Tom Priore, Chairman and CEO
The team at Priority Commercial Payments, a division of Priority Technology Holdings Inc. (PRTH), is on a mission to help tech-savvy CFOs transform Accounts Payable (AP) by solving three top barriers plaguing their teams: disparate payment processes, dependency on IT resources to transition to automated payments, and cost-sensitivity of suppliers in accepting electronic payments.
The combination of Priority’s technology and targeted supplier enablement services accomplishes that mission and more. These solutions reduce friction in AP payments, by eliminating inefficient manual processes, and enhance cash flow, by driving early payment discounts and cash-back incentives to the buyer.
“We optimize commercial payments by bridging the gap between AP and accounts receivables (AR) processes, without requiring our clients to change banks or replace their ERPs,” says Tom Priore, Chairman and CEO, PRTH. “We overcome the suppliers’ transaction cost concerns and eliminate the technology integration complexities that hinder electronic B2B transactions.”
At the core of Priority’s value proposition is the CPX platform which accepts a single payment instruction file of approved invoices. Touchless, automated payments flow to suppliers across a diverse suite of payment solutions— card, ACH, and check. CPX has built-in intelligence that recognizes the most profitable payment method and terms for the buyer that will be accepted by the supplier, then makes the payment and delivers the reconciliation data accurately and securely.
With so many challenges and initiatives on their plates, CFO’s have adopted CPX because of its seamless integration with any accounting software and business system (i.e. ERP). “Our solution is also bank and processor ‘agnostic,’ meaning that we can support a customer with any bank and processor they choose whether Visa, MasterCard, American Express, or others,” says Priore.
We overcome the suppliers’ transaction cost concerns and eliminate the technology integration complexities that hinder electronic B2B transactions
The ease of CPX integration makes the need for IT resources a non-issue for CFOs. The CPX dynamic file mapper works within the existing AP workflow and ERP system to map a payment file within minutes. “We minimize the IT requirements and narrow the typical six-to-eight-week integration process down to literally minutes,” informs Priore. “As we leverage PRTH’s infrastructure, our speed-to-market is supported by assets that most of our competitors lack.”
AP teams embrace the easy yet robust interactive portal to manage payments, supplier information, data exchange, and reporting. The solution eliminates AP and AR siloes, integrates back-office systems, and helps finance teams execute strategic cash flow management while generating cash back to the bottom line.
Supplier resistance is embedded in the challenge of transforming to electronic B2B payments because they bear the interchange expense on a virtual card. But Priority has been working with suppliers for more than a decade, which is a key differentiator. The CPX supplier activation team leverages their network and knowledge of suppliers’ virtual card acceptance behavior. They generate an AP spend analysis that informs an actionable and profitable payments strategy for their customers.
CPX is enabled with in-house customized consulting, supplier education programs, and underwriting services that build bridges with the suppliers for seamless AP execution. Additionally, CPX automates check and ACH payments, allowing them to negotiate payment options to increase efficiency, generate rebate opportunities, and help buyers maintain strong relationships with their suppliers.
As the fifth-largest non-bank processor in the US, Priority processed more than $86 billion in payments in 2019. With digital payments making a strong impact on the gig economy, the company aims to expand into B2C digital payments as well. The focus will also be on stronger integration between AP and AR processes in order to reduce the barriers for success in commercial payment transactions.