Interview with David Bork, Head of AR Solutions at Boost Payment Solutions, Inc.
by Pushpendra Mehta, Executive Writer, CTMfile
David Bork is Senior Vice President (SVP), Business Development, and Head of AR Solutions at Boost Payment Solutions, Inc. From helping entrepreneurs sell merchandise at street fairs to advising some of the greatest companies in the world, David derives inspiration from helping clients navigate the world of payments and automation. The 25-year journey has included founding, building and selling a payments organization to brokering unique payment arrangements between corporate titans. David resides in Carlsbad, California, with his wife and enjoys pickleball, lifting weights, riding down to the beach, and watching Liverpool compete in the English Premier League.
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Pushpendra Mehta, Executive Writer at CTMfile.com and Host of the OpenTreasury Podcast, interviewed David Bork, Head of AR Solutions at Boost Payment Solutions, Inc.*
The interview has been lightly edited for clarity and length.
In today’s uncertain, rapidly evolving, and competitive business environment, Accounts Receivable (AR) teams face significant challenges, such as delayed payments, understaffing, and missed opportunities. This interview explores how embracing automated AR solutions and commercial cards can enhance cash flow, improve operational efficiency, reduce fraud, optimize operations, and more.
Mr. Bork, AR teams are struggling with issues such as delayed payments, understaffing, and overlooked opportunities—challenges that have been amplified by recent economic conditions and shifting market dynamics. These factors are putting AR teams under considerable pressure. Against this backdrop, isn’t it imperative for AR teams to preserve cash flow and operational efficiency by enhancing AR solutions and adopting B2B commercial cards to speed up payments and reduce AR cycle times?
Absolutely. AR teams need to prioritize automation to stay on top of cash flow and efficiency, especially given today’s economic backdrop. But adopting commercial cards and automation isn’t just about keeping up with the current times, it’s really about improving performance and preserving cash flow in a highly efficient way.
Businesses that still rely on manual payment processes are not only outdated but also create bottlenecks that slow down the full end-to-end payment flow. This is where commercial cards shine—they can help automate receivables through straight-through processing (STP), which eliminates the need for manual intervention and reduces errors, allowing AR teams to get paid quicker and easier.
The real game-changer is when a company’s AR system is automated, it enables suppliers to get paid quicker and easier, eliminating the need for manual intervention. This creates operational efficiency and frees AR teams from handling repetitive tasks, allowing them to focus on more strategic activities. By automating the cash application process, this streamlines how payments are applied to invoices, drastically shortening the AR cycle time and lightening the load on understaffed teams. Through our multi-patented straight-through processing technology, Boost Intercept®, our customers see an average reduction of over 40% in their days sales outstanding (DSO), allowing them to get paid quicker while unlocking working capital and improving cash flow.
Not only this, but traditional payment methods often result in lost or incomplete data, creating negative ripple effects up and down supply chains. Through our STP solution, Boost Intercept, we capture and report on the remittance detail in a number of industry standards and proprietary formats —whether it’s PDF, CSV, XLS, EDI 820, or dozens of other options— which then auto-reconcile card payments to the bank entry within AR systems. This allows suppliers to have full visibility and control over their receivables.
Commercial cards are gaining traction on the accounts payable (AP) side. Yet, despite their benefits, commercial cards often face resistance in addressing AR challenges due to perceived costs around their use and acceptance. How can organizations overcome this resistance and drive wider adoption of commercial cards in AR?
To drive adoption of commercial cards, companies need to focus on both reducing perceived costs and showing how valuable these cards can be. First, negotiating better payment terms is key. For example, if a customer currently has net 30 or net 45 payment terms, switching to net 15 or even immediate payment terms using commercial cards can speed up cash flow significantly. This faster payment can help offset the costs associated with accepting cards.
Second, it's crucial to invest in a merchant processing system that supports Level 3 data and large-ticket interchange rates. These systems are designed to reduce interchange fees compared to Level 1 or Level 2 rates, making card acceptance more affordable for suppliers. The trick is using technology that capitalizes on these lower rates through data-rich transactions. By working with Boost, we can help suppliers save up to 50% on their cost of acceptance by qualifying for the lowest published interchange rates available.
When AR teams utilize STP, payments are accompanied by enhanced remittance data in a format that can be ingested directly into the ERP system. This automation streamlines the application of payments, eliminating the need for manual matching and reconciliation. As a result, AR teams can focus on simpler bank reconciliations rather than the time-consuming work of applying cash. This combination of faster payments, lower fees, and automated processes makes adopting commercial cards in AR not only more efficient but also cost-effective, benefiting both buyers and suppliers in the long run.
One of the distinct advantages of commercial cards is their ability to help mitigate fraud. What built-in controls or features do they offer that help companies reduce their fraud risk and stay one step ahead of defrauders?
One of the biggest fraud-fighting tools commercial cards offer is the use of single-use virtual accounts (SUAs). These virtual cards are generated for one-time use, making them inherently more secure and PCI-compliant by default. Since SUAs are limited to a specific transaction and exact authorized amount, the risk of fraud is drastically reduced. It's like setting a payment “lock” that only opens once for the exact amount needed.
In addition, commercial cards allow companies to set controls based on SIC or MCC codes, meaning payments can only go through if they match the correct vendor category. If someone tries to sneak through an unauthorized payment, it’s automatically blocked.
In an STP setup, the payment process becomes even more secure. The card information never directly reaches the supplier—it’s handled by a secure third-party intermediary, with everything automated through file-based transmission. No card numbers are visible, and human intervention is eliminated, minimizing fraud risks. These built-in security measures not only protect businesses but also keep them a step ahead of fraudsters.
Beyond resolving delayed payments and cash flow challenges, what additional benefits do commercial cards and automated AR solutions bring to AR teams?
Commercial cards and automated AR solutions do so much more than just tackle delayed payments and cash flow issues—they offer a wealth of additional benefits that can transform AR teams. For starters, security is a standout advantage. Traditional payment methods like checks and wires are prime targets for fraud, with double-digit rates of actual and attempted fraud. In contrast, commercial cards enjoy much lower fraud rates, in the single digits, thanks to robust security features like virtual cards and transaction controls that provide an extra layer of protection.
One of the most impactful benefits is the end-to-end automation of payment processing. With Boost Intercept®, suppliers are able to streamline the expensive manual processes associated with taking B2B payments. Suppliers who accept cards through Boost receive end-to-end automation and superior remittance reporting. This means AR teams can say goodbye to tedious manual tasks like applying payments, freeing them up to focus on more strategic activities such as nurturing customer relationships and optimizing cash flow. The automation also cuts down on errors and speeds up the reconciliation process, ensuring payments are applied accurately and efficiently.
By combining these advantages, commercial cards and automation help AR teams boost operational efficiency, lower costs, and enhance security. It’s clear that adopting these solutions is not just a smart move; it’s essential for modern financial management.
Looking ahead, it's evident that automation will remain a key focus for businesses in B2B payment processes. If enterprises automate B2B payments through a straight-through processing (STP) type solution, what tangible benefits can they expect to receive?
Automating B2B payments through an STP solution offers several tangible benefits for enterprises. First, they will experience complete end-to-end automation of the payment cycle, significantly reducing manual intervention. This results in faster transaction times, more accurate payment application, and fewer operational errors.
Additionally, enterprises can expect to see a reduction in fraud attempts. With STP, payment information is transmitted securely and automatically without being exposed to human interaction, minimizing the risk of fraud and ensuring data privacy. This secure, streamlined process also cuts down on processing costs by reducing labor-intensive tasks such as manual data entry and reconciliation.
Moreover, automating payments through STP enables real-time visibility and reporting, providing enhanced transparency and control over cash flow. This allows finance teams to make better-informed decisions and optimize working capital management. By adopting automation, enterprises can increase efficiency, reduce costs, and enhance security in their B2B payment processes.
Is there any other aspect of commercial cards and automation you would like to highlight that could further improve AR processes or lead to a major leap forward for B2B payment systems?
One key aspect worth highlighting is the mutual benefit of improved working capital for both buyers and suppliers when using commercial cards. The cardholder (buyer) can secure extended payment terms from their bank, while the supplier can negotiate accelerated payment terms, allowing them to receive funds faster. This creates a win-win scenario where both sides optimize their cash flow.
Additionally, commercial cards enhance security for both parties, reducing the risk of fraud compared to traditional payment methods. From the AR perspective, automation eliminates the soft costs associated with manual payment processing, such as errors from manual entry and time spent on reconciliation. This frees up valuable time for AR teams, enabling them to focus on more meaningful tasks like strategic financial planning and customer relationship management, rather than routine data entry.
In the long run, leveraging commercial cards and automation can lead to greater efficiency, fewer errors, and a major leap forward in streamlining B2B payment systems.
David Bork, thank you for sharing your time and insightful perspectives with us.
*About Boost Payment Solutions
Boost Payment Solutions is the global leader in B2B payments with a technology platform that seamlessly serves the needs of today’s commercial trading partners. Our proprietary solutions eliminate friction and deliver process efficiency, data insights and revenue optimization. Boost was founded in 2009 and operates in 180+ countries.
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