American Express is joining forces with collaborative accounts receivable (AR) provider Versapay to help its clients improve the AR process.
According to a Tuesday (May 10) news release from Versapay, the partnership will give suppliers who use American Express virtual cards access to Versapay’s AR network of buyers and suppliers, providing a completely automated acceptance experience.
“Business buyers are increasingly turning to virtual cards to make faster, more efficient payments while giving them flexibility and better cash-flow management,” said Colleen Taylor, president of American Express’ US Global Merchant Services. “Suppliers are benefiting from these faster payments; however, the increasing volume of these transactions is making automating the receivables even more essential. ”
Versapay said the program also includes access to its ePayment Delivery Service (ePDS), which does away with email-based payment delivery and automates virtual card payment processing and reconciliation.
PYMNTS worked with Versapay on “The Strategic Role Of The CFO,” a report that, among other things, examined accounts payable (AP) and AR modernization.
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Close to 93% of American companies with at least $ 25 million in revenue reported that they were integrating digital technologies into their accounting operations.
The factors behind this wave of AP/AR digital transformation are familiar in a few ways. For example, the pandemic provided a motivational boost to upgrade invoicing and payment practices that have long been bogged down by inefficiencies and manual and paper-based processes, including a major reliance on paper checks.
However, the innovations taking place in finance offices are about more than just upgrading organizational efficiency and productivity. Chief financial officers (CFOs) have begun taking a wider view of AP/AR modernization-a view that is more comprehensive, strategic and customer-driven.
Our research found that payments are no longer just seen as a back-office function to be dealt with long after a contract or purchase order is signed. Rather, CFOs think of seamless and effective payment capabilities as vital to gaining new customers, maintaining long-term loyalty and speeding cash flow.