Payment Workflows for Small Agencies

Key takeaways

• Shift from one person doing everything to clear, multi user payment workflows with maker checker approvals, audit trails, and automation.
• Define roles and permissions for owner, finance lead, project manager, AR, and CA, separating duties to reduce risk and speed up collections.
• Use virtual USD, GBP, EUR, CAD accounts, payment links, and SWIFT to collect faster, decide when to hold or convert FX, and auto generate e-FIRA.
• Adopt role based permissions, audit logs, alerts, and reporting to stay RBI, FEMA, and GST compliant, while giving your CA read only access.
• Track DSO, approval cycle time, collection rate, settlement TAT, FX impact, and compliance lag to continuously improve.
• Platforms like Karbon Business, Wise, Payoneer, and Infinity support multi currency accounts, approvals, and compliance, see international payment for digital marketing agencies for more.

Why payment workflows break as Indian agencies grow

You start as founder, accountant, and collections, drafting invoices in spreadsheets, sending PDFs over email, refreshing the bank portal, converting USD at the bank’s rate, and chasing e-FIRA for your CA. That works with three clients, it collapses with ten clients and multiple currencies, invoices sit in draft, payment links get lost, FX timing is missed, and your CA keeps asking for missing e-FIRA.

The cost is delayed cash flow, compliance risks, and team friction. The answer is a clear, multi user workflow that defines who creates, who approves, who follows up, who converts FX, and who prepares audit packs, all without WhatsApp chaos.

Technology is only half the solution, the other half is a precise workflow with roles, approvals, and logs.

What a multi user payment workflow looks like for India

• Invoicing: PM drafts a multi currency invoice with virtual account details and payment links.
• Approval (maker checker): Finance approves routine invoices, owner approves high value ones.
• Collection: AR tracks dues, sends reminders, and updates statuses as payments land.
• FX hold or convert: Owner or finance decides to hold up to 60 days or convert immediately.
• Claim and settlement: Finance marks claimed, funds settle to INR in 24 to 48 hours, e-FIRA arrives within 24 hours, see the e-FIRA guide.
• Reconciliation and compliance: Finance matches settlements to invoices, archives e-FIRA, prepares GST export summary.
• Exceptions: Disputes, chargebacks, or failed transfers follow a documented escalation path.

For deeper context, review international payment for digital marketing agencies to see how leading shops structure flows.

Key roles and responsibilities for small agency teams

• Owner/Admin: Full control, sets approval thresholds, FX policy, bank changes, compliance sign offs.
• Finance Lead: Approves invoices, reconciles, archives e-FIRA, prepares audit packs, cannot change bank or FX settings.
• Project Manager (PM): Creates and sends invoices, sends reminders, views payment status, cannot approve or claim.
• AR/Ops: Tracks dues, sends payment links, follows up, cannot approve or claim.
• External CA/Auditor: Read only, downloads statements, e-FIRA, audit logs, no edits.

This separation delivers risk management, speed, and compliance under RBI, FEMA, and GST LUT rules.

Role based access matrix for payment teams

RoleResponsibilitiesAccess scopeOwner/AdminAll tasks, sets approvals, FX policyFull, threshold and FX hold controlFinance LeadApprove invoices, reconcile, e-FIRAApprove, claim, exportPMDraft and send invoices, remindersCreate and view invoicesAR/OpsTrack payments, follow upsTrack and send payment linksCA/AuditorAudit and compliance reviewRead only and export

Maker checker example: over $5,000 requires owner approval. Least privilege example: PM cannot change bank details, AR cannot claim, CA cannot create or modify.

Step by step blueprint, from draft to audit

1. Pre invoice setup

• Onboard client, confirm milestones, currency, and method.
• Share virtual USD, GBP, EUR, or CAD details for local transfers.
• Confirm LUT status, zero rate GST, and reference on invoices.
• Assign PM as invoice owner, finance as approver, AR for follow ups.

2. Invoice creation and approval

PM drafts with client, scope, currency, due date, payment link, and virtual account details. Finance or owner approves per threshold, then PM sends. This prevents wrong amounts, currencies, or stale bank details.

3. Collection methods

• Payment links: Best for small, one off invoices, near instant status updates.
• Virtual USD, GBP, EUR, CAD accounts: Ideal for recurring or larger invoices. For a primer, see get paid from USA. You can hold FX up to 60 days, then convert and settle to INR.
• SWIFT: For large B2B transfers, track separately due to longer settlement windows.
• Milestones and partials: Issue separate invoices or line items, AR marks each paid.

For comparisons on costs and timelines, see international payment for digital marketing agencies.

4. Claim and settlement

• Finance marks claimed when funds land in the virtual account.
• Owner verifies high value invoices if required, then settle.
• INR settlement in 24 to 48 hours, zero markup mid market FX, platform fee applies.
• Hold or convert: Owner or finance decides, up to 60 days in many platforms.
• Compliance: Auto e-FIRA within 24 hours, see e-FIRA for details.

5. Reconciliation and compliance

• Automated matching of settlement to invoice, finance reviews exceptions.
• Archive e-FIRA by client and month, essential for GST exports.
• Under LUT, report exports in Table 6A, bundle bank statement and e-FIRA for CA.

6. Exceptions and escalations

• Disputes or chargebacks: AR flags, finance and owner decide refund or re invoice.
• Failed transfers: AR collects proof, finance escalates to platform support.
• Refunds: Only owner or finance initiates to avoid mistakes and fraud.

What to look for in a multi user dashboard

• Centralized invoice and payment status with real time visibility.
• Granular role based permissions and custom roles.
• Complete audit trails with user and timestamp on every action.
• Smart notifications for approvals, arrivals, settlements, and overdue invoices.
• One click export of invoices, payments, e-FIRA, statements, and logs.
• Payment link generation and multi currency balances with mid market FX.
• Compliance automation, including auto e-FIRA and GST friendly templates.

Tools to receive international payments in India

• Karbon Business: Multi currency accounts in USD, GBP, EUR, CAD, flat 1% platform fee, zero FX markup, 24 to 48 hour INR settlement, auto e-FIRA in 24 hours, role based access, WhatsApp and email support.
• Wise Business: Local details in many currencies, mid market FX, compliance managed manually for e-FIRA.
• Payoneer: Global receiving accounts, strong freelancer adoption, check spreads and FIRC process.
• PayPal: Ubiquitous, higher fees, limited team controls, useful for small volume.
• RazorpayX International: Inward remittance with Indian stack integration.
• Tazapay: Cross border B2B with escrow and milestones.
• OFX: FX specialist for larger transfers, fewer invoicing features.
• WorldFirst: Multi currency and FX, verify Indian availability and team controls.
• Revolut Business: Multi currency and cards, check India inward status.

Cross check that the platform provides auto e-FIRA, transparent FX, supported currencies, and multi user permissions. For category comparisons, see international payment for digital marketing agencies.

Real world scenarios

Six person design studio: PMs draft, finance approves up to ₹2 lakh, owner above ₹5 lakh, AR sends links and reminders. FX holds when rupee weakens. CA logs in monthly. DSO drops from 45 to 28 days.

Solo to small team: Founder hands drafting to PM, approvals and claims to finance, owner keeps high value approvals and FX. Auto e-FIRA eliminates quarter end scramble.

Digital marketing with enterprise clients: Maker checker with PO matching, virtual USD and EUR for ACH and SEPA, strict reminders at day 15 and 28, owner manages FX strategy, audit packs ready in under an hour.

Security and compliance for multi user teams

Separation of duties

Split creation, approval, claiming, and bank setting changes across different roles. Do not allow one person to control everything.

RBI and FEMA compliance

• e-FIRA: Must be issued for every foreign receipt, store with invoice references, see the e-FIRA guide.
• Purpose code: Use the correct code, such as P0802 for IT services.
• GST and LUT: Zero rated invoices with LUT reference, report exports in Table 6A.

For policy specifics and examples, read international payment for digital marketing agencies.

Data security and access controls

• Prefer ISO 27001 certified platforms with AML monitoring and complete audit logs.
• Enable two factor authentication for every user and session timeouts.
• Use read only roles for CA and advisors, optionally add IP allowlisting.

Metrics that prove your workflow works

• DSO: Aim under 30 days, track by client and currency.
• Approval cycle time: Same day for routine invoices is ideal.
• Collection rate: Improve follow ups if on time payments are below 70%.
• Settlement TAT: Target 24 to 48 hours from payment to INR credit.
• FX impact: Compare mid market vs actual, seek zero markup platforms.
• Reminder effectiveness: Measure payments within 48 hours of a reminder.
• Exception rate: Watch disputes and failed transfers to refine contracts.
• Compliance lag: e-FIRA archived within one day, every time.

How to implement multi user workflows on Karbon Business

Step 1: Onboard your agency

Submit PAN, masked Aadhaar, recent bank statements, and online profiles. KYC typically clears in 2 to 4 working days. Virtual USD, GBP, EUR, CAD details are issued on activation.

Step 2: Invite team and set roles

Add Admin, Finance, PM, AR, and Auditor. Customize thresholds, restrict PM visibility if needed, enable two factor authentication, and test each user’s view.

Step 3: Templates and thresholds

Create invoice templates with LUT reference and payment instructions. Set auto, finance, and owner approval bands, plus a written FX policy controlled by owner or finance.

Step 4: Virtual accounts and payment links

Add USD, GBP, EUR, CAD details to templates, use unique payment links per invoice, and test end to end with a small live invoice.

Step 5: Run the first full cycle

PM drafts, finance approves, client pays via link or ACH, finance claims, INR settles in 24 to 48 hours at mid market FX, fee deducted, e-FIRA available within 24 hours.

Step 6: Monthly close

Export the invoice register, payment status, statements, and audit logs, match to e-FIRA, file GST exports, and share the audit pack with your CA.

Migration path from solo to structured

Phase 1: Solo

Founder handles everything, eight to twelve hours a week on payments, quarter end compliance scramble.

Phase 2: Small team

PMs draft and send, finance approves and claims, owner handles high value approvals and FX, time drops to three to five hours.

Phase 3: Structured agency

Dedicated AR, strict permissions, automated reminders, auto e-FIRA archiving, founder spends one to two hours on exceptions and metrics.

Common pitfalls

• Too much PM access to bank or FX settings.
• No approval thresholds causing bottlenecks.
• Poor e-FIRA storage discipline.
• Inconsistent invoice numbering.
• No written SOP or role training.

Templates and resources to get started

RACI matrix

TaskOwner (A)Finance (A/R)PM (R)AR (R)CA (I)Create invoiceIIRIApprove invoice (<$5K)IAIApprove invoice (≥$5K)ARISend invoice and linkIIRRTrack overdueIIRSend remindersIIRMark claimedIAIFX hold or convertARDownload e-FIRAIRRMonthly reconciliationIARPrepare audit packIAR

Approval thresholds

Invoice amount (USD)ApproverNotification< $1,000Auto approve (PM)Finance, info only$1,000 to $4,999FinanceOwner, info only≥ $5,000OwnerFinance, must review

Reminder scripts

Day 15: Hi [Client Name], this is a friendly reminder that invoice #[number] for [project] ($[amount]) is due on [due date]. Pay via this link: [payment link] or ACH to our USD account: [details].

Day 25: Hi [Client Name], invoice #[number] ($[amount]) was due on [due date]. Please confirm payment status or let us know if we can help. Payment link: [payment link].

Day 35: Hi [Client Name], invoice #[number] is now [X] days overdue. Please arrange payment by [date] or contact us to discuss, otherwise we may need to pause ongoing work. Payment link: [payment link].

Monthly audit checklist

• Export invoice register and payment status report
• Download INR bank statement and all e-FIRA for the month
• Match claimed invoices to credits and e-FIRA, resolve mismatches
• Prepare GST export summary for Table 6A under LUT
• Export audit log, bundle with statements and e-FIRA
• Share audit pack with CA, review DSO and collection rate
• Update SOP or thresholds based on learnings

FAQ

How can Indian freelancers receive USD without high fees and still get e-FIRA quickly?

Use a multi currency platform that gives you local USD details for ACH, mid market FX, and auto e-FIRA. For example, with Karbon Business you share a USD routing and account number, your client pays via ACH with no wire fees on their side, you settle to INR in 24 to 48 hours, and the e-FIRA is available within 24 hours for GST and tax.

What is the simplest maker checker setup for a two person freelancing team in India?

Let the project owner create and send invoices, and assign a finance buddy to approve and claim. In Karbon Business, set an approval threshold, for example invoices above $1,000 require finance approval, and only finance can mark claimed. This keeps speed for small tickets and control for large ones.

How do I decide when to hold USD and when to convert to INR for client payments?

Document a basic FX policy. Example, hold USD for up to 60 days on invoices above $3,000 when rupee is weakening, convert immediately when rupee is stable or strengthening. Only the owner or finance lead should execute holds or conversions. Karbon Business supports controlled holds and mid market conversions.

Which purpose code should I use for IT services invoices paid from the US or EU?

Most software and IT services fall under P0802. Design services may use P1002. Your payment platform or bank should guide you, and the purpose code appears on the e-FIRA. Keep a cheat sheet in your SOP to avoid mistakes.

Will platforms like Payoneer or Wise give me e-FIRA automatically, or do I need to request it?

Wise Business and Payoneer often provide statements and FIRCs on request, processes vary by corridor. Indian first platforms like Karbon Business and Infinity typically auto generate e-FIRA within 24 hours of settlement. Always download and archive by invoice month to keep GST and tax filings smooth.

How do I integrate my international payment receipts with Tally or Zoho Books?

Check if your platform has a direct connector. Karbon Business users export CSV or use API to sync invoices, payments, and settlements into Tally or Zoho Books. If no direct integration exists, a monthly CSV import is sufficient for small teams, just keep invoice numbers consistent.

What is the best way to follow up on overdue international invoices without sounding pushy?

Use a three step cadence, a polite reminder on day 15, a firm but friendly nudge on day 25, and an escalation on day 35. Include your payment link and virtual account details in every reminder. Karbon Business lets AR schedule reminders so nothing slips.

Can my CA get access to download e-FIRA and statements without risking changes to my account?

Yes, create a read only role for your CA. In Karbon Business, the auditor role can view and export invoices, statements, e-FIRA, and audit logs, but cannot create, approve, claim, or modify any settings. This keeps audits efficient and secure.

Is there any upper limit for receiving a single SWIFT payment to India for services?

RBI does not set a practical cap for legitimate service exports, but banks and platforms may have operational limits per transaction. Karbon Business states no upper limit for inward remittances, though you may split very large invoices based on client or bank preferences. Confirm corridor specific limits before billing.

How fast can USD or EUR settle to my Indian bank, and what affects the timing?

Typical settlement TAT is 24 to 48 hours after you claim, assuming banking days. Delays can come from bank holidays, compliance checks, or missing details in the client’s transfer. With Karbon Business, ACH or SEPA receipts show quickly, you claim, convert at mid market, and INR lands within the stated window.

What documents does a small Indian agency need to open multi currency accounts for inbound payments?

Usually PAN, masked Aadhaar of the authorized signatory, recent bank statements, and your online profiles, such as website or LinkedIn. Karbon Business completes KYC in two to four working days, then issues virtual USD, GBP, EUR, and CAD accounts for invoicing.

How do I reconcile multiple clients paying in different currencies every month without errors?

Use a dashboard that matches each settlement to its invoice, then download a monthly reconciliation report. Finance verifies every claimed invoice has a matching INR credit and e-FIRA. Karbon Business provides invoice registers, payment status, statements, and audit logs so you can close books with confidence.

Final thoughts

Moving to multi user payment workflows is about clarity, not complexity. Define roles, set smart thresholds, automate compliance, and measure DSO and collection rates. Whether you choose Karbon Business or explore alternatives like Wise, Payoneer, or Infinity via international payment for digital marketing agencies, the playbook stays the same, separate creation from approval, track everything, and keep RBI, FEMA, and GST requirements front and center.

Map your current flow, find the bottleneck, delegate the first step, run a pilot with one client, and scale. Your agency will collect faster, stay audit ready, and free up leadership time to grow the business.