Digital payments are any form of transaction that is processed electronically. Every form of payment other than check and cash is digital. Credit and debit cards, bank to bank transfers, online payments facilitated through internet banking or cards, mobile wallets and payment apps are all different types of electronic or digital payments. Your business should accept digital payments. It is no longer a matter of choice or discretion. It is imperative for every company, unless the nature of the business cannot move away from cash transactions. The fact that digital payments are green or eco friendly is sufficient to endorse it.
- Digital payments are simple. One does not have to be too savvy to use digital payments. The whole system is already in place. Even if you were to install point of sale machines, the whole process is effortless. If you were to use a digital payment gateway or some software, such a process is also extremely simple. There is nothing complicated about digital payments. Those who have always dealt with cash and check will find the traditional modes convenient but it would only take one switch to digital payments to realize how satisfyingly simple the entire process is. Businesses find it easier to deal with digital payments and customers or clients too are much more satisfied. Surveys have shown that digital payments have a direct impact on customer service, customer satisfaction and sales.
- Digital payments are swift. They can be as instantaneous as cash. Credit and debit cards, bank transfers, mobile wallets and payments apps facilitate real time transactions. You don’t have to wait for a check to get credited. Many companies, especially those who have a business to business operation, have to correspond with their clients through mail. It can be registered mail or expedited invoicing. Regardless of that, there is a long wait between communications. Digital payments don’t just speed up the payments but also facilitate swifter invoicing. Invoices can be generated, sent and received in a matter of minutes, paving the way for same day payments if there is no clause in the agreement that demands a cooling off period.
- Digital payments are accurate. Point of sale, software or apps nearly eliminate the possibility of human errors. Dealing in cash leaves your accounting vulnerable to unintended and intended errors. Since you can generate unalterable invoices and you can preset the exact amounts that would be transacted through digital payment gateways, apps or platforms, there is no room for inaccuracy in the actual transaction. Digital payments also assist accounting. There are systems in place that would generate all types of reports you may need for a trail. Some software have analytical reports to help you improve your business. A few digital payment platforms assist with calculating and filing taxes.
- Digital payment platforms have notifications. Not all clients pay on time and not everyone will pay proactively without being nudged. An email, a phone call or a text may suffice in some cases. Many cases may warrant some more follow-ups. Digital payment gateways will generate reminders. Mobile wallets or payment apps will use notifications on smartphones. These are gentle ways to remind a customer or client to pay.
About the Author
Morris Edwards is a content writer at CompanyRegistrationinSingapore.com.sg, he writes different topics like Will the Future of Singapore Be Cash-free?, Singapore Tourism Board signs MOU with Alipay to enhance Chinese tourists’ experience and all topics related to Singapore Business and Economy. If you want to Register a Company in Singapore visit our website for more info.
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