When it comes to running a business, bringing home the bacon is the name of the game, and seeing the fruits of your labour land in your bank account is super rewarding.
But the period of time between making sales and getting paid can sometimes be a impatient wait, especially when you’ve got other outgoings waiting to be dealt with.
Next Day Settlement is a way of alleviating that stress, so in this article, we’ll explain what it is, how it can help with your business’ cash flow (and why that matters), and how you can get your hands on it.
Settlement is the process of your takings being delivered to your bank account after having been authorised and sent to your acquiring bank.
Without Next Day Settlement, this process can take anywhere up to five days, and typically never fewer than three.
Next day settlement, however, reduces this wait significantly, and your funds will land in your account the very next working day.
It’s clear to see then that Next Day Settlement has its perks - not least shortening the painful wait to receive what’s rightfully yours.
The major draw of Next Day Settlement is the repercussions on businesses cash flow - one of the most important elements of business success.
In its purest form cash flow is the movement of money in and out of your business. Often cash flow is mistaken for profits, but on the contrary, a business can boast healthy profits while still facing financial hot water if the amount going out doesn’t match what’s coming in.
This situation is called negative cash flow - when the outflowing of money is greater than the incoming - and research shows this is one of the largest precursors for businesses going bust.
But don’t panic, the likes of Next Day Settlement can help businesses avoid being in the red, and maintain a healthy cash flow.
Top tip: To learn more tips and tricks for improving your businesses cash flow check out our go-to guide.
As a business owner, you’re always spinning multiple plates - suppliers need paying, staff want their wages, marketing needs your attention, (we could go on and on) and in order to tick all those boxes, you need to make sales and keep everything running smoothly on your end.
But what if the final payment date on an invoice is growing ever nearer and your takings still haven’t manifested in your account? This is when cash flow can teeter on negative.
Enter Next Day Settlement and situations like this are a thing of the past - your account shows you exactly where you’re up to and accounting, bills, and payments are a doddle.
If the idea of simpler cash flow management and quicker payment sound right up your street, then the good news is getting your hands on these perks with Next Day Settlement is easy.
Here at takepayments our partnership with Barclaycard, one of the most trusted brands in the payments market, means we can offer our customers Next Day Settlement as standard, providing:
That’s really all there is to it. Plus, if you don’t use Barclaycard as your acquirer right now, we’ll get you set up with a Barclaycard merchant account free of charge as part of our service so you don’t miss out on these perks.
Ready to board the Next Day Settlement train? If you’re a fresh business looking to embark on your payments journey, simply reach out to one of our experts today to get the ball rolling.
For businesses on the hunt for their next payments provider, even if you’re already with someone else, at takepayments we make switching easy.
We’ll review your current package and see if we can get you a better deal - only if it’s in your best interests - from there our experts will take care of the whole process on your behalf and you could have your hands on Next Day Settlement in no time.
*Next Day Settlement is available to takepayments Limited customers who are accepted for Barclaycard acquiring services and is subject to Barclaycard’s approval. Next day settlement refers to the next banking day. Your card machine’s banking window function must be performed before 8:30pm in order to receive settlement the next banking day. Transactions processed via Ecommerce pay pages, pay by link and virtual terminals may be subject to different settlement timescales.