Getting Suppliers to Switch Over to E-payments
What are the advantages of getting suppliers to adopt e-Payments instead of staying with traditional payment methods? Suppliers are often comfortable with older methods, like paper checks or credit card payments, so it’s important that you explain the advantages of changing processes.
E-payments, also known as ACH payments, are electronic payments made through the Automated Clearing House (ACH) Network. This method can greatly increase efficiency, with faster payments, fewer errors, and savings all along the payment chain. ACH payments are received more quickly, with fewer errors. Costs are lower per payment than with credit cards, and you can even use it to automate the collection of bad checks.
E-checks work similarly to paper checks, and are drawn on bank checking accounts. They offer reduced risk of fraud and faster verification than paper. PayPal is another example of an alternative electronic payment method. Its brand name recognition is assuring to buyers and sellers alike. There are no monthly fees or costs until a sale is made, and it offers international services, tracking reports, and multiple account options.
Encourage your suppliers to convert to e-payments by identifying the best candidates for the changeover and giving them a range of e-payment options to match their needs.