If you own your own business you know that managing your business’s finances can be a full time job.
Maximizing automated solutions for these business related tasks is one of the services that banks are now offering to manage your cash accessibility. This multi-level service, called a Cash Management Program, is a versatile tool designed to streamline your business’s finances, making it more efficient and more cost effective.
Cash Management Programs can often be tailor-fit to your business so you can optimize its functionality and reap the maximum benefits.
They can be used to manage direct deposit payroll, originate electronic payments into your accounts from other banks, setup ACH payments out of your accounts, and send out wire transfers, allowing you to manage your accounts payable from one convenient screen. Cash Management Programs also offer remote deposit, allowing you to make check deposits right from your office.
These are some of the common questions business owners have about Cash Management.
What are the benefits of using it?
Most Cash Management systems allow you to access all of your business accounts from the same screen, even if you use more than one business name or more than one Tax ID. Systems that offer a single sign-on feature allow access to multiple accounts in one session saving you valuable time.
It also allows you as an administrator to assign multiple users. This function can be customized to allow certain access to other team members in your business to review accounts or initiate transactions at whatever access you decide.
Do I need a certain software or program to use it?
Many Cash Management Programs are internet-based, so there is no special system or software you need to install or download.
What do you mean by enhanced security?
Cash Management Systems use encrypted security to ensure your data is safe. Other elements to using these programs may include special tokens, which are used to verify the user’s authorization by requiring certain passwords or codes. As an administrator you can also require approval for transactions.
There are audit reports that can be run as well so you can see what access has been made by your other users.
Are there costs to enrolling?
Because of their advanced functionality and the bank support, Cash Management Programs do have a cost to the customer. Many programs, however, offer credits to the account holder based on their balances and their usage. So the costs are deferred in part—or, in some cases, completely.
There are cost savings however, with Cash Management Programs as well. Some fees that would be incurred by other customers, like a Wire Transfer Fee, might be reduced or eliminated with Cash Management Program, as they can be originated completely by the user.
How are the costs determined?
Costs will vary by the system, but many Cash Management Programs are tiered, so that you do not pay for services or modules that you will not use.
What type of businesses would benefit from a Cash Management Program?
Cash Management Programs have functions that would benefit all businesses, but some of the key components benefit businesses who: process a high volume of checks, often send out wire transfers, have direct deposit for their employees, have more than one business name or entity with which they do banking, or have more than one team member responsible for managing the bank accounts. Many business owners benefit from time and money savings having the ability to bank within their location and not having to visit a bank location as often.
Using the full cache of tools and services that your bank has to offer can help keep your business finances running smoothly and efficiently. A Cash Management Program is one of the most versatile of these tools.
For more information on a Cash Management Program at Savers Bank, contact a business banking officer.