As the future of payments moves toward a cashless society, your organization needs to adapt and prepare for effective cash management. The COVID-19 pandemic accelerated the need for electronic payments, and it is important to stay informed about managing cash flow and its overall impact on business. Avoid drowning in the paperwork that can pile up from daily transactions by adopting automated processes that also help keep cash flow positive.
Every payment counts and with the recent workplace upheaval and people working from home, it’s time for organizations to change current processes and consider alternative options for more efficient business payments.
The key is to transform business models to maintain operational continuity and cash flow. But organizations have been slow to adopt automation. For instance, late payments are a major threat to small businesses, yet 56% don’t automate single payment processes, which can lead to an increase in outstanding invoices.
A common misconception is that automated and electronic payment systems are costly, impersonalized, and time-consuming. But the reality is that automated processes actually remove a lot of the burden and offer a new set of customer benefits.
Instead of viewing automated processes as impersonalized due to the removal of the “human” element, consider that this new approach can help your organization engage with customers on a deeper level by adapting to the new era of digitalization and the customization it can deliver.
One of the best ways to build a business is to focus on the customer and remain proactive with communication. Having conversations around late payments and providing end-to-end visibility throughout the payment process makes for a more personalized business approach and leads to higher customer retention.
So, how can small businesses better manage cash flow and stay cash flow positive? Businesses of all sizes and sectors have to start somewhere. Here are a few things to keep in mind:
- There is a current gap in efficient business payments; adopting technology and outsourcing certain tasks can drive efficiency.
- Late payments can create a domino effect on the payments landscape, but you can ensure your organization doesn’t topple with the right processes in place.
- Do research to see what tools are available and embrace automation to come out stronger on the other side of crisis.
Taking an electronic banking approach keeps payments on track; don’t be afraid of change to not only survive but also to leap ahead of competitors.
Learn more about new opportunities to engage with customers for future success of your organization and stay cash flow positive in times of crisis by tuning in to the full webinar “Managing Cash Flow During Times of Crisis”.
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