Noventis: SMBs, Look to Electronic Payment Automation Now
Taking electronic payments, and even in some cases making e-payments, has been an issue for the small and medium-sized business (SMB) market for some time now. Failing to take this technology into account in operations could be leaving some money on the table. A recent report from Noventis’ COO Blair Jeffery, sent our way, details how the SMB market needs to be addressing the notion of payment automation now.
Jeffery noted that the growth of the virtual card, or v-card, market has been climbing for some time now, to the point where simply ignoring it represents a major risk to SMBs everywhere. There is effectively too much risk now that, should an SMB ignore the v-card, that competitors will come in and seize the opportunity for themselves, giving themselves a key competitive advantage in the field.
However, Jeffery notes that actually accepting the v-card isn’t all that simple for the SMB. While there are plenty of automated reconciliation tools and straight-through processing (STP) systems available for the large business, the SMB is often ignored by fintech providers here because the market is perceived as too small, or only large in aggregate, which can be tough to pursue.
Since STP allows both buyers and suppliers to electronically supply information back and forth, it makes transaction processing that much easier and better. Plus, it reduces accounting hours required to manually enter information and verify transactions, which in turn saves money or opens up the opportunity to pursue other business, potentially increasing revenue.
Essentially, Jeffery’s report makes it clear that pursuing payment automation is the kind of thing that can improve a business’ operations and, all else being equal, make more money. Few businesses can pass up such opportunities, which should make further pursuit of v-card systems and the like a priority.
It’s important to note that electronic payments aren’t just a business-to-consumer concept. Businesses can use these technologies, and similar systems, to help drive payment automation within their corridors. The Noventis study shows just some of the possibilities afoot here, and the more businesses can put this concept to work—whether it’s customer-facing or with their suppliers—the more potential there is to realize cost savings, greater efficiencies, and a better overall operation.