Have you considered direct debit oppose to standing order to deal with variable as well as fixed amounts?
The ability to pull agreed variable or fixed amounts from a clients bank account ensures your debtor days are reduced, cash flow improved and credit control streamlined.
However, setting up an in-house Direct Debit facility requires sponsorship in to the Bacs scheme from your bank, as well as expensive Bacs approved software, back office capabilities to manage admin.
A Bacs approved Bureau can offer this facility as an outsourced solution. Offering a fully managed Direct Debit processing service without any requirement of sponsorship from your bank. Collections can be made in your name, managed in the most secure of environments, paper or paperless sign up's etc. making Direct Debit viable!
If this isn't an attractive collection method to your accountancy practice then I'm sure it will be to many of your clients in an economic climate where cash flow is extremely important. Offering advice to adopt payment methods that improve cash flow adds value to your service offering in a competitive market.
Cost should not be the only driver when choosing a Bacs approved Bureau. It’s important to be able to trust your provider’s security, experience and dependability when dealing with financial transaction.
The main advantage with Direct Debit over Standing order is that it supports variable as well as fixed payments which is useful for instance with the recent VAT increase. It also offers reporting on canceled and unpaid payments whilst Standing Order does not.
I would recommend getting in touch with First Capital Cashflow. We are very dependable and have been around for over a decade and deal with Direct Debit services for anything from SMEs to the public sector – very trustworthy.
Simple Direct Debit integration without any technical hassle
First Capital Cashflow offer a range of Direct Debit solutions to SMEs. I appreciate the last thing you want when you’re outsourcing is extra work with developer level integration. You need the full support from an experienced company that has a tried and tested means of ensuring they can get things right first time and started quickly.
It worth giving First Capital Cashflow a call, I’m confident a quick chat with one of the sales team and you’ll be safe in the knowledge Direct Debit is something you can use no matter what your size at affordable prices but more importantly with dependability ensuring cash flow is improved.
First Capital Cashflow are a Bacs approved Bureau that offer a range of bespoke Bacs processing services incorporating Direct Debits and Credits. Our portfolio of clients comprises large Corporates, owner managed SMEs, Not for Profit organisations and the Public Sector.
Outsourcing to First Capital Cashflow can be more resource and cost effective. To find out how we can help call 0844 82 66 700
direct debit improves cash flow for you and your customers = goo
Monsoon
I would have to echo your comments on the ethical concern associated with debtor days oppose to cash flow issues with direct debit. I recently wrote an article on the concern of debtor days and how direct debit can be the solution to improving such issues. In fact I found some research by ByteStart that suggests 25% of SME failures in the UK are the consequence of issues with late payments.
Furthermore, direct debit doesn’t have to be structured and set amounts, it can debit twice a month, weekly quarterly etc, and the amount can be flexible as well. It’s just a simple case of notifying the payer in advance. So I would disagree that it is detrimental to either your own or customers cash flow. Moreover, direct debit is a trusted form of payment collection and very secure. At First Capital Cashflow Plc we take the time to offer information that can be relayed to your customers expressing the benefits for them as well as you.
Direct Debit options and the effectiveness of direct debit
If you’ve already defined that direct debit is a suitable way of collecting payment from your customers/subscribers, then the short answer is ‘Yes’ direct debit is most probably the most effective method payment and certainly more effective than standing order or credit control.
Because direct debit is an automated process where collections are made on agreed dates, then this means you have greater control and a better knowledge of what your cash flow is going to be i.e. when cash will come into your account. There’s more flexibility than with a standing order as the amounts collected can be variable as long as the customer is notified in advance. A standing order has to be a fixed amount. Also, using standing order requires the customer to set up the agreement with their bank, where as direct debit can be set up via a web site, over the phone or paper based. There are benefits to your customers as well, the option to break payment down in to more manageable payments can make them more likely to choose you over a competitor, and also direct debit is a well understood and trusted method of collection throughout the UK. I’ll start from the beginning in terms of setting up direct debit as a form of payment collection. You may think direct debit is a very simple facility that can be easily set up through your bank. However, this is not the case. In order to process direct debits a company must obtain a service user number (SUN) from a sponsoring bank. This is dependent of value and volume of transactions, credit history, trading years etc. etc. And even when you’ve obtained a SUN then the in house processing and necessary software can be expensive and time consuming. In short (there is a lot more detail), most smaller businesses may be unable to obtain a SUN and even if they do processing direct debits this way will most likely prove to not be more efficient than current methods of payment collection. So...... the alternative for SMEs (or even corporate entities who recognise the effort associated with in house direct debit processing) is to use a Bureau service. A Bureau can use one of its SUN’s to process on your behalf and manage the whole process. It is very cost effective and leaves you the time to focus on the important activities within your business. But not all Bureau’s offer a like for like service. Some will offer a basic transactional charge per transaction and make it all sound so simple, but this often results in a basic service and can result in complications. But don’t be put off direct debit. I work for a direct debit bureau, First Capital Cashflow Plc. We pride ourselves on the ability to work with all types and sizes of businesses. We literally work with all kinds of businesses and organisations from charities & SME’s through to multinational corporate and even public sector. We have a banking background so understand and will be able to hold your hand through the implementation. We’ev been running now for over 10 years. No matter how you’re planning on using direct debit First Capital Cashflow Plc can build a bespoke service to suit your requirements. We treat every client individually and have no fixed costs. We base our fee structuring on the given business, and its nature i.e. the same price is not applicable for a charity as it is for a large corporate organisation dealing with thousands of pound. Unlike a lot of Bureaus our services are fully branded in your business name so you can maintain a professional relationship with your customer. Setting up direct debit using First Capital Cashflow Plc isn’t complicated and we support you during a seamless integration with your current business and ongoing support and full management of all processing. Please feel free to contact me for further information either about First Capital Cashflow Plc or direct debits in general. There’s more to direct debit than meets the eye, but trust me it’s not over complex and can really aid a business or organisation.
My answers
First Capital Cashflow
Have a look at First Capital Cashflow.
They've been around a long time, work with SME's right through tot eh corporate space and are extremely reliable.
Direct Debit not Standing Order??
Have you considered direct debit oppose to standing order to deal with variable as well as fixed amounts?
The ability to pull agreed variable or fixed amounts from a clients bank account ensures your debtor days are reduced, cash flow improved and credit control streamlined.
However, setting up an in-house Direct Debit facility requires sponsorship in to the Bacs scheme from your bank, as well as expensive Bacs approved software, back office capabilities to manage admin.
A Bacs approved Bureau can offer this facility as an outsourced solution. Offering a fully managed Direct Debit processing service without any requirement of sponsorship from your bank. Collections can be made in your name, managed in the most secure of environments, paper or paperless sign up's etc. making Direct Debit viable!
If this isn't an attractive collection method to your accountancy practice then I'm sure it will be to many of your clients in an economic climate where cash flow is extremely important. Offering advice to adopt payment methods that improve cash flow adds value to your service offering in a competitive market.
Check out first capital cashflow for more info
be careful who you choose to process your DD's
Cost should not be the only driver when choosing a Bacs approved Bureau. It’s important to be able to trust your provider’s security, experience and dependability when dealing with financial transaction.
The main advantage with Direct Debit over Standing order is that it supports variable as well as fixed payments which is useful for instance with the recent VAT increase. It also offers reporting on canceled and unpaid payments whilst Standing Order does not.
I would recommend getting in touch with First Capital Cashflow. We are very dependable and have been around for over a decade and deal with Direct Debit services for anything from SMEs to the public sector – very trustworthy.
Standing order does cost
If you are collecting B2B then standing orders incur a cost
Simple Direct Debit integration without any technical hassle
First Capital Cashflow offer a range of Direct Debit solutions to SMEs. I appreciate the last thing you want when you’re outsourcing is extra work with developer level integration. You need the full support from an experienced company that has a tried and tested means of ensuring they can get things right first time and started quickly.
It worth giving First Capital Cashflow a call, I’m confident a quick chat with one of the sales team and you’ll be safe in the knowledge Direct Debit is something you can use no matter what your size at affordable prices but more importantly with dependability ensuring cash flow is improved.
Comprehensive solution
First Capital Cashflow are a Bacs approved Bureau that offer a range of bespoke Bacs processing services incorporating Direct Debits and Credits. Our portfolio of clients comprises large Corporates, owner managed SMEs, Not for Profit organisations and the Public Sector.
Outsourcing to First Capital Cashflow can be more resource and cost effective. To find out how we can help call 0844 82 66 700
http://www.firstcapitalcashflow.co.uk/
direct debit improves cash flow for you and your customers = goo
Monsoon
I would have to echo your comments on the ethical concern associated with debtor days oppose to cash flow issues with direct debit. I recently wrote an article on the concern of debtor days and how direct debit can be the solution to improving such issues. In fact I found some research by ByteStart that suggests 25% of SME failures in the UK are the consequence of issues with late payments.
Furthermore, direct debit doesn’t have to be structured and set amounts, it can debit twice a month, weekly quarterly etc, and the amount can be flexible as well. It’s just a simple case of notifying the payer in advance. So I would disagree that it is detrimental to either your own or customers cash flow. Moreover, direct debit is a trusted form of payment collection and very secure. At First Capital Cashflow Plc we take the time to offer information that can be relayed to your customers expressing the benefits for them as well as you.
Direct Debit options and the effectiveness of direct debit
If you’ve already defined that direct debit is a suitable way of collecting payment from your customers/subscribers, then the short answer is ‘Yes’ direct debit is most probably the most effective method payment and certainly more effective than standing order or credit control.
Because direct debit is an automated process where collections are made on agreed dates, then this means you have greater control and a better knowledge of what your cash flow is going to be i.e. when cash will come into your account. There’s more flexibility than with a standing order as the amounts collected can be variable as long as the customer is notified in advance. A standing order has to be a fixed amount. Also, using standing order requires the customer to set up the agreement with their bank, where as direct debit can be set up via a web site, over the phone or paper based. There are benefits to your customers as well, the option to break payment down in to more manageable payments can make them more likely to choose you over a competitor, and also direct debit is a well understood and trusted method of collection throughout the UK. I’ll start from the beginning in terms of setting up direct debit as a form of payment collection. You may think direct debit is a very simple facility that can be easily set up through your bank. However, this is not the case. In order to process direct debits a company must obtain a service user number (SUN) from a sponsoring bank. This is dependent of value and volume of transactions, credit history, trading years etc. etc. And even when you’ve obtained a SUN then the in house processing and necessary software can be expensive and time consuming. In short (there is a lot more detail), most smaller businesses may be unable to obtain a SUN and even if they do processing direct debits this way will most likely prove to not be more efficient than current methods of payment collection. So...... the alternative for SMEs (or even corporate entities who recognise the effort associated with in house direct debit processing) is to use a Bureau service. A Bureau can use one of its SUN’s to process on your behalf and manage the whole process. It is very cost effective and leaves you the time to focus on the important activities within your business. But not all Bureau’s offer a like for like service. Some will offer a basic transactional charge per transaction and make it all sound so simple, but this often results in a basic service and can result in complications. But don’t be put off direct debit. I work for a direct debit bureau, First Capital Cashflow Plc. We pride ourselves on the ability to work with all types and sizes of businesses. We literally work with all kinds of businesses and organisations from charities & SME’s through to multinational corporate and even public sector. We have a banking background so understand and will be able to hold your hand through the implementation. We’ev been running now for over 10 years. No matter how you’re planning on using direct debit First Capital Cashflow Plc can build a bespoke service to suit your requirements. We treat every client individually and have no fixed costs. We base our fee structuring on the given business, and its nature i.e. the same price is not applicable for a charity as it is for a large corporate organisation dealing with thousands of pound. Unlike a lot of Bureaus our services are fully branded in your business name so you can maintain a professional relationship with your customer. Setting up direct debit using First Capital Cashflow Plc isn’t complicated and we support you during a seamless integration with your current business and ongoing support and full management of all processing. Please feel free to contact me for further information either about First Capital Cashflow Plc or direct debits in general. There’s more to direct debit than meets the eye, but trust me it’s not over complex and can really aid a business or organisation.
www.firstcapitalcashflow.co.uk/