Last week, Intuit QuickBooks brought together 3,000 accounting professionals at the annual QuickBooks Connect to showcase new fintech innovations and underscore how accountants can help their small business clients navigate the current economic climate. Keynote speakers and breakout sessions reinforced the importance of the payment industry in helping small businesses improve cash flow, an especially timely topic as 97% percent of small business owners are worried about inflation and 23% report cash flow as a “major” problem, according to the Intuit QuickBooks 2022 Small Business Insights report. 

With cash flow being so crucial to the overall health and growth potential of a business, QuickBooks shared several fintech and payment innovations that are empowering small business owners and their accounting partners to make more informed strategic decisions.

Getting paid faster

One of the biggest struggles for businesses is being paid on time, which can have lasting effects. In fact, a QuickBooks study found that 89% of businesses said that late customer payments have set back their company’s long-term growth goals. By partnering with WebBank, QuickBooks has launched offerings like Get Paid Upfront so business owners no longer need to wait to access invoiced funds. They can apply to get an advance on eligible invoices in a few minutes, with access to funds typically in 1 to 2 days after approval, ultimately helping them stay cash-flow positive. A future offering announced at this year’s QuickBooks Connect is reconciliation functionality, which will help make it easier for accountants to ensure their clients' books stay organized and compliant.

Invoicing seamlessly

B2B transactions can be a time-consuming process and create cash flow challenges for both the payor and payee. Intuit is helping address this through the QuickBooks Business Network, making it easier for small businesses to connect, automate administrative tasks and accelerate payments.

The Import Invoice feature within the network specifically allows members to send an invoice to another business they’re connected to, automatically creating a bill for them in their QuickBooks account, ready for their review and approval. This helps make receivables and payables effortless and improve cash flow. 

Planning for the future

Forecasting a business's cash flow can be laborious and even confusing at times, but doing so helps businesses course correct them so they can avoid issues. Thanks to advancements in machine learning (ML), the QuickBooks Cash Flow Planner delivers powerful insights to help plan for the future by predicting cash flow 90 days out, leveraging ML and data analysis. And, the planner can also surface helpful suggestions for possible actions to take to bridge potential cash flow gaps. Additionally, QuickBooks gives accountants the power to track expenses, invoices, deductions and more for their small business clients. 

Managing rainy day funds

Nearly every business will encounter a rainy day at some point, and it’s essential to set aside funds for the unexpected - whether replacing a broken appliance, fixing a company vehicle, paying a high utility bill, or anything in between. Keeping track of money that’s meant for savings alongside other business funds can be tricky, especially if you’re managing finances across various accounts. Utilizing features like Envelopes from QuickBooks Checking (bank account provided by Green Dot Bank) is a simple way to allocate money for the inevitable rainy day and even grow that money by earning interest on balances in Envelopes with a competitive APY. This way, you’re prepared and can simply move money out of an Envelope and spend it on emergencies that may arise or on big expenses, reducing any potential hit to your business’s cash flow. 

Securing loans

Small businesses have various reasons for taking out a loan - it could be for funding growth opportunities, managing a cash flow crunch, or building up a liquidity cushion, amongst other reasons. Unfortunately, many businesses face challenges in accessing loans from traditional financial institutions – particularly if they’re a newer small business. But fintech platforms like QuickBooks have a unique view into a business’s financial health, enabling them to offer integrated small business loan offerings which can make accessing capital faster, with applications taking just a few minutes and funding typically in 1 to 2 business days after approval. The entire process of applying for and paying back the loan can be managed within QuickBooks, allowing for an easy, automated and seamless experience for the business owner or their accountant. 

Effectively and efficiently managing cash flow will always be a critical aspect of running a small business, and continued fintech innovation will be key to fueling cash flow positive small businesses - especially as turbulent economic conditions persist. To learn more about how QuickBooks can help your small business or your small business clients with cash flow, visit QuickBooks.com.

QuickBooks and Intuit are a technology company, not a bank. Banking services provided by our partner, Green Dot Bank. Get Paid Upfront loans are issued by WebBank