The Federal Reserve’s Business Payments Coalition recently released the third version of its Small Business Payments Toolkit. This document, available as a free download, encourages the adoption of electronic business-to-business (B2B) payments by small businesses.
Currently, most small businesses make B2B payments via check. As AFP members know, checks are expensive, labor-intensive and prone to fraud. Using plain language, the new Toolkit educates small businesses on the benefits of using electronic payment types such as Automated Clearing House (ACH) credits and debits, wire transfers, and credit and debit cards. It offers tips on working with bankers and covers what small businesses need to know to get started making and receiving e-payments. It provides practical information on how to avoid losses due to payments fraud. An extensive resources section has links to additional information.
But the Toolkit isn’t just for small businesses. Corporations that want to motivate their smaller trading partners to give up checks will also find it useful. Additionally, small business bankers, advisors and anyone else interested in learning more about electronic B2B payments and/or helping small businesses improve their payments processing will also find it helpful.
Formerly known as the Remittance Coalition, the Business Payments Coalition is a group of payments industry participants assembled by the Fed as part of its strategy to improve the payment system in the United States. Its goal is to increase the efficiency of B2B payments and promote straight-through-processing,The Small Business Payments Toolkit is available here.