As a Food & Beverage business, you need to have a Payment Gateway. A Payment Gateway will save your business time, increase cashflow and open your doors for future growth.
Here’s why all Food & Beverage Businesses MUST Have a Payment Gateway in 2022.
What is a Payment Gateway?
A Payment Gateway is an online, automated payment system that allows businesses (Merchants) to accept credit and debit card (EFTPOS) Customer payments. A Payment Gateway will automatically verify, authorize, or decline customer payments based on information provided – reducing the risk of fraud and error.
Why your business needs to have a Payment Gateway?
A Payment Gateway offers many benefits to Food & Beverage Businesses. Here are the top 5 Reasons why your Food and Beverage needs to have a Payment Gateway.
1. Automates Customer Payments
The biggest challenge facing all Food and Beverage businesses in 2022 is debtors. Studies show that the Food and Beverage Industry has the longest payment wait times out of any industry in Australia with businesses waiting 24-days on average for payment.
Implementing a Payment Gateway system automates the entire customer payment process, helping your business get paid on time, every time. A Payment Gateway offers fast transaction processing, flexible payment methods and automatically verifies or declines payment based on the customers transaction information. The benefit of having a Payment Gateway is your business can quickly identify if an order has been paid for by a customer or not. Your business will never need to waste time or products, fulfilling an order that has not been paid for by a customer – ultimately reducing your businesses liabilities and debtors.
Related Article: Why Getting Paid On Time Is So Important For Distribution Businesses.
2. Automatically Links Payments to the Correct Invoice
One of the most tedious tasks of running a Food and Beverage is manually linking payments to the correct invoices. Manually linking payments is not a fun job, it’s time consuming and carries a high risk of error. Another benefit of implementing a payment gateway system is it automatically links customer payments to the correct invoice.
When a customer places an order through your businesses Online Ordering Website, the customers transaction information and payment will automatically link to the correct invoice in your accounting software in the background as you trade.
3. Reduces Debtors
Debtors have and will always be one of the most frustrating aspects of running a Food and Beverage business. The worst thing you can do as a business is let customers who already owe an amount, continue to order, and gain more debt. The more debtors your business gains, the higher your chance is of insolvency.
One of the biggest benefits of using a Payment Gateway is it reduces the risk of acquiring debtors. A Payment Gateway system offers fast transaction processing, instantly letting your businesses know when a transaction request is valid or not. Having quick transaction information gives your business the ability to only fulfil orders that have been paid for in full. Those orders that haven’t been paid for can be pushed aside until payment is received. The less debt your business has, the better the position you will be in, it’s that simple.
Related Article: How to Get Your Debtors to Pay Up Faster.
4. Accepts different Payment Types
One of the main reasons why so many businesses acquire debtors is because they don’t accept a customers preferred payment type. The harder it is for a customer to pay, the longer your business will wait. To reduce your debtors, your business needs to cater for multiple payment methods whether it be credit card, EFTPOS, PayPal etc.
Another benefit of using a Payment Gateway system is it caters for multiple payment types. All major payment methods are accepted by most payment gateways.
5. More Secure Transactions
Data Security is the most important part of running a business. Your business needs to make sure your transactions are secure at all times. Using innovative technologies, a payment gateway offers the greatest protection for customer transactions.
Payment Gateways in Australia need to be PCI compliant in order to trade. When a payment is processed through a PCI Compliant Gateway, customer credit card information cannot be accessed by anyone after they have been entered.
To learn more about PCI Compliance click here.
How to Choose the Right Payment Gateway
A payment gateway for a food and beverage business should fit the way orders, invoices and customer accounts already move through the company. The cheapest option may still create extra work if it does not connect with your existing systems.
Here is what to look for before choosing a provider.
Supported Payment Methods
Customers should be able to pay in the way that suits them. A suitable payment gateway in Australia may support credit cards, debit cards, direct debit and digital wallets.
Offering multiple payment methods for business customers removes common payment barriers. In turn, this may help reduce debtors and shorten the wait between delivery and payment.
Payment and Invoice Automation
A useful gateway should do more than approve a transaction. It should help you automate customer payments, particularly for repeat orders and regular accounts.
It is also worth checking whether the system can link payments to invoices automatically. This saves your team from comparing bank records with open invoices one by one.
Accounting Software Integration
The payment gateway should work with whatever accounting software you’re already using. If it integrates with Xero or MYOB, reconciliation gets easier and you cut down on duplicate data entry.
For distributors handling a large number of weekly orders, this connection can provide practical cashflow automation for a food business.
Security and PCI Compliance
Any provider handling card information should support secure payment transactions. Look at how it protects payment data, limits access and handles suspicious activity.
A PCI-compliant payment gateway follows recognised security standards for cardholder data. The provider should also explain which security responsibilities it handles and which remain with your business.
Fees, Settlement Times and Support
The transaction rate does not show the full cost. Monthly charges, setup fees, refund costs and integration fees may also apply. Settlement times matter as well because a long delay can place pressure on cash flow.
Reliable support becomes especially important when payments fail during a busy ordering period. The best choice is usually the gateway that makes the entire payment process easier, not simply the one advertising the lowest fee.
Final Word,
To be successful in the Australian Food and Beverage Industry in 2022, your business needs to have a Payment Gateway. A Payment Gateway offers your business greater protection, faster customer transactions and reduces both debtors and tedious administration tasks.
To learn more about Payment Gateway in EasyVend click here.
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About EasyVend,
For food and beverage businesses, EasyVend supports and automates every part of your business, freeing you up to grow your sales simply, unlike other ERP systems.
EasyVend features include Stock Management, Online Ordering, Invoicing, Receipting, Automatic Credit Card Payments, Xero Accounting Integration, Route Management, Business reporting and more.
To learn more about EasyVend and what sets us apart call us today on 1300 473 744 or submit the form below.
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It is a system that securely sends payment information for approval. It allows a business to accept credit card and EFTPOS payments, confirm the result and connect the transaction with an order.
A small business may benefit from one if it accepts card payments, online orders or repeat payments. A gateway can reduce manual checks and make paying easier for customers.
Costs vary a lot depending on who you go with. Some charge a setup fee, others tack on monthly charges, and then there’s the per-transaction fee, sometimes flat, sometimes a percentage of the sale.
A reputable gateway uses security controls such as encryption to protect payment data. Businesses should confirm the provider’s PCI DSS compliance and ask what security responsibilities remain with them.
Many gateways can connect directly or through management software such as EasyVend. The right integration can match payments with invoices and reduce manual reconciliation.
A POS system records a sale, while a payment gateway processes the electronic payment. Some business systems connect the two, but they perform different jobs.
A straightforward setup may take a few days. Integrations, account approval, and customised payment rules can extend the process.
Useful options may include debit cards, EFTPOS, direct debit and digital wallets. The right mix depends on how customers order and whether they make one-off or repeat payment