Four digital banking trends to optimise your business management

In a fast-paced business environment, SME owners are constantly time-challenged. Being able to perform banking and other essential processes on the go can be a game-changer in business efficiency.

With the right digital banking partner, SME owners can now tap an innovative range of online and mobile features to manage businesses while on the go. Here are four digital banking trends that are useful for SME owners in today’s business environment.

Make data-driven decisions with cash flow insights

Maintaining healthy cash flow is a perennial challenge for small businesses. With a focus on improving cash flow, 66% SMEs across ASEAN are looking to increase their technology investment, with one key area being solutions that improve business efficiency, such as account reconciliation tools.

Some of these digital solutions can be conveniently found right in your banking account.

• Opt for business accounts that offers features beyond basic transactions, such as predictive forecast of cash flow trends. By getting a bird’s-eye view of your cash position months ahead, you can budget wisely and prevent future cash flow gaps.
• Leverage personalised insights from your business’ past financial trends. Track your monthly cash flow performance in order to maintain good financial health for your business.

Secure the best FX rates with alerts

This year’s global economic landscape is shaping up to be highly challenging, as inflation spikes and energy prices soar worldwide.

Small businesses that rely on importing or exporting goods will be particularly vulnerable to currency fluctuations, given their smaller profit margins and lower diversification.

• Forward Exchange Contracts (FEC) can enable you to fix an exchange rate at an agreed price for a specific date.
• Take advantage of watchlist creation and alert features to set your target rates, and get real-time notifications to take action when your preferred thresholds are met.

Perform digital collection and reconciliation seamlessly

For most small businesses, the tedious process of account reconciliation takes up time and manpower that your team cannot afford to spare. Businesses that still rely on manual reconciliation of cash payments face even more inefficiencies in accounting, compared to those that have digitalised their operations.

Fortunately, today’s businesses can boost productivity through their banking accounts.

• Digitalise your cash-on-delivery model with PayNow Corporate, enabling customers to pay you almost instantly via QR codes linked to your account. This translates to less paperwork and a swifter reconciliations process.
• Utilise accounting solutions that can integrate seamlessly with your business accounts, allowing your transactions to be reconciled automatically. This can cut down the time needed to manage your account receivables.

Digitalise your business processes to drive efficiency

Given that most SMEs operate with lean teams and limited budgets, manpower needs pose a pressing challenge for most SMEs. With manpower costs on the rise, small businesses must turn to digital transformation and automation to unlock greater work efficiency.

UOB’s ASEAN SME Transformation Study 2022 found that investing in digitalisation is a key priority for SMEs. The study reflects consistent investment by SMEs in digitalising business activities across the value chain. These activities fall into four key areas:

• Digital marketing and social media – creating online marketing channels to engage a wider base of customers
• Technology and network management – using of tools and services to facilitate network management
• Operational processes – integrating digital technologies into their processes to create business efficiency
• Digital sales and servicing – cultivating online channels for sales and servicing to gain a competitive advantage

Unlock growth with the right business banking account

At UOB, we offer a range of business banking accounts to serve the different needs of SMEs. We offers solutions to help our SME clients digitalise aspects of their business, through access to digital solutions like UOB BizSmart and UOB mCollect, and the newly launched UOB SME app.

Designed to help automate your business operations, UOB BizSmart brings together a powerful suite of digital tools.

• Boost operational efficiency with our solution partners in accounting, payroll, point of sale (POS) systems, and more
• Expand your customer reach with digital marketing solutions

Get a bird’s-eye view of your business’ financial needs on the go with the UOB SME app. This mobile app is designed to know and grow with your business, enabling you to:

• View your business cash flow through an interactive dashboard;
• Set personalised alerts on Preferred FX rates and transact on the go, securely;
• Access customised insights and events based on your industry.

The right banking partner can connect your business to growth, by placing your organisation on the pathway of new opportunities and helping you build business resilience.

Speak with a UOB representative today if you should like to enquire further on your business needs.