Ask the Expert
Money in the bank
How to spend less time processing payments
Successful businesses speak proudly of their commitment to great customer service. However, it’s easy to get so involved with sales and service that many companies lose focus on the core financial operations of their business.
This is especially true when it comes to managing payments. It’s no longer as simple as money in/money out.
“With the integration of checks, credit card and EFT transactions, businesses are increasingly challenged to manage multiple forms of payment to make better financial decisions and improve cash flow,” says Korlin Scott, Senior Vice President and Director of Commercial Product Management for FirstMerit Bank.
With the proliferation of more sophisticated forms of payment, coupled with robust technologies, businesses now require payable and receivable services that are flexible enough to handle a broad range of payments but also serve to automate the payment/collection process while integrating the associated payment information.
“Companies can make the process easier and significantly improve their cash flow process by leveraging services that automate routine transaction processing and centralize payment information, speeding up payment collection and reconcilement,” Scott says.
”This can significantly reduce time spent on tracking and measuring the cash flow elements of the business, which has a direct impact on the bottom line and allows more time to focus on revenue-generating activities,” he says.
Here’s a look at products that FirstMerit offers to business clients that enable them to process payments more quickly.
Remote Deposit Capture
Remote Deposit Capture allows your business to deposit checks immediately upon receipt without the need to visit the bank to make deposits.
“Clients can scan checks and send an image of those deposits to the bank for posting from the convenience of their office,” says Scott.
You also have the flexibility of later deposit times providing faster access to funds without the security risks of making physical deposits at the bank. Deposit information is centralized, which can improve the reconcilement process and make the process of researching a deposit much simpler.
Lockbox is an effective way to automate the collection of larger volumes of payments. Payments are received at a central location and scanned for automated deposit, which can significantly accelerate the cash application process. The ability to capture and image not only the payments but associated remittance information also drastically improves the reconcilement process, leading to improved availability of funds.
”Lockbox provides a significant opportunity for businesses to drive efficiencies in the collection process and deliver enhanced control over their receivables,” Scott says.
“You can combine check and credit card payments through a single point of collection to consolidate processing and gain a comprehensive view into your daily receivables.” Payments and associated remittance information are collected at a designated post office box throughout the day, where they are converted into full-color images and electronic data for posting based on your specifications.