Over the past few decades, latest technology, importantly, the internet and mobile devices has changed our lives and made it better in ways unimaginable before. Not only to our personal lives but technology has bring reforms into the banking sector for small and medium size businesses which has increased the convenience and made it possible to focus on the business side of responsibilities.
Technology has paved its way for countless advances and changes in the department of banking. In the past, individual has to physically go to the bank in order to conduct regular transactions for the business. This unnecessary exercise has been rectified through the emergence of internet and online banking. What more benefits does this medium holds and how online banking is assisting small businesses on daily basis, we have put together some solid benefits online banking has to offers.
This is the biggest benefit for accessing online banking technology. The mobile apps that offers online banking system enables individuals and entrepreneurs to maintain transaction of their accounts and audit their bank statements anytime. This online banking powered application is built on the foundation of simplicity, accessibility and provide convenience to their users.
2. Decrease physical bank visits
Another huge benefit to set up banking applications is have yourself fewer bank visits, which helps you to save amount spend on gas, save you time for checks processing and waiting in line. The amazing technology used for this purpose is called Remote Deposit Capture (RDC). Initially, it was introduced in 2004, which is a reliable method of depositing a check into a bank account from any remote location, without manually entering to your local bank. Previously, RDC is processed through scanning a digital image of the check and sending the copy of the image to your bank. Nowadays, RDC is accompanied using the help of online banking applications.
3. Quicker Transactions
Gone are the days when it was necessary to physically be at the bank and wait hours in queue to perform your banking transactions. These old school methods not only waste time but also our resources. Through the help of online banking, you can perform your transaction instantly. For instance, you can process through the help of online payment while making a purchase using your credit or debit card, instead clearing a check. After the process, your bank will notify your transaction almost instantly. This process not only give you power to have quick control over the time required for transaction, but also helps you to monitor more accurately of your current account balance.
4. Integration with your account software
Nowadays, small and large firms are using accounting software to manage their books and finances. Using online banking application, you can integrate your bank account directly to your bookkeeping software. This method will help you to manage your account information on the go, without any mediator in between, thus saving time and resource. A business adopting integration methodology can instantaneously update the financial statements of your busies linked with your account information, view the in-coming and out-going on the go and helps you to get all the account latest numbers without reentering your banking details.
5. Easy to transfer Funds
It has been a common practice for much small business to have multiple bank accounts, like personal account, business account, saving account etc. It is often a hassle to manage all these account simultaneously but the biggest issue of all is ones you are required to transfer funds between one accounts to another account. The technology used to digital transfer funds from accounts is called automated clearing house (ACH). This method is basically an electronic network between financial institutions used to process and transfer funds between one point to another. ACH lets the business entrepreneurs to transfer fund more rapidly, thus helps in managing cash flow, organizing payrolls and assists on paying bills on time.
6. Rapid payment options
Technology has greatly increased number of options for payments from your business accounts to any account located externally. One option, as discussed above, is Automated Clearing House (ACH) used to transfer payments which are necessary for depositing payroll directly, issue vendor payments and apply for monthly membership fees. Another option used for fast payment is called Online Bill pay method for business. This method is commonly used among businesses to pay utility bills and credit card payments. Lastly, there is wire transfer, which has the tendency to send payment from any part of the world using online, even to be made at the same business day.
Many Small businesses are beginning to adopt these services in order to improve their business strategy and model. These are just handful among of benefits gained using technology in the banking sector; furthermore, it is continuously evolving in terms of better options and more security. Mobile application that is equipped with online transaction options will always be in high demand for small and large businesses. Especially, for e-commerce and subscription based applications, online banking and account management is integral component of the business model which keeps on getting more mature as technology advances.
SleekDigital is a Mobile App Development Agency in Singapore that helps businesses transform digitally. We also offer digital transformation consultation and general digital consultation for companies who are looking for suggestions of different systems to be integrated. This is more of companies who lack a digital consultant to propose technologies. Arrange a digital consultation with us today!