Simplifying Payment Processing Is Easier Than You Think

By Max Glassburg / Published June 2024

And why does simplifying how you process payments matter? Because efficient payment processing can significantly impact the day-to-day operations and financial health of Florida’s many condominium communities and homeowners’ associations. Whether your community is self-managed or managed by a third party, with the right tools in place, accounts receivable (AR) and accounts payable (AP) become streamlined, cost-effective, and easier to track. Let’s explore how communities and associations of any size can enhance their financial operations, spending less money to get more work done faster.

Streamline AR to Make Collection Payment Effortless

     Financial stability is key for Florida community managers, and first things first—efficient payment processing means your team can efficiently pay vendors, collect routine payments, and track one-time fees and violations without wondering if you missed anything.

     Digital payment solutions can automate how payments are collected and tracked. With electronic payment platforms, communities can offer homeowners a variety of payment options including debit cards, credit cards, and ACH transfers. By offering this level of convenience and choice, you make the process more accommodating for homeowners and accelerate cash flow into the community’s accounts, ensuring funds are available when needed. Some community management systems have eliminated fees for ACH transfers to give homeowners a truly free way to make payments online.

     Best of all, software that automates payment processing significantly reduces the administrative burden on your accounting team, cutting down on time spent chasing late payments and manually reconciling accounts. When getting paid is that easy, homeowners are less likely to miss a payment (especially with autopay); and your team spends less time following up on delinquent homeowners.

Automate AP to Save Time and Money

     Automating invoice processing can lead to substantial time and cost savings. Imagine saving tens of hours every month. For community managers, every hour spent on revenue-generating activities instead of data processing counts. Modern payment processing solutions enable community managers to schedule payments for recurring expenses, such as utility bills or maintenance services, making it easier to get paid on time and without incurring late fees. When integrated with community management software, board members or third-party managers can easily pull necessary reports.

     Accountants can further save time by implementing an AI-enabled optical character reader (OCR). This is an exciting tool busy AP accountants will appreciate. It recognizes text on physical paper or scanned images and creates an electronic version with editable text.

     AP automation also provides real-time data, giving you a clear, up-to-date picture of your community’s financial health. It also eliminates the risk of human error, a common source of frustration and wasted time in community management. Duplicate entries and overlooked invoices become a thing of the past, further safeguarding your financial resources.

Enhance Vendor Relationships

     Let’s face it: a good vendor can be hard to find, and you don’t want to lose your preferred service due to late or missing payments. A streamlined payment processing system allows you to better monitor and manage vendor relationships. By maintaining a comprehensive digital record of transactions, communities can easily identify risky vendors, such as those who frequently deliver services late, overcharge, or provide subpar work. In Florida’s vast and competitive services market, your records are invaluable, allowing you to address problem vendors before they cause financial harm to the community. Likewise, you can more easily flag the ones you want to work with and make it faster for your team to identify them as well.

Build a Financially Healthy Community

     Implementing good financial management systems is not just about making life easier for managers and homeowners. It’s about building a financially healthy and stable community. By enhancing the ease and reliability of both incoming and outgoing payments, communities can ensure a steady cash flow, reduce administrative costs, and free up resources that can be invested back into the community.

     Moreover, with a streamlined financial operation communities can more effectively plan for future projects, reserve funds, and improvements. The latest software makes it easier for association management businesses to demonstrate their effectiveness and remain competitive and financially secure in Florida’s robust condominium market.

Cloud-based Solutions Make Dollars and Sense

     The adoption of modern payment processing solutions in community management is your key to restoring or transforming your financial operations. For Florida communities, where the acceleration of growth heightens the need for operational efficiencies, technology is essential. By making payment collection effortless, centralizing your workflows (financial and otherwise) in a single solution, automating routine procedures, and enhancing financial oversight, you can position your community for sustained success and stability.

Max Glassburg

senior marketing writer, Yardi Systems

     Max Glassburg is a senior marketing writer at Yardi in Nashville, Tennessee. He is usually found writing for Yardi Breeze and especially enjoys connecting with clients and sharing their successes with the real estate community. For more information, call 800-866-1144 or visit yardibreeze.com.