FreightWaves Ratings cuts through the noise of freight technology product reviews to make you a smarter buyer

How To Use Payment Workflows To Increase Your Efficiency

Finishing a delivery for your client is extremely important. It takes so much time and effort to get freight to its destination, and at the end of the day, you don’t want to have to wait to receive compensation for a job well done. When it becomes difficult for companies to pay you, they are not always inclined to get it to you quickly because it’s not as much of a priority for them as it is for you.

By implementing a payment workflow, you can make it easier than ever to improve your efficiency in terms of not only sending invoices to your clients but also their efficiency in terms of paying you in a timely manner. Let’s take a deeper dive into payment workflows and increased efficiency.

What Are Payment Workflows? 

A payment workflow is an extremely useful tool for drivers and companies that deal with many different clients or even the same clients regularly. When you have a payment workflow set up, you can process payments for your services in a more organized and efficient manner. Essentially, you’ll set up a system with your company’s information and then only input information regarding the specific invoice you need your client to pay. 

How Do Payment Workflows Work? 

When you have a payment workflow properly set up, you can quickly send invoices to your clients and receive payment from them. And with the proper setup from a payment solutions provider, your clients will receive reminders and methods through which to pay your business. 

Advantages of Payment Workflows

When you use payment workflows you will see a speed up in the office side of your business. Sending and receiving invoices will be faster than ever because you don’t have to get approvals and signatures from those involved. All you do is input the information regarding the invoice and send it out. 

A proper payment workflow not only benefits you but also benefits your clients as well. As a client, nothing is more frustrating than trying to pay an invoice, and the methods through which you can do it are limited. Some payment software companies make transactions simple allowing for debit, credit, ACH transfer, and other payment methods. 

How Payment Workflows Will Improve Your Business

Here are some of the best ways in which you will see a difference in your business when using a payment workflow.

Automation

Automation is one of the staples of the modern work environment. Being able to make things faster and easier is the entire point of inventions and new ideas. Payment workflows are just such an idea. It is a way that you can automate your payment process allowing you to spend less time focused on the paperwork of a deal already confirmed and focus on any future deals to keep the cash flow moving into your company. 

Reminders

Sometimes all it takes for your company to be paid is a simple reminder for your client. Rather than wasting time going through financial records and finding out who has been and who needs to be reminded, you can automate reminders to your clients that payment is due. Additionally, you could offer discounts for early payments, encouraging and incentivizing your clients to pay quickly. 

Reports

Knowing what to expect from clients can help you to collect and track transactions more efficiently. This data can give you insight into the speed at which vendors pay, how many reminders it could take, or just simply how long the transfer takes to get from their account to yours. All of this helps you to plan for the best results for your business. 

Payment Types

Limiting customers on how they can pay may help you but it hurts them. It is not uncommon for a business to switch who they work with because of a difficult payment process. 

When you use a payment workflow, it should be a part of it that accepts multiple formats to complete the transaction. Checks and bank transfers as well as payments via debit or credit cards, among other methods, should all be options for your customers. 

Approval

The shortest distance between two locations is always a straight line. The same can be said when it comes to invoices. When you have to jump through hoops and get approvals from multiple people within a business, the entire process could take a week or more. 

When using payment processing services for payment workflows, you’ll remove those hoops, meaning you won’t have a lot to jump through anymore. Plus, it will get your invoices to the client much faster, meaning your business will be paid a lot faster as well. 

Is a Payment Workflow Right For My Business?

At the end of it all, you have to determine for yourself whether a payment workflow is right for you. Even if you don’t opt for a payment workflow, you can always establish methods from one to improve your system. 

But if you truly want to save time for your company, use a payment workflow provider and you’ll see a difference in how quickly you can send invoices and receive payment through their automated systems. Even a one-person show can get behind on payment without the ease and convenience of a payment software like this. 

Payment Without Procrastination

Putting off payments can be easy to do when the process is difficult to navigate and full of holes that need to be jumped through. When you use a payment workflow your customers will be much more inclined to use this easier-to-navigate system to get your payments filled.

Customer satisfaction is not only influenced by the products and services you provide but also the entire process as a whole. Increasing your efficiency with payment workflows will bring peace of mind to you and your clients as well. 

FAQ

How are Invoices Processed?

The invoice is received by the client, approved, a remittance date is determined, the invoice is paid and then added into any documentation or ledgers.

What Is Payment Approval?

Payment approval is when all parties that need to approve a payment validate the request to send payment.

What Are the Three Basic Configurations for Processing Online Payments?

1. Merchant Account 2. Payment Processor 3. Payment Gateway.

Sign up for a FreightWaves e-newsletter to stay informed of all news and trends impacting supply chain careers and operations.

Supercharge your business with Helcim

Helcim empowers your supply chain business with seamless payment solutions: virtual invoice terminals, secure transactions, multiple payment options, and streamlined record-keeping.