Accounts Receivable Management (ARM) has been a popular process to outsource for decades. Tracing, contacting, negotiating, and following up with your customers can absorb a great deal of your employees’ time and resources. Outsourcing your ARM process is simpler and safer than it has ever been: the right partner company will help you to maintain control over your portfolio regardless of the size of your company.
Why Can’t I Complete This Process Myself?
The truth is that you absolutely can have someone internally complete this process, but the real question is, would you want to? Regardless of the size of your company, the task of hiring, training and managing your accounts receivable in-house is a daunting task. Choosing to outsource this process frees up your time and money so you can concentrate on all of the other things it takes to keep your business running.
Choosing to outsource your ARM process may pair you with a company whose expertise at this particular line of business. Their employees are trained based on best practices the company has put together from their years of experience. These companies also stay abreast of the latest in technology and legislation to ensure they provide you with the best services and your customers are treated with respect and dignity.
Is Outsourcing Secure?
Significant breaches of sensitive data are happening on an almost daily basis, with some of the largest companies, across all sectors, targeted for attack. Your customers entrust you with private information about themselves, and a breach of that data is as costly to your brand as it is to your bank account.
Outsourcing companies are very adept at securely accessing, storing and legally complying with the destruction of confidential information. Information and information security are an essential part of their business, and they are very concerned about your data. They invest in the very best technology through training, firewalls, monitoring, encryption, and physical security like proximity access cards, to ensure that your customer’s information remains safe.
Does It Cause More Problems Than It Solves?
Trusting an outside source for your business needs can sometimes cause a disconnect between you and your customers. Outsourcing your ARM process to a third party can exasperate this disconnect as payments and charges occur daily. A detachment between your records and your customer’s records can cause a great deal of frustration and concern for your customers.
Choosing the right outsourcing partner will not cause you any added stress or headaches. The right partner can become a virtual extension of your internal processes. They and their staff will become experts in your business and providing your customers with services. They can work from an in-house system that provides real-time updates or can even utilize your company’s file management system. The integration of your partner will likely be seamless and will alleviate a great deal of work and trouble you are currently carrying yourself, all while increasing your cash flow.
Will I Lose Control of my Business?
Your business is and always will be your business. You don’t need to worry that your policies or framework will be disregarded. A good outsourcing partner will be an ally for your business. You can trust that when you find the right collaborator, they will work within your structure, including payment methods, security standards, payment timelines and the process for overdue accounts.
If you do not have a robust plan in place for these processes, your partner will work with you to create this plan in a way that stays true to your business’ vision and mission. They want to help your business grow and succeed, but the final decisions are up to you.
Doesn’t It Only Work for Big Companies?
Companies of all shapes and sizes can benefit from pairing with a great company. A larger organization can reduce headcount and cut operating costs. However, these benefits can also help a smaller business. Joining with an outsourcing company will mean you take less time and energy to staff and train your business. Smaller business can also benefit from the expertise and size of the company you align yourself with, keeping your costs low but your service levels high.
You may not have thought about outsourcing this vital portion of your business, but the expertise, technology and experience of a good outsourcing partner will help you focus on running your business.
If you want to see what an experienced outsourcing company can do to help your business to succeed, click the link below to reach out to one of our team members and get the conversation started.