[EDI-L] Re: EFT Questions

[Susan Stecklair]

"There is no benefit to EFT." Yipes! :-) Implementing EFT can have a big cost savings. I recommend unbundled meaning the 820 does not flow thru the banking system, but comes directly into the Vendor. But costs might have changed so you would need to talk to your bank. I had one client with shipments to Walmart & Kmart. Each shipment to each store (at that time several thousand for Walmart) would generate an invoice. They would receive a $300,000 check with tons of associated invoices. It would take AR weeks (literally !) to reconcile. After the implementation it would take minutes. It does get trickier with international customers. So what you need to consider is: internal development/project management costs. (be sure the labor costs are fully allocated with overhead, etc. (I use about 35%)) internal labor savings (this will vary by type of business) over time (with inflation & the time value of $$ considered) & the float impact:  positive for vendor  negative for customer. Translation/VAN costs Errors & time to correct due to manual processing (always a guess, but could be significant) Bank fees Customer Fees (if they charge them) Audit / Archiving Costs/Benefits Regards, Susan Stecklair URL: www.ecommerce-inc.com Phone: 408.996.7492 Email: [EMAIL PROTECTED]

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