From Collector to CFO: How YayPay Advanced Credit Reduces Risk for your Entire Team

Nicole Dwyer
Reduce credit risk and accelerate sales with better credit management

Credit management impacts a lot of people in your organization. When handled successfully, businesses can reduce risk, accelerate revenue and improve customer experiences.

What do your Credit Manager, Director of AR, and CFO all need to be successful? 

  1. A really nifty pocket protector 
  2. A tall fruity drink with a parasol in it
  3. A smarter credit management tool
  4. All of the above

If you said “C”, you’re right! 

You’re probably right with “D” too, but we’re going to focus on “C” here. 

Credit management is an aspect of AR that impacts several members of your AR team, as well as a few outside of it. Historically, the process of granting credit, managing cash flow and using credit information as a tool for helping shape business decisions, has been cumbersome and disjointed. There’s been a gap of usable information in an area of your business where some of your most significant risk lies.

YayPay Advanced Credit

YayPay’s Advanced Credit module is here to minimize your risk and maximize your ability to support your customers, accelerate your revenue and make smarter business decisions. Let’s look at a few of the key players in your credit management process and how YayPay Advanced Credit can support them.

The Credit Manager

Suave, unflappable and the consummate professional with your customers. The credit manager holds the power of extending or denying credit to your customer base, and is committed to the dual goals of helping your customers grow their business and protecting your business from unnecessary risk.

In the Credit Manager’s mission to be successful, they often spend time pulling information from disparate sources, trying to cobble together a well-rounded profile of your customer in order to determine creditworthiness. This is a thankless process. It takes hours, it takes access to multiple sources, and it’s exhausting.

With YayPay Advanced Credit, they can save time, increase productivity and say goodbye to scrolling through spreadsheets. Our new module provides accurate credit profiles set up for each customer based on their likelihood to pay. To create this unique scorecard, we automatically integrate referenceable credit data from external bureaus such as Creditsafe and Dun & Bradstreet and combine it with the payor history stored in YayPay. This gives the Credit Manager a holistic view of the customer and the ability to more accurately assess credit risk.

AdobeStock_222953985 (1)Tired of scrolling through spreadsheets? You don't need coffee, you need automation

The Director of AR

Practical, customer-focused and a little bit of Tom Cruise’s “show me the money” edge. They need to see how the cash flow is moving and if there are areas of the credit management process to improve. They also want to look at creative ways to help customers pay faster. 

The Director of AR’s efforts to be successful include seeking information that can be hard to find if you’re not on a smart AR platform like YayPay. They’re working with old, inflexible credit management policies that don’t allow them to customize an approach for loyal customers. Also, it’s important to note that credit policies aren't a one-size-fits-all. Customers in different industries have different requirements. So in an ideal world, the Director of AR needs to be able to easily adjust credit limits or collections to ensure a healthy cash flow.

Your Director of AR has more autonomy to meet customers where they’re at — on the credit as well as the collections side — with YayPay Advanced Credit. They can grow revenue intelligently with simple customer credit checks and approvals through inbuilt credit scoring, which removes the need to leave YayPay to run external credit checks and provides instant credit decisions. The custom credit scorecards allow him to work with the Credit Manager to raise or lower credit limits according to buyer profile and approve more flexible credit options for customers that meet cash flow goals.

The CFO

The epitome of cool, calm and collected. They know how to work under pressure and their view of the business is all about revenue and risk management. They’re looking to make smarter, longer term decisions about how to sustain and grow the business. Total visibility into the AR process and its critical data is required to achieve that. Do you reckon they’ve heard of YayPay’s Business Intelligence module?

Your CFO is spending time putting together the financial story that supports your business growth and goals. They already know how to weave a good story to the board, but they need the data and metrics to support it. They’re working with the same manual AR process that the Director of AR and Credit Manager are struggling with, trying to piece together parts of a story that should flow.

With consolidated data pulled from multiple sources, your CFO can improve business planning and forecasting through a full picture of buyer payment behavior. In addition, integrated credit reporting is available to help set, monitor and check the team's credit management strategy. With clear management dashboards, contextual information and an intuitive user interface, they are able to bypass the data silos, and easily take appropriate action to protect and grow the business.

The Non-Finance Folk

YayPay Advanced Credit offers benefits across your organization. Your sales leaders benefit from the transparency and access to in-depth reports that help them determine which customers they can offer the best credit options to. They can also more quickly and smoothly onboard customers. 

happy-employees

Happy employees + happy customers = healthy cash flow

 

Your customer success team can provide a better customer experience because they have consistent information that aligns with your sales and AR teams. This means they are able to easily resolve disputes and answer questions. 

With YayPay Advanced Credit, stakeholders can come together and make collaborative decisions that drive customer experience improvements. In some instances, heads of AR are now getting a seat at the table to help businesses make better decisions about the customers they take on, as well as how they can improve the company’s interactions with them.

This creates a more efficient and productive workforce. Sales are completed faster and most importantly, customers are happier. And this makes them more loyal.

 

“Our former credit process was so time-consuming and manual. Now our customers can click on the credit application link and get it to us immediately. The documents are stored in the customer YayPay file, and we can get the customer set up with a credit line much faster.”

Director of Credit, Medical Device Manufacturer, USA

 

So go ahead, hand your favorite finance professional that pocket protector and fruity drink, but don’t forget that the most important gift, the one that makes everyone a success, is the tool for smarter credit management.

And YayPay just happens to have one that’s perfect for you.

 

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Nicole Dwyer
About the Author

Nicole Dwyer is Chief Product Officer for YayPay, bringing more than 10 years’ experience in accounts payable and receivable technology to ensure YayPay continues to meet the needs of its customers. Having spent her entire career in commercial payments, Nicole understands high- and low-value payment systems, the complexities of how businesses pay and get paid, and has worked with distributed teams spanning the globe. She is a graduate of Worcester Polytechnic Institute. Residing in New Hampshire with her husband, daughter, and son, they spend their time outdoors and creating new adventures.

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