GS interviews PayJunction's Kyle Ouzts

As businesses grow and evolve, consolidating multiple payment systems is often a necessary step to streamline operations, reduce costs and enhance customer experience. However, without a strategic approach, consolidation can introduce unexpected challenges. In this Q&A, Kyle Ouzts, director of partnerships at PayJunction, shares insights on the most common hurdles businesses face when merging payment systems, the hidden costs to watch for, and how automation and real-time insights can optimize financial management.

1. What are the most common financial and operational challenges businesses face when consolidating multiple systems?

Consolidation should drive efficiencies, but without a thoughtful approach, businesses can suffer a deflated bottom line. Many organizations fail to leverage economies of scale, leading to redundant costs and inefficient workflows.

One of the biggest operational challenges of consolidation is fragmented payment operations. Businesses often inherit multiple payment systems with inconsistent cash flow due to varying deposit times, antiquated features and security gaps from disjointed access controls. These inefficiencies make reconciliation complex, increase compliance burdens (e.g., multiple PCI compliance attestations) and create friction in customer transactions. Additionally, indirect relationships with payment processors, often mediated by legacy practice management systems, further hinder cost control and operational agility.

2. How does consolidation impact a company’s ability to maintain compliance across multiple locations, and what are the most overlooked risks?

Consolidating disparate payment solutions complicates compliance management across multiple locations. This is because different platforms often require different Self-Assessment Questionnaires (SAQs), which are reviewed by separate Qualified Security Assessors (QSAs), creating operational challenges for compliance teams.

A commonly overlooked risk is failing to reevaluate security protocols following consolidation. Many businesses assume their existing systems are compliant, but legacy payment integrations may not adhere to evolving PCI DSS standards. Without a proactive review, companies may expose themselves to data breaches, increased fraud risks and regulatory penalties.

To mitigate these challenges, businesses must standardize compliance processes across all locations and regularly assess vulnerabilities. Proactive security measures ensure compliance while safeguarding both the business and its customers.

3. What are some unexpected costs businesses should be aware of when integrating different payment systems after a merger or acquisition?

Beyond the obvious technology and transition costs, businesses should look out for hidden financial drains, such as:

• Compliance & Security Costs: Legacy systems may require PCI DSS reevaluation, encryption upgrades and non-compliance penalties resulting from legacy systems.

• System Integration & Development Costs: New APIs often require custom development, and businesses may face unexpected gateway or middleware fees.

• Operational Disruptions: Downtime during migration, staff retraining and increased customer support expenses can temporarily impact efficiency.

• Contractual Liabilities: Early termination fees, duplicate service fees and interchange rate differences can lead to unnecessary expenses.

• Chargeback & Fraud Risks: Changes in payment workflows may increase chargeback rates, requiring an additional investment in fraud tools.

• Bank & Processing Fees: Cross-border fees and different batch settlement times can disrupt cash flow.

Understanding these potential costs upfront enables businesses to negotiate better vendor contracts, avoid service overlaps and select solutions that optimize transaction processing.

4. How can automation and integrated payment solutions help businesses reduce operational stress and streamline financial management post-consolidation?

Automation is key to reducing the friction associated with consolidation. By integrating payments directly into business operations, companies can eliminate redundant manual processes, reducing errors and improving efficiency.

For example, a centralized dashboard simplifies financial management across multiple locations, ensuring consistency in reporting, reconciliation and cash flow projections. Solutions like PayJunction’s No-Code Payments Integration® allow businesses to scale efficiently by enabling seamless payment integration into any cloud-based software. This adaptability reduces IT overhead and proactively protects payment infrastructure against ongoing consolidation efforts.

5. What role do real-time payment insights play in improving decision-making for multi-location businesses, and what should organizations look for in a payments provider to gain this visibility?

Solutions offering account-to-account payment methods and next-day funding ensure that funds are instantly available to practices, maintaining positive cash flow. While real-time payments (RTP) adoption is still evolving, businesses should prioritize providers that offer flexible deposit options and comprehensive transaction visibility. Additionally, choosing a payments provider that centralizes financial data across all locations helps businesses maintain better control over revenue flow and reduce the risk of cash shortages.

6. How can improved payment workflows positively impact the customer experience in a consolidated business?

Consistent and frictionless payment workflows directly enhance the checkout experience for customers, especially in multi-location businesses like veterinary and healthcare practices. By implementing a full-featured, integrated payment solution, businesses can meet customers where they are in the payment journey. This includes:

• In-office checkouts with secure card-on-file tokenization

• Digital invoices delivered via SMS or email for remote payments

• Scheduled payments to align with flexible billing and installment plans

• Keying in card info received over the phone

A well-integrated payment system not only drives operational efficiencies but also builds customer trust by offering secure, convenient and predictable payment experiences — regardless of location.

Whether you want to upgrade your POS offerings, find a payment gateway partner, bone up on fintech regs or PCI requirements, find an upcoming trade show, read about faster payments, or discover the latest innovations in merchant acquiring, The Green Sheet is the resource for you. Since 1983, we've helped empower and connect payments professionals, starting with the merchant level salespeople who bring tailored payment acceptance and digital commerce tools, along with a host of other business services to merchants across the globe. The Green Sheet Inc. is also a proud affiliate of Bankcard Life, a premier community that provides industry-leading training and resources for payment professionals.

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