In today’s business world, optimising processes is essential to keeping a company competitive and in good financial health. Managing supplier invoices, often perceived as a time-consuming and repetitive task, is no exception to this rule. But what if we told you that there was a way to simplify, secure and speed up the payment of your suppliers? That’s wherePayment Initiation comes in, a service that’s transforming the way companies manage their outgoing payments.

What is Payment Initiation?

Payment initiation is an innovative service made possible byOpen Banking and PSD2 (Payment Services Directive 2). In practical terms, it enables a company to order a direct transfer from account to account from a third-party interface (such as a management software application or a payment platform) without having to connect directly to its online bank for each transaction.

The process is simple: instead of manually entering the bank details of each supplier and connecting to the banking interface, you authorise a Payment Initiation Service Provider (PISP) to initiate the transfer on your behalf. You retain total control, because you always validate the transaction, often via strong authentication (such as a notification on your smartphone).

How does Payment Initiation simplify the settlement of your supplier invoices?

Historically, paying supplier invoices involved tedious manual tasks: entering IBANs, amounts, references, repeated connections to banks, etc. Payment initiation changes all that:

• Direct payment from your management software: Imagine being able to validate an invoice and initiate payment directly from your Azopio platform, without having to juggle several tabs or banking applications.
• Automatic pre-filling of information: Payment details (supplier IBAN, amount, invoice reference) are automatically pre-filled, drastically reducing data entry errors and time spent.
• Simplification of SEPA payments: Whether you’re managing single transfers or SEPA files for bulk payments, payment initiation makes the process easier. You can either download files and upload them to your bank, or connect directly with your bank to simplify your transfers.
• Increased visibility and traceability: Each payment initiated is recorded and its status is easily traceable, giving you better visibility of your cash flow and real-time monitoring of your disbursements.

Concrete benefits for your company

Adopting payment initiation to manage your supplier invoices offers multiple benefits:

1. Save time and automate: No more manual data entry or back and forth between your management tools and your banks. Automation frees up time for your teams, who can concentrate on higher added-value tasks.
   
2. Reduced errors: pre-entering payment information considerably reduces the risk of human error, which can lead to payment delays or complex reconciliations.
   
3. Enhanced security: Payment initiation services are governed by strict regulations (DSP2) and use strong authentication mechanisms (SCA), guaranteeing the security of your transactions. You do not have to share your bank details with the PSIP.
   
4. Optimised cash flow: By making payments more fluid, you have better control over your cash flow and can honour your commitments more quickly, thereby strengthening your supplier relationships.
   
5. Potentially lower costs: Compared with other payment methods, payment initiation can be more economical, particularly by avoiding the fees associated with certain card transactions or the administrative costs of manual processes.

Azopio and Payment Initiation: The Future of Financial Management

At Azopio, our mission is to simplify the lives of VSEs and SMEs by automating their pre-accounting and financial management. The integration of payment initiation fits perfectly into this approach.

Imagine a solution where your supplier invoices are not only digitised and centralised, but also paid in just a few clicks via your existing bank account, all within the same Azopio interface. No need to leave the platform to make your transfers or manage your SEPA files. Unprecedented fluidity for maximum efficiency.

Payment initiation is more than just a feature; it’s a real opportunity to modernise your supplier payment operations and improve efficiency. It gives you the security, speed and simplicity your business needs to thrive.

Ready to transform the way you manage your supplier payments? Find out how Azopio integrates payment initiation to give you an even smoother, more intuitive experience.