Automated reconciliation can be a game changer for your business. When configured correctly, it’s a powerful tool that helps you monitor all of your business activity – and when you’re aware of each penny processed, nothing will get lost.
In this blog we’ll look at the three pillars that good reconciliation rests upon: fund management, customer service, and technical support.
Accounting should work to make your company operate smoothly and efficiently, but if your reconciliation process is manual, this will not be the case. A manual process is labor intensive, requiring accounting staff who must work through bank statements, sales records, invoices and quotes, making sure everything matches for both income and outgoings. Even for a small business, this means hundreds of transactions every month, and for larger businesses this could be in the hundreds of thousands. Needless to say, going through all of this material manually is neither cost-effective nor efficient, and it leaves the door open for accounting errors that could cost your business dearly. For example, Nuvei’s Reconciliation Manager saved our merchants 3.7 million USD throughout 2020 simply by spotting accounting discrepancies.
Automating your reconciliation process increases efficiency, reduces costs, and minimizes errors. Modern software can complete reconciliation in minutes, and a payment system integrated with accounting functions will perform reconciliation in the background while you work. It allows you to identify costs accrued and forecasted revenue at any time, freeing you to focus on your core business while giving you the confidence that your reconciliation will be error-free.
One of the most significant advantages of having a reconciliation management system is the ability to investigate and resolve customer complaints regarding accounting discrepancies quickly and efficiently.
It’s a fact of life that sometimes money can get lost, for any number of reasons. In such cases, customers will open a ticket on your CRM system. At Nuvei, we work closely with our merchant’s customer support departments to help manage and resolve issues with missing customer funds. Our Reconciliation Manager service helps merchants track transactions, allowing them to locate missing funds in minutes. This helps merchants’ customer support departments reduce open tickets and increase customer satisfaction.
Another advantage of a reconciliation management system is that it reveals technical issues with payment processing instantly. Nuvei’s system monitors your activity constantly, enabling it to rapidly identify differences and outstanding issues, and it also produces a statistics overview as required or automatically. When a flag is raised, your dedicated reconciliation account manager is able to investigate what has caused the issue. For example – imagine that you’re implementing a new gateway or acquirer, and you discover that some of your traffic is being declined, or a certain currency isn’t being processed. And what happens if a client claims that a transaction was not approved, when you can see that it was? Having a robust and responsive reconciliation service is vital in such cases.
Finally, your reconciliation system needs to be fully integrated with all aspects of your business, operating seamlessly within your environment. This is one of the benefits of Nuvei’s Reconciliation Manager – it operates as part of the wider payment system, performing reconciliation automatically as payments are being approved. It’s also important that your reconciliation system is capable of handling increases in volume as you scale from thousands to millions of transactions – Nuvei’s product has proven capable of handling 19,000 mismatches in two days!
Stop chasing numbers
Where people get tired and make mistakes, accounting technology does not. The number and item-matching software works through the reconciliation process faster than any person can physically manage, without tired eyes missing a problem along the way. Perhaps its greatest benefit is rapidly identifying and rectifying errors, saving your team from the need to work through everything to find the issue.
It leaves you to deal with only those items that require special attention, allowing you to focus on your business.
I’ll be happy to answer your questions and tell you more about our Reconciliation Manager. Please don’t hesitate to contact me directly via LinkedIn.
|Eliran Siri is Nuvei’s Reconciliation Team Leader, Digital Payments. He’s responsible for the day to day oversight of Nuvei’s reconciliation services, including managing relationships with existing and potential clients and improving the platform with new features. Hailing from Ramat Gan in Israel, Eliran holds a BA in Business Management and Finance, and in his spare time enjoys gardening, fishing, and photography.|