Tag Archives: fintech


An AP pro’s guide to convincing suppliers to adopt electronic payments

Businesses cite lots of reasons for continuing to pay suppliers with paper checks … … Inadequate resources to manage the transition … Lack of senior management support or mandate … Competing priorities … Fear of change But one of the biggest things keeping businesses from migrating to electronic payments is the misperception that their suppliers … Read More

Shifting your organization to a growth mindset

You may have heard the term “growth mindset” used in the workplace in recent years. While the concept itself is not a new idea, there has been a resurgence of the phrase as it applies to modern organizational cultures. The payments industry is evolving rapidly today, with a growing set of electronic payment options that … Read More

Paymerang Named #1 Best Tech Startup in Richmond

Paymerang Named #1 Best Tech Startup in Richmond We are proud to be named #1 Best Tech Startup in RVA by The Tech Tribune! We are grateful for each and every one of our amazing team members and clients who makes our awesome company what we are today, and we look forward to our continued … Read More

An AP pro’s guide to convincing suppliers to adopt electronic payments

Businesses cite lots of reasons for continuing to pay suppliers with paper checks …

… Inadequate resources to manage the transition

… Lack of senior management support or mandate

… Competing priorities

… Fear of change

But one of the biggest things keeping businesses from migrating to electronic payments is the misperception that their suppliers won’t accept them.  The reality is that most suppliers want to receive more payments electronically.  Electronic payments provide suppliers three big benefits

1. Lower cost of doing business: Electronic payments result in less paperwork and fewer posting errors for suppliers.  Electronic payments also are deposited directly into a supplier’s bank account, eliminating the need to process checks, make trips to a bank to deposit checks, or pay for a pricey bank lockbox service.  And the visibility and predictability of electronic payments reduces the time that suppliers spend chasing outstanding payments.  The cost savings from electronic payments often dwarf the merchant service fee paid by suppliers.  

2. Improved cash flow: Electronic payments reduce a supplier’s receivable cycle.  For starters, electronic payments arrive faster than paper checks and there is no chance that a virtual card or ACH transaction will become lost.  Suppliers can track the status of an electronic payment, and they can always count on it arriving on time.  Many buyers will even pay a supplier early in return for a discount on the invoice-due amount.  And some buyers will tier their payment terms to incentivize suppliers to accept electronic payments; the payment methods that are most desirable to the buyer will offer the shortest payment terms.  Additionally, virtual card and ACH transactions are directly deposited into the supplier’s bank account, eliminating the possibility of lost float if busy staff cannot make a trip to the bank to deposit payments.  And the rich remittance detail that accompanies electronic payments streamlines the matching of payments and open invoices as well as cash application.  Electronic payments also are reconciled in real-time, improving the accuracy of cash flow reporting and forecasting.  

3. Higher sales: Accepting virtual card payments can raise a supplier’s standing with its customers, opening the door to more opportunities to capture more orders. 

Each of these benefits is tantalizing to suppliers. 

How to convince suppliers to accept electronic payments

As compelling as these benefits are, businesses still need to convince suppliers to accept electronic payments.  Here is a step-by-step guide to ensuring strong supplier adoption of electronic payments:

Step 1: Analyze your spend file

The first step towards strong supplier adoption of electronic payments is to analyze your spend file to identify suppliers and purchases that are good candidates for electronic payments.  Consider key criteria such as payment value, the number of payments per supplier, the percentage of corporate spending represented by the supplier, the contractual relationship your business has with the supplier, the strategic importance of the supplier, and the supplier’s receptivity to electronic payments (e.g., have they asked to be paid electronically?).  An electronic payment solutions provider can review your spend file to identify suppliers that already accept virtual card payments from other businesses.

Step 2: Segment your suppliers

The insights provided by a spend analysis will enable you to segment your suppliers and develop a proposed approach to electronic payments for each one.  Work with stakeholders such as treasury and procurement to create a plan for strategic and non-strategic suppliers as well as suppliers of large-ticket items, contracted suppliers, suppliers of commodities, and one-time suppliers.  Don’t fall into the trap of thinking that only strategic suppliers are candidates for electronic payments; many businesses make most of their payments to suppliers who don’t represent most of their spend.

Step 3: Engage your suppliers

Engaging suppliers starts with ensuring that you have current contact information for each one.  Be sure to make any updates to your vendor master database.  Once you have the contact information in-hand, you can begin engaging suppliers based on the plan you developed for their segment.  The engagement plan for each segment might include telephone calls, e-mails or mailed letters and should detail when each supplier segment will be engaged.  Be sure each printed or e-mailed communication to suppliers reflects your corporate branding, includes the telephone number and e-mail address of a person the supplier can contact for more information, is customized with a message for the supplier’s segment and clearly articulates the benefits that suppliers will achieve by accepting electronic payments.  Telephone calls to suppliers should be carefully scripted with suggestions for tackling objections.  It is also a good idea to provide stakeholders with a list of Frequently Asked Questions (FAQs).  While suppliers should be given opportunities to immediately opt into your electronic payments program, don’t be surprised if it takes multiple attempts to get a response from suppliers. 

Step 4: Support your supplier

No one likes to feel abandoned.  That’s why it’s critical to develop a plan for supporting suppliers after they enroll in your electronic payment program.  Your plan should address the administrative process for onboarding suppliers, initial and ongoing support, and any bank-related issues.

Step 5: Don’t stop onboarding

It’s tempting to shut down your onboarding efforts once you’ve reached your goals.  But a better approach is to analyze your spend file on an ongoing basis to identify opportunities to onboard suppliers.  Over time, your supplier base will change, supplier contracts will come up for renewal, decision-makers who were resistant to electronic payments will leave, negative perceptions of electronic payments will soften, and your business will gain more leverage with some suppliers.  All these scenarios are a chance for you to engage with suppliers to drive additional adoption.

Following these five steps will ensure that you achieve optimum supplier adoption of your electronic payment program.  Do these steps daunting?  Don’t worry, electronic payment solutions providers can help you at each step of the way in driving supplier adoption, relieving you of the burden.

Ready to migrate your suppliers to electronic payments?  Schedule a demo.

Shifting your organization to a growth mindset

You may have heard the term “growth mindset” used in the workplace in recent years. While the concept itself is not a new idea, there has been a resurgence of the phrase as it applies to modern organizational cultures.

The payments industry is evolving rapidly today, with a growing set of electronic payment options that bring new opportunities for efficiency along with added fraud risks. This requires industry participants, like Paymerang, to constantly innovate to deliver value for buyers and suppliers while protecting client funds. A skilled and motivated workforce by itself is not enough since the landscape is shifting so fast. Companies need workforces with a capacity for growth and adaptation to thrive in the FinTech space.

Carol Dweck, a renowned Stanford University psychologist, coined the terms fixed and growth mindset after extensive research in students’ attitudes around failure. She found some students rebounded while others were devasted by the smallest setbacks. Dweck describes the simple, yet impactful differences between the two mindsets:

Growth Mindset: People with a growth mindset believe abilities—like talent and intelligence—can be developed through dedication and hard work. They’re more likely to enjoy learning, seek out situations to experiment, and see failure as an opportunity to grow.

Fixed Mindset: Those with a fixed mindset believe the opposite. They feel they “are who they are” and were born with a set level of talent, intelligence, and even interests. Because of this, they’re more likely to seek out opportunities and situations where these views are affirmed (like doing the same job over and over to receive praise) and believe that talent alone—not effort—is the source of success.

While the bulk of this research was conducted on students, these concepts can be seamlessly applied to organizations. Technological advances have made us more efficient, while also increasing complexity of challenges faced by employees. The pace at which we work is faster than ever before and frequent change (and sometimes a little chaos) is to be expected. Adopting and developing a growth mindset in the modern workplace helps increase resiliency in environments that demand quick adaption to change, frequent refinement of strategies, and decisive action within short time constraints.

Implementing a growth mindset into your company culture yields many benefits for individuals and teams. Once people stop worrying about failing, they are more open to creative thinking and problem solving, which leads to the discovery of new and innovative solutions. By trying on new roles and responsibilities, people learn new skills that strengthen their contributions and help them continue their career path.

Fully embracing the growth mindset and applying it time and time again takes deliberate, repetitive practice. How can organizational leaders help cultivate a growth mindset within their cultures?

Here are three tips you can start applying:

  1. Screen for a growth mindset. During the recruitment process, look for traits of a growth mindset in candidates. While interviewing, incorporate questions that dig in to core beliefs, past learnings and setbacks, and the ability to see out challenging tasks or projects. Asks questions such as, “what’s the biggest risk you’ve taken in recent years?” or “give me an example of a time you set an ambitious goal, did you meet it? What went well and what didn’t go well?”. This will give you a sense to what mindset a candidate may be bringing to the team.
  2. Set learning goals. Take the time to understand your employees’ goals. Regularly nudge and encourage new responsibilities (like taking the lead on a project) instead of playing it safe. Be sure to celebrate the learning process and highlight that setbacks are part of the growing process. This will build the resiliency muscles needed to dust one’s self off and to keep pushing forward.
  3. Foster a learning culture, starting with the company leadership. Leaders set the tone and people take note, making it even more important to “walk the talk”. Openly talk about your own successes and setbacks – what you’ve learned, what you’ll do differently next time. Leverage team meetings, town halls and other means of communication to highlight these learnings and encourage discussion and curiosity. Fostering this dialogue shows that it’s safe and encouraged to take risks.

FinTech companies today need to rapidly evolve to meet the needs of the marketplace. If you want to build a high-growth organization that is strong and resilient, start by supporting a growth mindset within your team members today.

Dweck, Carol. Mindset: The New Psychology of Success. New York: Random House, 2006. Print

Paymerang Named #1 Best Tech Startup in Richmond

Paymerang Named #1 Best Tech Startup in Richmond

We are proud to be named #1 Best Tech Startup in RVA by The Tech Tribune!

We are grateful for each and every one of our amazing team members and clients who makes our awesome company what we are today, and we look forward to our continued growth and success! Want to join our team? Check out all of our current openings here.

The Tech Tribune delivers the latest technology news, in-depth technology articles, and insights on the hottest technology startups all over the world. Their staff compiled the very best tech startups in Richmond, Virginia. In doing their research, they considered several factors including but not limited to:

  1. Revenue potential
  2. Leadership team
  3. Brand/product traction
  4. Competitive landscape

To see the full article and complete Top 10 list click here.