Goh of Yeap Transport on how digital payments is providing a smooth ride for their business

Yeap Transport is a leading school bus and transport service provider in Singapore, operating since 1979. The company serves over 5,000 student riders daily across three international schools with four campuses, as well as local schools.

However, behind the scenes, Yeap Transport faced a challenge that many SMEs grapple with: managing finances and payments in an increasingly digital world. To overcome these challenges, Yeap Transport adopted Xero, leveraging its integration with credit card enablement platform, CardUp, to reduce their reconciliation process from weeks to days.

Paper trails and manual tasks add to payment challenges

As Yeap Transport’s fleet grew and services diversified to include corporate shuttles and electric buses, so did the complexity of their financial operations. The complexity of paper-based invoicing, cheque payments, and time-consuming reconciliations was draining resources and stalling operational efficiency.

"Previously, we were drowning in a sea of paper," said Goh Kok Wee, Chief Development Officer, Yeap Transport.

"Some school parents were sending in cheques, some were paying cash and reconciling all these payments was a nightmare. We knew we needed a change, but finding the right solution for an SME in our industry wasn't easy."

Late and missed payments were also causing significant challenges for the company. "If you want to take an airplane, you have to buy a ticket and pay before you board. The same principle applies to our bus services—if parents delay payments by a month or more, it puts our company at a significant financial disadvantage, especially in today's high-cost environment."

This cash flow challenge threatened not just the company's financial health but also its ability to maintain the high-quality service its reputation was built upon.

CardUp explains that many traditional businesses remain reliant on manual processes and have a higher resistance to change existing processes. With digital solutions bringing benefits in efficiency and productivity, businesses will need to embrace change or risk falling behind their competition.

Driving new efficiencies in payments

The breakthrough came when Yeap Transport adopted Xero in 2021, integrated with the CardUp payment platform. This digital transformation allowed Yeap Transport to automate invoicing and payment reminders, more importantly, automate the matching and reconciliation of thousands of payments received a month. This significantly reduced the manual work that had previously bogged down their finance team.

School parents too benefited from a more streamlined online payment system, simplifying the payment process through click and pay by credit card or PayNow directly from the invoice "With Xero and CardUp, we've been able to cut down our reconciliation process from weeks to days," Goh explains. "It's not just about saving time; it's also about gaining clarity. We now have real-time visibility into our finances, which is crucial for making informed business decisions."

CardUp offers a no-code integration that enables businesses to easily collect online payments and save the hassle of integrating a payment gateway onto their platform or website. CardUp’s dashboard also provides businesses with an overview of the payment data from different customers, allowing them to reconcile accounts more efficiently.

Goh explains that the data is especially valuable for managing late payments with care, given the specific payment codes of conduct that schools must follow. "Unlike with corporate clients, where we can enforce strict credit terms, we can't simply halt services if a parent hasn’t paid—it could result in a child missing school. Xero and CardUp allow us to manage arrears more efficiently by automating reminders and tracking overdue payments. We then inform the school, who communicates with the parents, ensuring we handle late payments with the necessary sensitivity."

Simplified accounting boosts team productivity

The decision to choose Xero was driven by the platform’s user-friendly interface and robust support system, which made the switch seamless for Yeap's finance team, who had been accustomed to traditional accounting methods. "The onboarding process was efficient, and the ongoing support helped us address any challenges promptly," Goh said. "This level of support is often lacking with other software providers, especially for smaller businesses like ours."

In-house finance teams at Yeap are now more productive, with less time spent on mundane tasks like chasing payments and more time available to acquire new skills. The shift to digital operations also aligned with Yeap Transport's sustainability goals, significantly reducing paper usage—an eco-friendly approach that aligns with their international school clients’ own sustainability initiatives.

Smart digital choices drive SME growth

As Yeap Transport looks to the future, they view their digital transformation as more than just a financial solution; it's a strategic advantage in a competitive market.

Goh offers this advice to other SMEs in Singapore: "It's crucial to invest in a reliable accounting solutions provider with great after-sales service that doesn’t break the bank. Cheaper alternatives may seem appealing, but they can lead to costly upgrades or even system replacements. Avoid being 'penny-wise and pound-foolish'; focus on managing both one-time and recurring costs to maintain functionality without eroding profits."

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