Where will small businesses find that kind of powerful tool? We expect they’ll first look to the bank or credit union where their business accounts reside. Which means the solution must be as easy for the financial institution to offer, blended seamlessly within its own products and brand, as it is for businesses to use. Such a solution would provide yet another opportunity for financial institutions to demonstrate their continued value and relevance.
At Fiserv, we’re taking the lead in helping financial institutions provide this critical payments capability to the small business community. CashFlow CentralSM from Fiserv will combine easy-to-use accounts payable and receivable workflows with the market-leading biller and merchant network and payment capabilities of Fiserv. The goal is to enable financial institutions to compete in the small business segment and help small businesses operate more efficiently.
Benefits for businesses
A banking-centric payments platform may help small businesses in a number of ways:
- Saving time and resources: A big-picture solution will decrease the time required to track and manage billing and payments, freeing up staff to concentrate on other revenue-producing activities
- More accessible data: Instead of trying to keep track of a mountain of paper invoices, or juggling information from multiple sites and systems, businesses will gain access to organized billing and payment data that’s easier to manage and understand
- Actionable insights: Robust reporting will help managers address issues and make more informed decisions
- Improved customer relationships: Questions and disputes will be resolved more quickly, because billing details and payment status will be easier to discover and analyze
Benefits for financial institutions
The small-business segment is crucial for community banks and credit unions. Small businesses are an important source of deposits, loans and cards. But without an integrated solution for managing all incoming and outgoing payments and cashflow, businesses rely on multiple service providers and are less likely to concentrate their deposit, card and lending relationships with their primary financial institution.
That’s why many banks and credit unions are actively looking to close this gap and position their institution as the “hub” for all their customers’ payment needs. The goal is to grow deposits; cross-sell cards, loans and merchant services; and generate new non-interest fee income.
An integrated cashflow and payments solution such as CashFlow Central can help financial institutions achieve that vision, and be the nexus point for deepening and expanding relationships with their highly valued small business customers.