A Beginners Guide to Using Bacs Payments in Business
Bacs approved payment solutions can free up time and energy for businesses looking to streamline their payment processes. Bacs bureau approved systems allow customers to create direct debits from their banking accounts with merchants receiving funds within three days. These transactions are safe, easy to track, and require less attention by the merchants. Utilising direct debits means funds are received more quickly by the merchants, and with a low level of data inputs required there are fewer chances for error.
Bacs payment transfers through software systems are set up with annual fees and require no additional hardware to use. This one time yearly fee scheme removes the sage charges most frequently implemented by credit card companies, thus lowering the cost of doing business. There are no hidden fees, thus making budgeting more accurate as well as ensuring that cost overruns will not eat into profit margins.
Bacs (Bankers' Automated Clearing Systems) are utilised with bank standard safety protocol and users can rest assured that their personal data is secure. Online payments require top levels of safety of customer data, as once that confidence of security is breached, it is very difficult to gain back. Bacs bureau’s secure FTP upload prevents any manual intervention, which is a necessity if you want reliable security. Merchants enjoy the peace of mind that banking standards bring and offer their clients a safe and easy way to make recurring payments.
EASE OF USE FOR BOTH CUSTOMER AND MERCHANT
When customers agree to a direct debit payment there is a onetime sign up with their banking credentials - and the rest of the process is fully automated. Customers enjoy knowing that their personal budgets have a fixed payment direct from their bank accounts and are also provided with top-level security with protocols conforming to banking level requirements.
Banking statements are clearly marked for the customer with their payment details and the entire process is much more streamlined for both parties. Merchants enjoy automated monthly reporting with all necessary payment details on the customer level as well as a compilation of all payments received.
SHORTER PROCESSING TIME
Funds are deposited within three business days and payment revenue can be easily tracked and managed. Automated payments have a shorter lag time and are reliably deposited into the merchant account with regularity. Funds are received on a timely basis and are more easily tracked and managed. Automated reporting of all the company's Bacs payments contribute to a higher, more accurate level of data tracking and analysis.
Credit card companies do not typically batch payments, and customers have more latitude on when they pay and the amount paid which can make managing cash flows an inefficient process with usage fees changing from month to month. Direct debits are easily managed and provide a continuity in revenue levels that is not available through most other payment methods. Funds are available to the merchants within three days of payment and with the static payment dates cash flows can be managed accordingly and with greater accuracy.
QUICK IMPLEMENTATION PERIOD
Cloud based software is easy set up and implemented, with very little down time. There are no hardware requirements and with the software systems operating independently, there is less likelihood of problems and delays during the set-up process. Some payment systems require expensive hardware, a lot of trouble shooting and hidden fees. Bacs direct debit schemes have a single annual fee, no hardware requirements and can be utilised in a very short period of time. Software such as Bacs approved bureau can be integrated with any payroll software, making it easy to set up and use.
Software as a service (SaaS) provides cloud based programs that allow for greater security of customer data and a higher level of data accessibility for the merchant. Information can be accessed on-site as well as remotely for better management of data and payment flows.
Bacs payments make sense for any business that receives regular payments from their customers and can streamline the accounting process as well. The proper system can be up and running within a matter of days and at minimal cost. These direct debit schemes make tracking revenue a much more simplified process and aid businesses in tracking sales performance, customer retention and cash flow management.
In today's high tech world, it makes sense to take advantage of the most efficient systems that are available to merchants.