Society is embracing the move to electronic payments
Many countries where the cheque once ruled, including New Zealand and South Africa, have fully decommissioned their cheque processing infrastructure. Others are heading down the same path, with Australia announcing their intention to do so by 2030.
The US is the most obvious outlier, but even there, if you scratch beneath the surface, the trend is clear for both business-to-business and consumer payments. Since the turn of the century, the number of cheques written by the average American has declined by 75% or more.
What are the barriers to making the move?
The interesting question is not why so many businesses have moved to digital payments like EFT (Electronic Funds Transfer), but why so many are yet to fully commit given the potential cost, convenience, security, and efficiency benefits.
Here are some of the reservations we’ve encountered:
- Systems Issues: Many popular accounting systems were designed and developed when cheques were the dominant payment method for business, and this assumption is still “hard-wired” into the software and associated processes.
- Double-keying: These system limitations, plus the disruption involved in changing accounting systems, has led many businesses to take the path of least resistance. This often means processing payments in the accounting system, then re-keying them into standalone banking software, introducing obvious inefficiencies and risks.
- Bank Integration: Where accounting software does include EFT capability, it often only supports a limited number of transaction types and bank file formats. This is a major issue where unsupported payment methods or formats are needed.
- Cost & Inconvenience: The cost and disruption associated with moving to a new accounting system makes it a path no business heads down without some trepidation. Commissioning bespoke customizations to an existing system, where that is an option, can also come at a high price, with more risk attached.
As one road ends, a new journey with EFT begins
For thousands of businesses, EFT Processing software from Orchid Systems has meant the end of the road for their reliance on cheques.
EFT Processing for Sage 300 and EFT Processing for Sage Intacct generate EFT files ready for transmission to your bank, with features far beyond any native electronic payment capability included with the Sage software. It overcomes the barriers mentioned above, and much more:
- An Embedded Module: Rather than integrating through an API, Orchid’s EFT Processing, once installed, is fully embedded into Sage software. This means, for example, that it has the same look and feel as the core modules, is accessed through the standard menus, and all data is held within the Sage database.
- No more Double-Keying: Orchid’s EFT Processing is integrated into the standard Sage payment and receipt processing routines, so no more ‘swivel-chairing’ and double-keying.
- Payments and Receipts: Orchid's EFT Processing supports not only payments to Vendors through Accounts Payable, but also Direct Debits through Accounts Receivable, and payments to Employees through Sage 300 US & Canadian Payroll, and Sage Intacct Employee Expenses Reimbursements.
- Bank Integration: Orchid's EFT Processing already supports over 800 bank file formats, including many for Prenotes ($0 authorizations), Positive Pay, plus Domestic and International Wire Payments. If the format your bank requires is not currently supported, it can be created at no extra charge, often within days.
- Affordability: Orchid's EFT Processing has a highly competitive pricing model, providing a quick ROI even for businesses with relatively low transaction volumes.
In the words of one satisfied Sage consultant with many years of experience implementing Orchid modules:
There is no excuse for a business not to utilize EFT when Orchid Systems is providing the solutions.
