Online payment functionality provides fast, convenient settlement of invoices. Clients simply enter their details and confirm the payment, resulting in quicker receipts and a more streamlined customer experience.
- The details: Payment options include credit and debit cards, PayPal and similar ACH-type services, and recurring direct debit arrangements. Merchant service providers facilitate these transactions, with some specialising in card processing and others in direct debit or ACH services. Where the provider integrates with your accounting platform, you can include a direct payment button on your invoices, improving both client convenience and internal processing efficiency.
- The costs: Although set-up fees are uncommon, transaction charges apply. Card payments typically attract fees of 2–4% of the invoice amount, while direct debit transactions are usually under $2 each. These costs must be incorporated into your profit analysis, and most contemporary accounting software can automate this calculation. Given the higher fees associated with cards, many businesses limit online payment availability for larger invoices.
- The benefits: Online payment options generally contribute to faster payment cycles. While immediate payment is not guaranteed, businesses commonly see reduced average debtor days. Clients also appreciate the flexibility and ease of paying online, making it a beneficial addition to your service offering.
If you are looking to implement online payments, our team can assist with advice and integration support.
