Myth Busters: The Truth about Automated Payments
Billing and invoicing have long been dreaded tasks at most firms. The manual processes that have traditionally ruled these tasks make them tedious, overly time-consuming and highly prone to error. That’s a problem for firms, because getting paid leads to profitability, which in turn provides a stable foundation to better serve clients and grow.
Firms are certainly realizing that manual billing processes no longer work. However, too many are still hesitant to implement automated payments to alleviate the pain points. Much of this reluctance is due to some pervasive myths that surround automated payments.
Below, we debunk five of the most prominent myths surrounding automated payments and explain why you should be implementing technology to handle your billing and invoicing processes.
Myth 1: Automated payments aren’t ready for prime time.
Reality: Automated payment technology is far from being “too new” to be trusted. In fact, many firms are already reaping the benefits of automated payment technology. According to a 2020 survey sponsored by the Federal Reserve, a majority of businesses report using some form of faster payment technology, including automated payments. Those who haven’t yet implemented these technologies expect to do so by 2023.
Myth 2: My clients aren’t asking for automated payments.
Reality: Your clients don’t like complicated, tedious billing processes any more than you do – they want to be able to quickly pay your bills and get back to their business. Collections issues, which are often caused by time-consuming and confusing manual processes, can create a significant strain on your client relationships. Automated payments, on the other hand, make it easy to pay, which improves payment speed and satisfaction.
Myth 3: Automated payment processes aren’t as secure as paying by check.
Reality: Automated payments are far more secure than using paper checks. Check payments typically require sending bank account and other sensitive information via the mail or unsecured systems. Automated payment systems, on the other hand, keep all client information safe in one secure place where you can manage that information and restrict access to it. Furthermore, there’s no risk of checks or sensitive information being lost in the mail.
Myth 4: Automated payments cost more than paper invoices and checks.
Reality: While any technology requires an initial investment, an automated payment system will save your firm significant money in the long run. Considering the hundreds or thousands of bills and invoices you handle every month or year, those costs quickly add up. Perhaps more significantly, though, paper payment processes require considerable amounts of your staff’s time. When you replace those tedious tasks with automation, your employees are freed up to instead use that time to focus on work that helps grow your firm and boost revenue.
Myth 5: Automated payments won’t work for my special billing needs.
Reality: The right automated payments system can handle even the most complex of billing arrangements, including alternative fee arrangements. In fact, automation makes it easier to manage a variety of payment arrangements for your different clients, keeping all your activity in one place where you can oversee billing from invoicing to reconciliation of your ledgers. Automated payment systems also make it easy to set up recurring payments, allowing for a set-it-and-forget-it payment process that makes it easier for clients to pay and allows you to get paid faster.
Hopefully we’ve shattered any myths that have been holding you back! Now take the next step, and learn more about APX – Abacus Payment Exchange.
APX makes billing a quick and easy process for law firms and accounting firms. Fully integrated with the practice management tools you already use – AbacusLaw, Amicus Attorney, Amicus Cloud, OfficeTools and OfficeTools Cloud – APX allows firms to process credit card payments and ACH transactions securely from within your practice management software.
Using APX from AbacusNext, you can create seamless workflows that make it simpler for your firm to get paid and manage all aspects of billing and invoicing according to your firm’s unique needs.
To learn more about making the switch to automated payments with APX from AbacusNext, contact us today.