A treasury management service will handle a company’s liquid assets and moderate risks related to the business’s operations, financials and even reputation. Therefore, it is imperative that any business owner makes the right decision when implementing such a solution. Go through the following points to know whether or not a particular treasury management system is the right one for the business.
Is the Treasury Management System Equipped to Handle Your Company?
A more appropriate question would be, is the treasury management solution equipped to handle the type of business that your company is involved in?
Some treasury management systems specialize in working with certain types of companies such as financial institutions, nonprofit organizations, or corporate clients. Others are capable of handling treasury management services for any of those types of entities. The trick is finding one with experience working with companies like your own. Before choosing a treasury management service, do some background research and take note of the companies they’ve worked with previously.
When your treasury management service offers proper receivables management, it automatically speeds up the in-between processes, which naturally improves the performance of the business by reducing Days Sales Outstanding (DSO) and improving the pace at which working capital is processed.
Some of the receivables management features expected from top of the line treasury management solutions are as follows:
• Analysis and research data
• Automated matching to expedite remittance processing
• Exceptions and deductions management
Efficient Payment Processing
An important feature of the payment processing system is making sure that the presentments and the deposits are not duplicated. The reliability of the data’s integrity is extremely important, especially when it involves multiple large-scale transactions on a regular basis.
Top of the line duplication detection features are a must for companies that deal with high volumes of payment processing on every business day.
The treasury management system should also be improving the business’s payment processing speed, providing an universal payment process to financial establishments and most importantly, the whole interface should be easy to use for everyone.
Automated Onboarding Services to Make the Sales Team More Productive
It’s 2019 and at this point, going paperless is not just ecofriendly, but there’s a prominent economic and productive advantage to it as well.
The automated onboarding services of your treasury management solution will mostly make the sales team a lot more productive because they don’t have to spend time filling in repetitive paperwork anymore, but can instead use that time to do what they were hired for, which is selling!
Now that we have discussed at least some of what to expect from a treasury management solution provider, it should be easier to make a decision. However, before you sign a contract with a treasury management service for the first time, make sure that it’s a short-term contract. Short term contracts are always the way to go when you are selecting a treasury management system for the first time. If it works out, you can always lengthen the contract, but if it doesn’t, the company can explore other options at the end of the small tenure.