A U.S. Based Fortune 500 Leader Saves up to 25% on Transaction Processing Cost with FreePay

The Objective

To integrate their order management portal with electronic invoice presentment and payment, to provide the customer with a unified experience within a single portal to place orders, view pending invoices and make payments. Further, the pending invoices could also be adjusted with existing credit notes and immediate updation in the ERP for order processing.

The Background

This Fortune 500 brand is a leading U.S.-based company specializing in home and security products. Its portfolio comprises well-known brands that deliver innovation and premium experiences in key categories.

The company serves a global market but has a strong presence in North America, where the housing and remodeling sectors drive much of its business.

This Fortune 500 leader operates primarily in three segments:
Water Innovations: Produces faucets, plumbing fixtures, and related accessories through brands like Moen and House of Rohl.
Outdoors & Security: Offers products such as doors, decking, and security solutions under brands like Therma-Tru, Fiberon, and Master Lock.
Cabinetry: Focuses on premium and custom cabinetry through brands like Omega, Diamond, and KitchenCraft.

The Numbers

0X

Faster Reconciliation

0Days

Reduction in DSO

0%

Dealers on FreePay

The Numbers

0%

Accurate Cash Reconciliation

$ 0.6Million

Worth of Transactions Processed Every Month

10 - 0%

Reduction in Transaction Processing Charges

The Challenge

The finance team at the company faced critical inefficiencies in its invoice management and reconciliation workflows due to manual processes. These challenges slowed down internal operations and disrupted the overall customer experience.

1. Manual Payment Processing:

Customers wishing to make an invoice payment via credit card had to call EMTEK customer care and store CC on file to process payments. It created friction in the customer experience and increased the dependency on support teams, leading to delays and inefficiencies in the payment cycle.

2. Limited Visibility:

There was a lack of real-time data on pending invoices and available credit notes for customers. Customers frequently had to reach out to support for updated account information. This limitation also affected the finance teams, as they had to manually respond to frequent status queries, slowing down internal operations and impacting productivity.

3. High Volume of Transactions:

Manually reconciling a large volume of payments proved to be time-consuming and complex. As the number of transactions grew, so did the operational burden, leading to backlogs, delayed reporting, and inefficiencies in month-end closures.

4. Credit Note Reconciliation Issues:

There were consistent issues in reconciliation when credit notes were applied manually to offset invoice payments. It often led to mismatches between payments and credits, creating challenges in accurate record-keeping and customer account management.

Our Solution

This Fortune 500 leader chose Global PayEX’s Electronic Invoice Presentment and Payment (EIPP) solution, FreePay, to streamline their invoice management and enhance the overall payment experience for their customers.

1. Unified Customer Portal:

The seamless integration of FreePay with the brand’s Order Management Portal enabled customers to access invoice and order-related details within a unified platform. With a single sign-on experience, customers can now view pending invoices, apply credit notes, and make secure payments—all from the same platform—resulting in a more intuitive and efficient user journey.

2. Sophisticated payment processing:

Deduction Application/ Partial invoice payment: Customers were given the option to apply valid deductions and pay the invoice partially, subject to internal EMTEK approvals.
Credit Card Tokenization: No credit card is stored on file; it is stored in the payment processor vault for added security and ease of payment processing.
Credit Note Adjustments: Use credit notes to offset invoice value partially or fully when making invoice payments.
Multiple Invoice Payments: Process payments, credit note adjustments and deductions for multiple invoices (up to 500) in a single payment.

3. Automated ERP Updation:

All invoice payments and credit note adjustments are automatically updated in ERP within 30 minutes of processing a payment, allowing for faster credit limit releases and processing.

4. Real-Time Visibility:

Their employees have a real time dashboard showing outstanding invoices, invoice view and payment processing across all customers. The dashboard also publishes regular reports providing comprehensive views of AR health.

5. Order-Level Reconciliation:

FreePay provided the ability to track individual order-level transactions and discrepancies. This granular approach allowed finance teams to quickly identify discrepancies, resolve mismatches efficiently, and ensure accuracy across all transactions.

The Results

The integration of Global PayEX’s EIPP platform, FreePay, with this Fortune 500 Leader’s order management portal delivered significant operational and financial improvements. They achieved a remarkable reduction of 10-25% in transaction processing costs by automating invoice presentment, payment processing, and credit note reconciliation using FreePay.

The seamless user experience provided by the unified portal eliminated the need for a dedicated customer connect desk, leading to substantial savings in cost to serve.

Additionally, real-time ERP updates and streamlined payment workflows enabled faster credit limit releases, improved cash flow efficiency, and enhanced customer satisfaction. This transformation optimized their accounts receivable processes and supported their broader goal of delivering premium experiences and innovation to their customers.

“A highly adaptable solution that has transformed the way we do business”

We have been using FreePay since 2017 and the improvement and efficiency it has brought in our collections and account receivables management has been remarkable.

FreePay has helped deliver electronic invoices to our Channel Partners in real time, process payments with all our business terms plugged in and taken care of our end-to-end customer account reconciliation.

Our Channel Partners have also been very appreciative of introducing FreePay to them especially for its feature capabilities, ease of use, transparency and customer support, without adding any cost to them.

Joseph Selvakumar , Vice President – Commercial ,

V-Guard Industries Ltd.

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Reduction in Manual Efforts