Are Your Clients Still Paying with Checks?
Paying with checks isn’t what it used to be. According to a 2013 Federal Reserve study, payments by check have dropped by more than 50% from 2000 to 2012, while electronic payments have tripled. (businessinsider.com) In today’s business world there are far more convenient payment methods. For many of your clients and prospects, it may seem difficult to transition away from checks. However, by coupling your expertise and resources as a bank or lender with an ArtisPay SCF program, the process is simple. Your clients can do away with buying checks, stuffing envelopes, purchasing postage and physically mailing the checks. They can free up those valuable resources, time and money spent on paying with checks and focus on growing their businesses.
In addition to the costs outlined above, clients paying with traditional checks are subject to fraud risk with every single payment. Bank account information can simply be lifted from any check and signatures may be subject to forgery.
Cutting-edge companies are reducing fraud risk and costs associated with checks by utilizing an SCF program. As their lender, you pay their suppliers on their behalf. SCF programs reduce payment costs, cut out the risk of fraudulent checks and return valuable time and labor back to a company’s A/P department.
Next week I will discuss the importance and advantages of incorporating different payment types into your clients’ portfolios.
For more information, contact the Artis Trade team via email at [email protected].
Robyn Barrett is a founder of Artis Trade Systems and the managing member of Factors Southwest, LLC, (dba FSW Funding) an independently owned and operated factoring firm. She helps small to mid-sized business-to-business companies secure funding that may not otherwise be available. By giving them access to the capital needed to grow, FSW Funding is helping shape the business community.