Optimize Straight-Through Processing
Create a Supplier-Friendly Payments Ecosystem
The rush to bring automation, cost savings, and efficiency to the corporate payment universe has left one key stakeholder in the dust: suppliers.
Grappling with wildly differing payments platforms, suppliers must fork over fees just to get paid while losing staff time to training and management on these systems. New systems and system upgrades bring payment delays, new training demands, and time wasted communicating with buyer A/P staffs.
Recent tax cuts, consumer spending, and business investment translate to a thriving economy. In a universe where suppliers possess more clout and choice than ever before, payments systems must gain the flexibility to share the wealth gained from the fintech payments revolution with suppliers.
Many fintech payments innovation tools possess the potential to make this breakthrough, especially straight-through processing. This technology is well known for its ability to reduce errors, eliminate fraud and speed up payments.
Today, Finexio has already achieved an elusive, but much needed, breakthrough in supplier-friendly payments systems – the Finexio proprietary brand of straight-through processing. Finexio’s system provides all the benefits you, the corporate CFO, are accustomed to getting from your payments technology while offering supplier support.
The ABC’s of Straight-Through Processing
Straight-through processing ensures that payments are delivered electronically, automatically and without scope for error. Buyer and supplier payments staff can escape the purgatory of manual processes while avoiding human errors that can ripple through a payment ecosystem.
This processing method does not have to be fully adopted throughout internal systems or your entire supplier base. It relies on common standards within and between existing payment rails, which many suppliers have invested in heavily to consume automated data feeds into their ERP.
All this means that even if many of the suppliers you pay haven’t adopted these common standards, offering it to all of your suppliers provides a running start and encourages more adoption throughout your financial supply chain.
Advantages for the Buyer
Smart buyers seeking to build stronger relationships with suppliers and ensure their healthy cash flow can also achieve higher efficiencies, discounts, and breakpoints with Finexio. Virtual cards that operate with straight-through processing provide suppliers with an alternative to manual card transactions.
Superior to traditional straight-through processing and other payments methods, the Finexio payments system acts as an electronic lockbox – all your transactions are kept securely in one place. Payments are automatically processed, resulting in no expired cards or partial payments to reconcile.
In contrast to electronic payment providers such as banks, Finexio provides expert support during implementation and beyond. Dedicated, experienced customer service staff contact suppliers, enrolling them individually. Suppliers benefit from choice within the system and dedicated staff that solves any problems by individually enrolling suppliers in a system robust with payment options.
Virtual card data remains secure for all transactions, including multi-million dollar payments. With the Finexio team handling a significant amount of payment back-office functions, your payments staff can focus on higher-value tasks that advance your business goals.
Benefits for the Supplier
Finexio’s brand of straight-through processing was developed in direct response to the chorus of supplier pain points. This system reduces the barriers to accepting electronic or virtual cards while avoiding the extremely high fees charged by many processors.
Communicating directly with the supplier’s merchant account or processor, Finexio’s system facilitates the transfer of an electronic payment file straight to their bank. Suppliers avoid the potential extra work of keying data into their system manually and sharing their bank information, which can compromise security.
Barriers to supplier adoption are extremely low. Finexio’s proprietary system translates to the following advantages:
- No hardware or software required
- No PCI compliance
- Remittance reporting in native format
- Speedy handling of large payments
- Simple enrollment and onboarding
Jump on an Emerging Trend
Fintech payments processing is reaching an inflection point. Value-add systems such as Finexio’s offer tangible benefits for corporates and their suppliers beyond cost savings – more robust security, efficiency, effectiveness, and improved relationships.
As payments processing continues to evolve, partnering with a leader in technology innovation, and customer support brings lasting benefits. Ensure your payments staff can access a market leading system that supports the suppliers you depend on.
If you’d like to learn more, please contact us.