You might have heard the old adage that “fast pay makes fast friends.” As it happens, fast pay also makes for a stronger business. A company’s ability to access its cash quickly and efficiently creates a strong foundation for smoother daily operations and future growth.
Most banks now offer a host of cash-management tools that can help small businesses improve their bottom line while minimizing fees. Here are some of the top solutions available today.
Going Online
Most banks offer online Bill Pay through their websites, reducing the amount that companies spend on postage, envelopes and labor. Some Bill Pay solutions may even offer some very basic Automated Clearing House (ACH) functionality at little or no cost, which allows you to collect on bills and perform other electronic transactions faster.
This also can be a win for your customers, many of whom prefer to make payments electronically. With your customers’ permission, you can use ACH to set up automatic withdrawals from their accounts to pay whatever they owe you that month.
Of course, given the complexity of these transactions, you’ll want to refer to your bank for the rules and regulations governing ACH services.
These services need not be terribly expensive. Ask about bundle fee options versus per-item pricing, as most banks offer them.
Remote Deposit Capture and Virtual Solutions
Although it seems a minor expense, you should take a hard look at the cost of running a deposit to the bank. This task could be eliminated by services such as remote deposit capture (RDC) or virtual deposits.
RDC has been in the banking industry since 2005 and is an efficient alternative to mail or hand delivery of deposits. Customers use a Web-based program and a scanner to essentially take a picture of a customer’s check and send it to the bank with the click of a mouse. Deposits are generally available the next day, and nobody has to leave the office.
And you don’t always need a scanner. Some banks have adopted virtual deposits, where you can snap a picture of a check with your smartphone and make the deposit from your office, home, car or meeting. It’s easy to see how this technology could make your business run faster, and give you greater access to your cash.
Virtual credit card processing is one more way you as a business owner can set yourself up for payment here and now. You can use your smartphone or tablet to take a credit card order and manage related transactions wherever you happen to be.
No matter what your needs are, remember to negotiate on your pricing. Ask about bundle pricing as every institution is different. The right bank will help you find the solution that’s best for you.
