What Is A Payment Management Software?
Cash flow issues and payment delays threaten the productivity and financial stability of Home Builders and Trades, especially amid rising costs, supply chain issues and labor shortages. Late payments have numerous consequences, from wasted staff time and resources to reduced profit and project delays. Too many Builders still rely on clunky and error-prone manual payment and accounting methods. Recent construction surveys indicate poor communication and cash flow issues are contributing factors that cause payment delays. The good news is switching to a payment management software solution can completely resolve many of these issues.
What Is A Payment Management Software?
Cloud-based payment management software seamlessly integrates with an ERP accounting system. Online payment management systems automate the process of paying Suppliers and streamline the accounts payable (AP) process. Payment software solutions allow Builders to pay Suppliers with their preferred payment method. Payment management software that is cloud-based enables access via desktop or mobile—on job sites, at the back-office or anywhere else Internet access is available.
What Is Included In A Payment Management Software?
A robust payment management solution allows users to manage payments far more efficiently than any manual system. Features include real-time payment visibility for both Builders and Suppliers and the ability to use this data to run a variety of reports. Look for a solution that combines payment methods, subsidiaries and regions with real-time payment integration and service available 24/7.
How Does A Payment Management Software Work?
As part of onboarding, Suppliers must verify their identity and bank account information (if applicable) and authorize electronic payments. Upon registering and periodically thereafter, it may be necessary to provide and/or confirm information and documentation to ensure compliance. Payment management systems are accessible 24/7 via a website or mobile app and are password protected. Suppliers have sole discretion to choose their preferred payment option and if there is a fee associated with that option, this is clearly stated. While payment options may vary per vendor, these typically include bank account transfer, a prepaid card issued by a third-party, funds loaded to an existing debit card, check or ACH. After a task is completed by a Supplier, invoices are seamlessly managed, approved and processed for payment. The payment management software then matches invoices with electronic purchase orders and receiving reports.
What Are The Benefits of A Payment Management Software
Investing in the right construction payment management software eliminates rummaging through piles of paper searching for past-due invoices and writing paper checks. Automation improves the billing, invoice and payment process between Builders and Trades. The right solution enables checking records, tracking past and present expenses and identifying fraudulent charges much faster. A 100% paperless solution reduces the possibility of checks getting lost in the mail or fraudulent activity such as check washing.
Explore Hyphen Wallet: Our Payment Management Software
Hyphen Wallet is an advanced invoice and payment solution for Builders to pay their Suppliers, Trades and Vendors when and how they want to get paid. Hyphen Wallet features an easy-to-use portal that integrates seamlessly with current Hyphen Builder and Supplier ERPs, including the ability to track, reconcile and report payments. Auto reconciliation ensures a fast, accurate financial close cycle and improves cash flow visibility and working capital management. With accounts payable automation, users can reduce invoice processing time by 80% and invoice errors by 23%, thereby increasing Supplier satisfaction. Learn more by scheduling a demo.