“Our technology is a game-changer by dramatically improving the order-to-payment experience for finance teams and their clients.”
The business leader recently spoke to YayPay CEO Anthony Venus about his company’s innovative Accounts Receivable (AR) software, how they can help businesses through COVID and key trends that may be happening on the market.
Can you tell us a bit more about YayPay and its role in the AR industry?
YayPay is a leader in Accounts Receivable (AR) and payment automation software. Our primary goal is to revolutionize the future of finance teams’ work by reducing outstanding ARs and bad debts, saving money on payment fees, and streamlining operations.
Our technology is a game-changer by dramatically improving the order-to-cash experience for finance teams and their clients. This means that we are at the forefront of back office automation and machine learning, and we are committed to developing the most efficient, intelligent and user-friendly AR software for our users.
I co-founded YayPay alongside Eugene Vyborov, who is our Chief Technology Officer. We have grown rapidly and are now an international team spread across Europe and North America. We are also recognized as a leading player in augmented reality automation by the International Data Corporation (IDC). This year, we joined Quadient, which helps hundreds of thousands of businesses around the world optimize their customer relationships through its hardware and software.
What are some of the benefits of YayPay for fast growing SMEs?
High-growth SMEs want to cash in quickly, while maintaining critical customer relationships. Many SMEs also have smaller AR teams and therefore have to do more with less.
We use data, analytics, and customer communications to streamline the RA collection process. Ultimately, this cuts down on manual labor and turns exceptional RA into cash.
Our end-to-end AR automation solution is powered by AI and data-driven insights. Through predictive analytics, we can help businesses identify “at risk” customers, allowing AR teams to begin communication and resolve issues earlier. Our centralized portal saves businesses a lot of time by automating communications and organizing all collections and customer communications in one place. YayPay’s digital payment portal also offers payment ease. Buyers can be put on payment plans that help businesses reduce bad debt. We also integrate with credit rating agencies, major enterprise resource planning (ERP) systems, and Salesforce to enable seamless data exchange between important financial systems.
When it comes to AR, customer service is often overlooked and small businesses don’t always have the resources of their larger counterparts. But poor communication can be detrimental to customer relationships. With more effective communication, businesses can nurture strong relationships with their customers, while ensuring they get paid on time.
These services mean that AR teams can take on additional volume and handle more customer issues without increasing headcount. This can be crucial for a fast growing SME.
What should fast growing SMEs think about and prioritize when it comes to RPL?
It is about regular and targeted communication and collaboration with customers. If your business is growing or growing, small businesses need to have the right technology in place to handle the increase. Otherwise, you would need a small army to complete the tasks! Today more than ever, cash is king and SMEs must prioritize efficiency when collecting amounts due. But it should never come at the expense of customer relationships.
How would you describe the AR industry historically, for example, what have been some of the pain points?
Historically, AR has been slow to innovate, involving many manual processes and routine tasks. One of the reasons is that accounts receivable is not just a financial process. It is also managing the customer relationship. Building software that tackles these two major issues while maximizing automation was a complex endeavor that required a modern, AI-powered, cloud-based approach.
Another issue is credit risk management – deciding the terms under which you will be doing business with a potential customer, or in other words, how much confidence in dollars you will place through an invoice.
For companies that send communications on a large scale, it can be difficult to preserve and manage these important customer relationships, especially since the process often involves several different departments. The balance can also cause problems for the application of cash, which means that the money paid to the bank can be reconciled with the correct unpaid invoice. This can be further complicated by litigation and deductions.
The digitization of payments has been accelerated by COVID and is only expected to continue, with many merchants increasingly accepting forms of digital payments. This helps to increase the efficiency of the payment process so that businesses can get paid faster.
Beyond the process of collecting amounts owed, there was also a lack of transparency. Without analytics and predictions, business leaders and C-Suite haven’t been able to see what’s going on with cash flow, lacking visibility into when to expect cash or cash payments. know what is at risk.
What are some of the challenges AR teams face today (especially with COVID) and how can YayPay help them?
Traditionally, many AR teams have worked together from the same office location. But the COVID outbreak and the subsequent need for social distancing meant the AR teams were suddenly divided and worked away from remote locations. At the same time, unfortunately, many companies were facing financial difficulties and cash flow became critical. This has brought new urgency to the importance of AR. The dispersed AR teams were able to use our service to adapt quickly and ensure that invoices were paid quickly, while being sensitive to financial challenges that customers might face.
What key trends do you see emerging in the AR industry over the next few years?
While AR has been slow to modernize, AI, automation and digitization have had a major impact in recent years that is expected to continue. AR is no longer the preserve of AR teams and has become a key topic for business leaders and the C-suite. COVID means cash is more important than ever, and management needs to know that bills are paid on time, and if not, why not. We are seeing greater recognition of the vital role the AR team plays.
Another key trend is workforce agility. COVID has forced businesses to become nimble and efficient, but has proven that AR teams can function and thrive remotely. This will only continue, but its success depends on the technology and automation tools that keep these processes running and streamlined.
Finally, we expect digital payments to accelerate. Over the past few years, in the US B2B market, we’ve seen check payments capped at just under 50% of transaction value. But as the pace of digitization continued, it had clearly slowed down. Today in the United States and across Europe, we expect B2B digital payments to become the norm, even in the most traditional industries. After all, how do you process a check manually or make a payment over the phone when fewer people are at their desks during the pandemic, and many companies are planning to implement remote or “hybrid” working practices in such a way? permed. These trends are here to stay.