Are you currently running a business which makes use of multiple vendors to source products? We aren’t talking about only physical products. The products can be digital in nature as well. If yes, then you already would have a place to store all your vendor information, including your vendor payment details.
Traditionally, businesses used to keep track of their vendors in ledgers or manual records. The digital revolution has since transformed the world economy and fast-tracked the process of vendor research, payment and reconciliation. Businesses usually like to keep electronic records of all their vendors. There is one thing to be noted. Electronic does not mean efficiency. There is a big difference.
There are still a lot of inefficiencies that businesses have to face while maintaining their vendor payment details in one place –
- Storing vendor details in text documents. This is the most inefficient way of storing the vendor payment details. This does not give you any view into the finer details and adding your comments and any other extra information is difficult to achieve.
- Storing vendor details on cloud text documents. This poses the same disadvantages as storing vendor payment details in text documents. The only advantage is collaborating with colleagues. This also is highly inefficient and wastes more people’s time.
- Storing details in local spreadsheets. This is a somewhat better way of storing vendor details, but still is not an entirely reliable process. The spreadsheet is easy to tamper with, not backed up and heavily reliant on the spreadsheet operator to enter the vendor details. This significantly increases the chances of errors while inputting data.
- Storing details in cloud spreadsheets. This again poses the same challenges as storing data of vendor payment details in local spreadsheets. The only advantage here is collaboration again. This is better than storing data in local spreadsheets because you can give the access of the spreadsheet to the vendor and allow them to crosscheck their details once your spreadsheet operator has finished inputting the details. This in turn poses two problems – a) vendor might not bother crosschecking and b) vendors don’t have time to crosscheck each and every minute detail
- Using bank accounts to store vendor account information. While this is a good way to store vendor information and ensure they get paid on time. There are still a lot of manual steps that need to be taken in order to ensure that the vendors get paid on time. Word of mouth spreads rapidly within the vendor community and if you get a bad rap with one of the vendors, it is likely that you will not be able to do business with the top vendors of your product niche. This will end up in you losing out a sizeable chunk of your market share.
- Storing vendor details using CRM. CRMs are a modern way of storing information. But the biggest flaw with this technique is that you cannot consolidate payment information. The vendor payment information still needs to be manually collected and sent to the vendors. There is no CRM out there that lets you make vendor payments, store their details, send payment advice and provide accurate reports – all from a single dashboard.
What a business needs to effectively store all its vendor payment details along with the other data to ensure that the business is well equipped to handle a multitude of vendors, is a combination of points numbered 5 and 6 in the above list.
Introducing Karbon Payout – Single solution for all vendor related needs
Here are the benefits that you can enjoy if you switch to Karbon Payout today –
- One place to store all your vendor data – store all your vendor details along with account information. This data is visible and available to you at any time. What’s more? Extract all the information in the format of your choice if you wish to keep an offline record of the same.
- Make payments 24×7. Karbon payout comes loaded with a feature that lets you transfer money at given time of day, all year round. This means your vendors can get paid on time and you can stop worrying about maintaining good relationships with your vendors. Let Karbon Payout’s features speak for itself and send a message to your vendor that you are serious about your vendors getting paid on time.
- Make automatic recurring payments. Consolidate all the information from your vendors with Karbon Payout and configure the system to make payments on your behalf. This means you can optimize your cashflow and spend time focusing on things that matter – survival.
- Payout Links! This is a magic that we at Karbon have created with love, for our customers. The biggest pain point of any business owner is to collect all the vendor information. Only once you collect the vendor information, can you worry about consolidating it. To resolve this exact pain point, we created Payout Links. Send Payout links to your vendors who might be located anywhere. No paper trail. Once you send a payout link to your vendor, your vendor will have the option of entering their details. Once they submit, their details will automatically get added into your system! This also makes the business owner less accountable for any errors in the beneficiary details.
Switch to Karbon Payout today and enjoy all these amazing benefits!
You focus on growth while Payout streamlines your finances.
Growth VP @ Karbon
How payout enables storage of all vendor payment details?
Payout links – Best way to achieve consolidated vendor data
Member rules – Payout access
Why vendors love working with business that use Karbon Payout to pay them?