Guide

Payment Processor

Payment processors are responsible for obtaining authorization for credit and debit card transactions. Payment processors instruct the financial institution as card issuer to pay the acquirer bank on behalf of its cardholder customer, using secure, encrypted information. Then the acquirer pays the merchant through their designated merchant account, which is a bank account.

Stripe vs Paypal

Stripe and PayPal are currently the most well-known online payment gateways in the eCommerce market. This article will cover the differences and similarities between Stripe vs. PayPal so you make a well-informed decision for your business.

Vendor Fraud

Vendor fraud schemes are one of the major challenges businesses face today. Fraud and billing schemes have ruined the financial fortunes of many, and have threatened the survival of some.
To effectively combat vendor fraud, organizations need to know how to identify them, practice due diligence, and establish effective internal controls.

Month End Close Process

Closing the books each month can be a tedious process, but it is vital to ensuring the financial health of your company. The month-end close can help you identify deviations from your financial plan early, so you can respond quickly. Conversely, it can uncover new opportunities for business growth, and drive strategies so you can exploit them.

Net 45

Net 45 is an important credit term because it allows customers to pay 15 days later than the more common payment terms of net 30. Net 45 could give well-financed businesses a competitive advantage if they’re willing to take the risk and tie up their cash in accounts receivable longer or offer an early payment discount combined with the net 45 credit terms.

Concur Competition & Alternatives

Although Concur and Tipalti both help companies automate their accounts payable processes, each platform is designed with different features and solutions for finance teams. Here’s a look at some of the differences between Tipalti and Concur.

Break Even Point

By implementing business growth and cost reduction strategies, management can change the break even point for your business calculated by financial analysts. The break even point can also change in response to external factors like inflation resulting in product cost increases, a recession, and increased competition. You have less control over the external factors.

Profit Margin

The profit margin is a financial ratio used to determine the percentage of sales that a business retains as earnings after expenses have been deducted. For example, a 20% profit margin indicates that a business retains $0.20 from each dollar of sales that it makes. By factoring in business expenses, the profit margin determines how well a company is able to manage expenses relative to sales, which makes it a good indicator of a company’s profitability and overall financial health.

Enterprise Risk Management

Enterprise risk management helps a company anticipate, detect, and respond to change. Risk assessment includes potential risks, new risks, and changes to existing business risks. Change creates both threats requiring lessening of downside risks and lucrative opportunities to pursue. ERM methodology builds resilience.

Procurement Strategy

A procurement strategy is the blueprint for implementing a procurement process. It considers everything from building a supply chain, the systems for initiating and tracking purchases, managing costs and risks, and evaluating results. The goal is to quickly match buyers with contracted suppliers, streamline transaction processing, eliminate errors, minimize risk, and effectively manage corporate expenses.

Financial Statements

Understanding financial statements is essential for accounting and finance team members, CEOs, business owners, creditors, and shareholders. This article provides financial statement basics and some more advanced concepts for complex companies.

Net 30

Net 30 is a common payment term for businesses selling to other businesses. It means you are giving your customers and clients 30 days, including weekends and holidays, to pay an invoice.

Working Capital

Working capital is the lifeblood of any business. You need it to fund daily business operations, cover expenses, and finance business expansion.
Working capital requirements can vary by industry. A manufacturer may need third-party funding for working capital since it generates revenues only after products are sold. The up-front funding allows the company to purchase the raw materials for productionEven better is the supermarket that can get suppliers to stretch terms to 75 days, which they could negotiate in exchange for expanding shelf space for a product line.

Financial Technology

Financial technology is advancing globally to improve and create financial applications with AI/ML-driven, algorithmic digital technology. FinTech significantly expands the types of financial data used. It enables insights, automated decisions, and actions for businesses and consumers.

Sourcing Vs Procurement

Sourcing and procurement aren’t separate business practices, where one has more value than the other. They are tightly inter-related business processes for purchasing goods and services. Together, they deliver great value to many businesses, especially those competing in competitive global markets.

Electronic Billing

You want to integrate as seamlessly as possible with existing accounting and ERP systems. However there are many key steps along the supplier payment process that still require significant manual effort beyond sending out payment instructions to the transfer API for bank, ACH, and wire services.

PayPal Transfer Limit

PayPal accounts have a minimum transaction amount of $0.01. This basically means there is barely any amount of money required to send a transfer with this financial service.

e Tendering

E Tendering helps businesses efficiently find the best suppliers for upcoming purchases at the right price. Multiple vendors respond to procurement opportunities electronically, competing to win sales or provide business services.

AvidXchange Competition & Alternatives

AvidXchange and Tipalti both help companies automate their accounts payable processes, each platform is designed with different features and solutions for finance teams. Here’s a look at some of the differences between Tipalti and AvidXchange.

Payment Terms

Payment terms are specifications of amounts owed, how, when, and where payments are due on sales transactions between sellers and buyers. Payment terms from a contract or purchase order are included on an invoice to the customer. Although payment terms may be negotiated, often the seller sets payment terms for routine sales transactions.

Spend Management

The primary goals of spend management are to prevent unnecessary spending, maintain accuracy and organization throughout the entire billing lifecycle, and manage supplier relationships.

Correspondent Bank

The correspondent bank receives instructions to process a transaction such as a funds transfer, settlement, currency exchange, etc., along with the requisite funds. It relays that to the other bank, thereby executing the transaction.

Transferwise vs Payoneer

Transferwise and Payoneer are two distinct online payment services that are unique in functionality, concept, and target audience. To compare, you should consider some of the following aspects: ease of use, fees, multi-currency capabilities, travel/debit cards, security.

Open Banking

Open banking is a driving force for digital transformation, using shared electronic financial data.
It provides lucrative business model opportunities for third-party Fintech app and financial services industry providers. Open banking gives global consumers and business users new products, valuable information, and payment services when they share banking data.