Detroit-based TCF Bank has partnered with Autobooks, a Detroit fintech company. Starting today, small-business customers of Chemical Bank, a division of TCF National Bank, can enroll in Autobooks and begin accepting online payments via automated clearing house and credit cards, with funds deposited directly into their accounts.
Due to the COVID-19 pandemic, Chemical Bank is waiving the monthly software fee for the first 90 days. TCF Bank expects to make Autobooks available to all customers in the near future.
The two banks’ small business clients will have the ability to electronically send invoices, collect payments, and automate aspects of accounting and reconciliation. The services help the bank become an ecommerce platform capable of budgeting and cash flow forecasting.
“Small businesses rely on predictable cash flow, and now more than ever need tools from their financial institution to help them quickly get paid – such as self-service merchant onboarding to accept online payments and donations,” says Joe Chasteen, director of business banking sales at TCF Bank.
“We are providing a platform to evolve the traditional business checking account into a modern back-office that emphasizes cash-flow, embedding tools such as customer management, receivables, payables, and payment processing. Digital banking services are going to be critical to small business success.”
Small businesses account for nearly half of the state’s employees, and 99.6 percent of businesses in Michigan are small businesses, according to the U.S. Small Business Administration Office of Advocacy. According to the JP Morgan Chase and Co. Institute, the average small business only has 27 days of cash reserves.
“Small business owners already have enough on their mind, which is why we are making getting paid as simple as possible,” says Steve Robert, CEO and co-founder of Autobooks. “As a payment facilitator, we’re honored to be working with Chemical Bank to bring treasury and cash-management products down market, providing an on-ramp for small and micro-businesses to get the tools they need from a provider they know and trust.”
Chemical Bank merged with TCF in 2019, forming the largest Michigan-based bank with more than $47 billion in combined assets. Construction on its Detroit headquarters is underway. Chemical Bank customers at 232 locations in Michigan and Ohio now can enroll in Autobooks and begin accepting payments within minutes. The small businesses will be notified when payments are received.
Accounting and payment processing services are provided by Autobooks, an unaffiliate third party. Chemical Bank receives revenue from Autobooks.