Now is the time automate and secure your Accounts Payable process.
Posted on Tue, Apr 05 2016 6:32 am
by Advantage Business Equipment
Benefits Of Outsourcing
The Business Check Payment Process
From expanding marketing efforts to managing
employees, business owners have more than enough work to fill each day. Most
business owners and their workers spend too much time on administrative tasks.
With today's technologies, a considerable amount of these tasks can be
automated or outsourced to save money. This does not mean staff cuts. However,
outsourcing some tasks can give your administrative staff more time to focus on
important high-value activities and the accuracy of those tasks. Projects that
will improve customer relations, increase sales and improve internal processes
are easier to develop and execute if administrative workers are not overwhelmed
with tasks such as printing checks and juggling vendor account files.
In most cases, in-house bill payment consumes a considerable amount of time and
resources. The task of issuing checks to vendors for financial obligations can
cost a business much more money than it should. For companies that still rely
mostly on paper-based processes, this is especially true. Issuing payments and
analyzing bills may mean hours of sorting through files and crunching numbers.
By making payments electronically and outsourcing them, business owners save
themselves the hassles and high costs of outdated paper checks.
Expenses Of Using Checks
To better understand the time and money that
goes into using checks and why they are wasteful, think about what usually goes
into each check. These 15 steps are associated with the issuing process in most
1. Worker requests payment approval.
2. Worker reviews payment with approver.
3. Approver reviews payment request for any
issues and requests additional data.
4. Worker spends time finding files and adding
5. Worker makes required payment adjustments.
6. Accounting manager reviews checks for
7. Worker sets up system for issuing checks.
8. Worker gathers paper supplies and prepares
the printer for printing checks.
9. Worker conducts test print to avoid errors
and then prints the actual checks.
10. Worker gathers signatures for the checks.
11. Accounting manager reviews checks for
12. Worker gathers documentation for any
discrepancies or issues.
13. Worker adjusts discrepancies and prints new
14. Worker puts checks into envelopes, add stamps and mails.
15. Worker sends positive pay file to the bank to
prevent check fraud.
When you factor in supplies and time, issuing a
check really costs you about $10.50. With an ACH automatic payment, you spend
about $0.50 instead. Since business owners and executives spend so much time
focusing on high-value tasks, they may not realize just how much time is wasted
on issuing paper checks. Also, the resources involved in issuing checks are
expensive. Printer ink, blank checks, envelopes and stamps are all expenses
that add up over the course of a year.
How Do Outsourced Payments Work?
solutions offered from Advantage Business Equipment, all of your accounts
payable can be paid electronically and automatically. Since our systems are cloud-based, they are always working for you no matter where you are. You
have professionals helping with your accounts payable who take the
responsibility of handling your finances seriously. Our platforms are efficient and
gives your workforce more time to focus on high-value tasks at the workplace.
Benefits Of Electronic Outsourced Accounts
As we mentioned earlier, the cost of printing
checks and using paper-based processes is expensive. You can save up to 80 percent
by using direct deposit instead of printing checks. These are some of the top
benefits of using our cloud-based system with ACH payments:
The transaction fees are
considerably lower for ACH payments.
ACH payments ensure instant
payment for your vendors.
You spend less on paper
supplies and boast a green paperless solution.
Recurring payments can be set
up to be paid automatically.
When vendors request checks,
they can be issued for 80 percent less than in-house processing costs.
The system stops fraud with
positive pay file submission.
There is full tracking and
You can review and approve
every payment before it is submitted.
Remote check approval is
available from anywhere in the world.
Put an end to the expensive hassle of having
workers spend hours buried in files and paperwork, stuffing envelopes and chasing
down invoices from your vendors. Let us help you set up a seamless and
efficient system for making quick payments that are secure and always on time.
Our experienced professionals process over 90 billion in payments every year, and
we want to help you experience the benefits of ACH payments through our new
cloud-based system. Contact us or visit ABE-Online.com to learn more.