Why it’s a good idea to offer payment plans to your business customers

Payment flexibility has been commonplace in B2C transactions for many years, and now emerging payment technology is making this possible for B2B commerce. Whether you’re looking to get paid faster, reach out to current debtors, or provide a better customer experience, implementing an integrated payment solution that gives customers more ways to pay their bills is a great solution for any business.

This article explains why leveraging automated accounts receivable solutions while providing more convenient payment plans to your business customers is a good idea and a smart business practice.

Why should your business provide payment plans to business customers?

Once you’ve worked with some clients for a while, you know which accounts are reliable payers and which are perpetually late. Late payments can occur for a number of reasons including administrative errors, cash flow issues, manual processes where invoices get lost in email or post inboxes, or it can simply be attributed to options. limited payment.

Offering payment plans is a good way to encourage faster payment and demonstrates the attention paid to customers who cannot pay the full invoice amount on time, especially if a customer’s business is facing to financial challenges. And by offering solutions with several payment methods, your customers can find the option that’s best for them. This reduces the risk of late payments and strengthens your customer relationships.

Use the power of automated technology to deliver flexible B2B payment plans

Finance teams spend around 65 percent of their time on manual processes. Automation can reduce this time spent by 30 percent, allowing your team to work much smarter. Also, when you factor this in, an estimate 40 percent of all financial functions can be fully automated, which means your business can benefit from significant time savings through smarter accounts receivable management.

While your business can offer payment plans to its customers without automated systems or processes, this is more difficult to track, inefficient, and does not solve payment delays caused by tight cash flow in a customer’s business. . After all, when one company pays another company late, it usually results in a late payment effect throughout the supply chain.

Fortunately, technologies such as integrated payment platforms and automated accounts receivable These tools allow you to offer payment plans without hurting your business cash flow. With this technology, you can give customers access to more payment options including bank transfers, credit card payments, and B2B buy now, pay later (BNPL). And by offering a BNPL facility, you effectively remove the risk of dealing with insolvent companies and let a third party, like Spenda, take on the financial risk. You get paid on time, while we handle payments with your customers, giving you more certainty about your influx of money.

Satisfied customers are loyal customers

Customers love flexibility when it comes to paying for their goods, and it’s no different for businesses. By giving your business customers more flexible ways to pay their invoices, you will likely see larger and more frequent order volumes. On top of that, offering payment plans provides a better shopping experience as it shows that you understand that managing a business’s finances can be difficult at times, but you have the flexibility and the technology to offer options that will not be an administrative burden for either party. . And with that understanding, your business will be able to deliver a great customer experience, which can translate into more loyal, long-term customers. You’ll also be more likely to receive word of mouth recommendations.

Grow and get paid faster with Spenda

Spenda has the tools that can enable your business to provide payment plans and flexibility to your professional customers. Whether your customers prefer to pay by bank transfer, credit card or Buy now, pay later arrangement, Spenda offers all of these options in an intuitive, connected digital platform. It allows your customers to have more flexibility in their accounts payable processes, while you get paid faster. You will also save time and resources that you would otherwise have used chasing late payments.

Click here to download our free guide on how to improve cash flow management in your business and find out how you can get paid faster while creating a great customer experience.

  • This article is for general informational purposes only. Consult with a qualified financial advisor regarding any changes or decisions regarding your business finances.


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Elaine R. Knight

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