Aberdeen Group have calculated the average cost of a check payment ranges from $5 to $7 depending on the industry, check volume and a few other costs. Here’s what writing checks really costs:
- Check – the actual cost of the check;
- Labour – the number of man-hours required to manually write, sign, and reconcile the check;
- Materials – envelopes, printing and postage;
- Bank fees – bank processing, NFS lost checks, stop-payments and re-issues;
- Vendor Management – following up on requests and tracking status.
On the other hand, online payments can cost pennies, which will provide significant savings over time.
Improve Your Cashflow
Every time a check is dropped in the mail, businesses are adding a layer of unpredictability to their cash flow management. With online payment, estimating when the post will deliver the check or when the vendor will cash the check will no longer be necessary. Online account payable solutions, like WayPay, give business owners the control to schedule and transfer funds when it makes sense for them. With the guesswork gone, businesses can further optimize their cash flow cycle.
Keep Your Company Safe
Did you know that checks are the easiest ways for fraudsters to get access to a business? According to the 2017 AFP Payments Fraud and Control Survey, 75% of businesses in the U.S. have experienced check fraud. Checks expose valuable company information including bank account numbers, transit routing numbers, company address, handwriting, authorized signatures, and fingerprints – pretty much everything a crook needs to scam your company or launch a cyber attack.
WayPay operates in accordance with the highest financial security standards, and the platform is hosted by the world’s leading Cloud Computing infrastructure provider, which is the same one used by banks and federal agencies. You can’t get any safer than that.
Save a Tree
Finally, while it may not impact your business directly, shifting from paper to online payments is good for the environment. Just think of how many trees would be saved if all businesses started using an online account payable solution.
Looking for ways to save your business time and money, improve cash flow, maximize security and save the planet? WayPay probably has the right payments solutions for you.
The information in this article is for educational and information purposes only and should not be relied upon for decision making. Always seek the expertise of a professional advisor or accountant prior to making any decisions.