Protecting Your Margins: 4 Ways to Improve Daily Operations

It’s easy to get caught up in day-to-day operations as a business owner, but as an operation grows, keeping each area efficient and protecting margins is crucial. By examining four key areas — cash management, receivables and payables, payment acceptance, and fraud mitigation — business owners can unlock significant improvements in efficiency and financial health. Many of these improvements come in the form of treasury services, which offers more than an administrative upgrade but rather a strategic move that can fundamentally improve business functionality.

1. Streamline Payments and Collections

The core of a healthy business is consistent and predictable cash flow. Manually managing payments and collections is not only time-consuming but also creates delays that can strain finances. Modern cash management tools are designed to automate and expedite the movement of funds.

Services like automated clearing house (ACH) and wire transfers allow business owners to strategically manage how they collect funds and make payments. Instead of waiting for checks to clear, business owners can securely deposit funds directly into employee or vendor accounts and receive electronic payments from customers. This not only improves their cash forecasting but also reduces administrative costs associated with paper checks and postage. Two key features of these methods are the security and traceability of these payments within a business owner’s online bank account.

2. Accounts Receivable and Payable

The processes for sending invoices and paying bills are often laden with manual tasks prone to human error which can slow down or even reduce cash flow. Automating accounts receivable and accounts payable processes can transform this operational bottleneck into a source of efficiency.

Automated systems can generate and distribute invoices, send payment reminders, and match incoming payments to the correct invoices, freeing up valuable time and improving your cash conversion cycle.

3. Merchant Services

How customers pay is a critical part of their overall experience. Limiting payment options can create friction and even lead to lost sales. A comprehensive merchant services solution does more than just process credit and debit card payments; it builds a robust business management system.

A good point-of-sale system streamlines operations by:

• Accepting any method of payment – cash, card, checks, EMV chip cards, and digital wallets
• Processing payments on any device – phones, tablets, and dedicated terminals
• Managing sales and inventory – track orders, manage stock levels, and generate reports
• Receiving funds quickly

4. Fraud Mitigation

It’s easy to put off fraud prevention to focus on more immediate needs, but it’s a significant and growing threat to businesses of all sizes. According to The Federal Trade Commission, businesses in 2023 lost more than $660 million to imposter scams alone. Relying on basic security measures is no longer enough. Advanced treasury services provide powerful fraud mitigation tactics to protect a business from unauthorized activity.

WSFS Bank tools like Positive Pay monitor outgoing checks and ACH transactions to flag any that don’t match a business owner’s approved payment files. This allows owners to review and reject suspicious transactions before funds ever leave their account.

Taking the Next Step

Integrating these services can streamline daily operations, protect cash flow, and give owners more time to focus on their business. Whether your needs are complex, or you are just getting started with Treasury Services, WSFS and our team of business relationship managers are here to help make money movement easier to navigate and assist in every step of your journey.