AR had had no advancements within Boston Properties in quite some time.
Boston Properties, a self-administered and self-managed real estate investment trust (REIT), is one of the largest owners, managers and developers of Class A office properties in the United States, with a significant presence in five markets: Boston, Los Angeles, New York, San Francisco and Washington, DC.
Boston Properties has greatly reduced the time and effort spent managing receivables. By implementing a solution that allows tenants to self-service, access their account information 24/7/365, and schedule payments, Boston Properties has decreased the time spent chasing small dollars and is better meeting tenant expectations. By automating the old, manual, and paper-based tasks, Boston Properties’ AR department is now 100% paperless. With 84% of tenants adopting this new platform within the first few months alone, it’s clear to see that tenants were ready for a change.
The Starting Point
Boston Properties was spending too much time on low-value AR tasks, chasing small dollars and going back and forth with tenants. The AR team was using four separate systems to track billings and payments so instead of proactively managing receivables and positioning the company to scale, days were spent hopping between different platforms, reconciling information. Tenants paid via ACH and checks to lockboxes but payments were rarely a true match to the amount Boston Properties showed owing. The AR team was then left with the tireless task of cash application and reconciling payment. This resulted in a lot of back and forth between Boston Properties and tenants which was both a resource drain for the company and an annoyance for the tenants. Boston Properties’ AR department hadn’t had any advancements in quite some time so it began looking for a comprehensive solution that allowed everything to come into a single pane of glass for its tenants and improv efficiencies for its team.
AR had no advancements within Boston Properties in quite some time.
Boston Properties implemented Versapay ARC®, a cloud-based solution that automates the entire invoice-to-cash process: presentment, collaboration, collections, payments and cash application. With ARC, Boston Properties has given its tenants the ability to self-serve. To be able to see their open balances at all times and make payments, eliminating much of the time and effort previously required by the accounts receivable clerks.
“Versapay’s technology improves our tenant experience and is a natural and logical next step.”
Jeff Phaneuf, VP Finance and Planning
With ARC, Boston Properties have been able to set up automatic reminders and alerts to notify tenants when payments are due or past due. This has meant less time chasing small dollars and more time spent on activities that can help Boston Properties grow and scale.
“Versapay has built a robust platform to support commercial real estate companies that will provide self-service and payment options along with a centralized interface for our internal teams.”
Jim Whalen, SVP and CIO/CTO
Payments made via the Versapay ARC platform are applied automatically, reducing the amount of unapplied cash needing to be dealt with manually. With all tenant conversations stored in one easy to access place, communication with tenants has improved and the amount of back and forth between tenants and the AR team has been reduced.
Boston Properties’ AR team now have the time to do the high-value jobs required for the company to succeed, transforming them from a reactive function to a proactive strategic driver.