Comdata overview
- 1. How to Transform your Accounts Payable Departmentinto a Revenue Generator
- 2. Comdata is a leading provider of innovative, value-added payment and information solutions40+ years experience
- 3. Productivity improvement, cost reduction and expense management
- 4. A One-Card Solution for purchasing, travel, fleet, per diem and payables disbursements
- 5. Provide strategy, implementation and support services Treasury ManagementVoice of the CustomerReduce cost and streamline business processes
- 6. Contribute to revenue development
- 7. Mitigate risk and simplify accounting processesDisbursements ManagementCorporate FleetPurchasing TravelPayroll, Per diem and Incentive33
- 8. Today’s Payment Landscape“Manual, paper-based accounts payable departments are eroding the bottom line of large and mid-market enterprises by an order of millions of dollars each year….and the stage is set for a major financial makeover.”4
- 9. Top Factors Driving Electronic Payments
- 10. An Electronic Payment Applicationfor Every Situation
- 11. Reduce CostsEliminates cost of check processing, averaging $5.14* Mitigate check fraud and cost of positive pay Generate monthly revenue on vendor paymentsEx: $3.0M monthly volume @ 1.50% = $45,000 Paid monthly on actual volumeEasily implementedIntegrates as another payment type in your AP applicationVendor enrollment support with worldwide acceptanceEliminate 1099 ReportingIRC Section 6050W – Effective January 1, 2011Card-based vendor payments – Merchant acquirers responsible for reporting
- 13. A Virtual Card is a unique 16 digit MasterCard account number
- 14. The MasterCard number is issued for a specific dollar amount
- 15. Accepted by millions of suppliers worldwideReconciliation ProcessInvoice file from Comdata containing all merchant processed transactionsYour payables disbursement file contains consolidated supplier invoices, amounts and associated MasterCard account number(s). A GL clearing account is assigned to all transactionsUnprocessed merchant transactionsVirtual MasterCard Process for APThe Vendor is paid with the Virtual CardThe merchant authorizes MasterCard transaction based upon pre-defined parameters – date, time, amount.Comdata distributes and returns a Virtual MasterCard account number for each vendor payment processed.Example: #1234 4321 3567 8235Expiration 04/2005CV2 345VendorCompany submits a Payables Disbursement File from ERP to ComdataCustomer
- 16. Traditional AP Check vs. Virtual Payment TimelineWith Comdata MasterCard Virtual Payment, our Customers:
- 17. Enjoy the same float as a traditional AP check(est. 5 to 7 days)
- 18. Earn a cash monthly rebate
- 19. May initiate payment on the invoice due date
- 20. Eliminate the manual prework and reconciliation associated with checksVendor Acceptance Over 8 million vendors in the U.S. accept MasterCard
- 21. Here are some examples of vendors our customers are paying today: OFFICE SUPPLIESOffice Depot
- 22. Office Max
- 23. Staples
- 24. Boise CascadeSHIPPING FedEx
- 25. UPS
- 26. USPS
- 27. Pitney BowesTELECOMMUNICATIONS Verizon
- 28. Sprint
- 29. AT&T
- 31. Cintas
- 32. Unifirst
- 33. Penn EmblemPAPER / PRINTING International Paper
- 34. Unisource
- 35. Xerox
- 36. Kinko’sLABOR / STAFFING Adecco
- 37. Spherion
- 38. Kelly Services
- 40. Lamar Outdoor Advertising
- 41. Google
- 42. Clear ChannelSOFTWARE / SYSTEMS Microsoft
- 43. Oracle
- 44. Intuit
- 45. AppleVARIOUS RETAIL Walmart
- 46. Target
- 47. Home Depot / Lowes
- 48. CostcoCredit Card Acceptance The Merchant Value EquationSuppliercard acceptance(2.45% on average)Customer Rebate (1.50%)Comdata (0.95%)Value of AcceptanceIncreased sales from larger base of potential customersElectronic payments eliminate check fraud and mailing delays Lower collection cost and bad debt eliminationCustomer loyalty and risk mitigation12
- 49. Executive SponsorshipInternal ProcessesTrainingNew VendorsPurchasingRFPContractsContestsCheck RunsJoint Strategic CallsNew Pay MethodTermsDiscountsContractsProprietaryMass Vendor ContactMailingsCheck StuffersEmailsWebsiteFaxesCalling CampaignEnrollment ResultsSet goalsReportingRebateProcess ImprovementIncentivesStrategic SourcingFour Pillars of Vendor Enrollment
- 50. Case Study: Health FirstNot-for-profit hospitals in Florida
- 51. Four facilities (900 beds)
- 53. PeopleSoft ERP* Example only - based upon billing and payment terms
- 54. Health FirstCase Study68% Transactions less than $5,000.0086% Spend is greater than $5,000.00
- 55. Case Study: Kinder MorganLargest energy storage and pipeline transportation company
- 56. NYSE: KMP and KMR
- 57. 8,000 employeesCase Study*Example only – based upon billing and payment terms
- 58. Keys to SuccessVendor enrollment defined and continuously executedEmployees promote program as preferred payment methodReduced check processing from 3 days to 1 day per weekProgram settlements process daily with simple file transfer81% Trx < $5K62% Spend > $10K
- 59. SummaryDelivering Value in Corporate Payments