Accepting payments is critical for any business. Without gathering revenue, businesses cannot operate. For many companies, setting up a payments function is not something generally thought of. Typically considered a back office function within Finance, payments is considered a necessity or, at best, a utility such as the phone or electric service—who needs to manage that? Setting up the proper infrastructure to manage payments, however, is as important as ensuring that all the lights are turned off at night. Not doing so may result in revenue leakages and overpayment to vendors, negatively impacting a company’s bottom line.
For over a decade, RPGC has been helping companies set up the proper payment infrastructures. Fundamentally, this means selecting appropriate payment vendors through the management of Request for Proposals (RFPs), optimizing the merchant account (or MID) hierarchy for accounting & risk management needs, and measuring proper Key Performance Indicators (KPIs) to optimize payment operations—in particular, the Total Cost of Payments (TCOP). Setting up vendor relationships facilitates growth and provisions actionable data to maximize revenue acceptance and fraud/risk minimization. The payments function directly contributes to a company’s success.
Without strongly established payments fundamentals, corporations will find it difficult to maximize both growth and cost management plans.