{"id":22262,"date":"2023-08-10T11:28:41","date_gmt":"2023-08-10T05:58:41","guid":{"rendered":"https:\/\/open.money\/blog\/?p=22262"},"modified":"2024-06-06T17:40:02","modified_gmt":"2024-06-06T12:10:02","slug":"simplify-business-payments-connected-banking","status":"publish","type":"post","link":"https:\/\/open.money\/blog\/simplify-business-payments-connected-banking\/","title":{"rendered":"Simplify Business Payments with Connected Banking: Link All Current Accounts"},"content":{"rendered":"

Three-generation families have built some of the great businesses in India. Let\u2019s take a closer look at how connected banking revolutionized the Agarwals’ cash flow practices, setting a paradigm for efficient business payments.<\/span><\/p>\n

In the \u201880s, the first generation, Mr. Agarwal paid vendors and collected payments primarily through cash transactions. A lot of manpower was put into security, transportation, tracking, and reporting cash transactions. These efforts incurred costs. <\/span><\/p>\n

The second generation followed a similar pattern, only where writing cheques replaced counting cash. Then came the new-generation Agarwal, where payouts and collections transformed into an online practice.<\/span><\/p>\n

Yet, they weren\u2019t able to escape from the redundant number of OTPs and manual accounting to track every penny. <\/span>Finally, they identified the root cause of these hassles: Current accounts were not linked to accounting tools. Hence, they leveled up and chose Connected Banking<\/strong><\/a>.\u00a0<\/span><\/p>\n

How did the Connected Banking platform simplify business payments?<\/b><\/h2>\n

A <\/span>connected banking<\/a> platform<\/span> links current accounts to accounting tools ensuring the ease in vendor payments and getting paid faster. Let us look at how the Agarwal’s transformed their business payment practices.\u00a0<\/span><\/p>\n

Simplify vendor payments<\/b><\/h3>\n

Agarwal\u2019s current accounts with three different banks are linked to their connected banking platform. Hence, bulk payments to vendors and employees are made on the same platform in one go, without even opening the Internet banking portal.<\/span><\/p>\n

Also, the payment entries against the bills are automatically created on the connected banking platform as well as the accounting platform.\u00a0<\/span><\/p>\n

Receive payments online faster<\/b><\/h3>\n

The Agarwals pull invoices from their accounting tool as well as create invoices in their connected banking platform. The beauty is, they added payment links to these invoices automatically before sharing them with their customers.\u00a0<\/span><\/p>\n

Multiple payment options (NEFT, IMPS, RTGS, UPI) to pay and constant auto-reminders to customers helped to receive payments online faster from customers.<\/span><\/p>\n

Reconciliation has become an automated task!<\/b><\/h3>\n

As everything is linked to each other, e-statement entries from multiple current accounts are automatically matched with the payments, collections, and journal vouchers in the accounting tool. Now, they have track of every penny that moves in their current accounts.\u00a0<\/span><\/p>\n

This ensures accurate books of accounts and keeps the Agarwals on top of their cash flow <\/span>always.<\/span><\/p>\n

How would an ideal Connected Banking platform perform?<\/b><\/h2>\n

It connects multiple current accounts<\/span> from different leading banks such as SBI, ICICI Bank, Yes Bank, Axis Bank, and 11 others with<\/span> accounting tools to\u00a0<\/span><\/p>\n

    \n
  • Pay multiple vendors and employees at one go<\/span><\/li>\n
  • Collect payments 30% faster with payment link-embedded invoices<\/span><\/li>\n
  • Reconcile in less than 5 mins<\/span><\/li>\n
  • File GSTR 1 on the go<\/span><\/li>\n<\/ul>\n

    And, automatically sync entries in connected banking platform with accounting software.\u00a0<\/span><\/p>\n

    Well, those are the benefits OPEN brings to the table. Additionally, OPEN caters value-added services on the same platform such as spend management, e-invoicing, and full-fledged payroll software.<\/span><\/p>\n

    How OPEN simplifies business payments?<\/b><\/h2>\n