Case Study : Touch of Modern
Online Marketplace Pays Suppliers Worldwide
Touch Of Modern is an eCommerce website that caters to the modern lifestyle. From furniture to fashion,Touch Of Modern is redefining the online shopping experience – every product is curated by in-house design experts and offered at unbeatable prices for 5 days at a time. Touch Of Modern uses Tipalti to:
- Automatically upload invoices and pay vendors, allowing their suppliers to be paid in a much more timely fashion.
- Schedule payments in advance, greatly improving cash flow.
- Eliminate the need to interact with multiple banking systems and purchase foreign currency, significantly reducing time, effort, and chance of error.
Touch Of Modern saw its revenues quadruple in 2013, while similarly growing its supplier base. This created the need for an easy, automated, mass-payout system that will serve its domestic and international vendors. The company needed a way to pay vendors quickly, compensate foreign suppliers without hassle, and streamline their tax and regulatory compliance.
Prior to using Tipalti, it typically took Touch Of Modern up to a week to upload invoices and pay vendors; now this process is automated and completed instantaneously, while paying suppliers in a timely fashion. Touch Of Modern now schedules payments ahead of time for a set date,greatly improving cash flow. “Thanks to the automation provided by Tipalti, we can run our business without the need to staff a dedicated accounts payable department, saving significant time and resources. Tipalti has given us increased control and clarity over our payment methods and eliminated the chance for human error,” says Jonathan Wu, Touch of Modern’s COO.
Since Touch Of Modern frequently pays foreign suppliers, Tipalti’s solution has eliminated the need to interact with multiple banking systems and purchase foreign currency. All payments, in all currencies, are now made from a single platform reducing time and effort, while improving the security of payments and cash flow management.
Touch Of Modern also significantly improved their tax and regulatory compliance. In 2012, it typically took the company weeks to upload and process W9’s; a process that has now completely been automated thanks to the simplicity of Tipalti’s tax-form collection module.
Mr. Wu adds: “Thanks to Tipalti’s use of a white-labeled iFrame, the integration of the software into our systems was seamless and our vendors didn’t even notice the change. They greatly appreciate the ease of use of the system and the flexibility it offers them to choose the payment method that best suits their needs.”