Is your suppliers’ reluctance or refusal to accept electronic payments a barrier to increased usage? Here are some tips for driving increased commercial card acceptance on the part of suppliers.
1. Leverage Inbound Contacts
Integrate supplier calls into your Accounts Payable (AP) department as an opportunity to introduce commercial card as a payment option that creates benefits for both parties.
2. Capitalize on Routine Communications
Incorporate commercial card payment information into standard communications (e.g., emails, check communications) with suppliers.
3. Be Proactive
Contact suppliers regularly to engage them directly on commercial card acceptance.
4. Define Payment Options
Create set payment options for suppliers with more favorable terms for card payments.
5. Get It in Writing
Take advantage of negotiation periods with new suppliers who are eager to win your business to get their commitment — in writing — to accept commercial card for future payments.
6. Pay Invoices Online
Identify suppliers that accept online payments for invoices, and designate a member of your AP staff to handle online payments.
7. Explore Alternative Options
Develop solutions for large suppliers that are resistant to accepting card payments. These solutions reduce the acceptance barriers and provide encouragement to switch from check and ACH to commercial card payments.
Ready To Help
At PNC, we combine a wider range of financial resources with a deeper understanding of your business to help you achieve your goals. To learn more about how we can bring ideas, insight and solutions to you, please contact your Treasury Management Officer or visit pnc.com/treasury.