B2Bpay for childcare businesses

What childcare centre bills can be paid through B2Bpay?

Short answer: Everything except wages. Rent, food and catering, educational resources, cleaning, childcare management software, insurance, utilities and the ATO can all be paid by Visa, Mastercard or American Express, with the payee receiving a bank transfer or BPAY payment.

Wages are the main cost in a centre and are not paid through B2Bpay. The next tier of costs is where the platform earns its keep:

• Rent or lease payments on the premises, often the next outgoing after wages.
• Food, catering and nappy suppliers invoiced weekly or monthly.
• Educational resources, toys, furniture, playground maintenance and sun shade contractors.
• Cleaning, laundry, pest control and gardening contractors.
• Childcare management and CCS software, insurance, electricity, water and gas.
• Training providers, first aid certification and the ATO (BAS, PAYG withholding and instalments).

The payee receives a bank transfer and does not need to accept cards. See paying suppliers who do not accept cards.

How does it help a centre's cash flow?

Centre income depends on fee collection and Child Care Subsidy timing, while rent, food and utilities are due on fixed dates. B2Bpay lets you pay those bills on time by card while the cash stays in your account for up to 55 days interest-free, depending on the card and statement cycle.

That gives an operator breathing room over school holiday dips or when a subsidy payment is delayed, without an overdraft. Rent is the most common payment centres make through B2Bpay; see pay rent with a credit card and the cash flow guide for how to time payments to your statement date.

What do the points look like for a centre?

Your card issuer pays its normal reward points on every B2Bpay payment, and B2Bpay adds B2B Points: 1 per $1 on Earn Max, 1 per $2 on Earn Plus. 1 B2B Point equals 1 Qantas Point or 1 Velocity Point.

A centre paying $35,000 a month in rent, suppliers, software and ATO payments through B2Bpay on Earn Max earns 35,000 B2B Points a month before card points. Over a year that is a family holiday for the owner or a staff reward, funded by bills the centre pays anyway. Run your own figures in the points calculator and read points maths: what a payment earns.

Who uses it, and what does it cost?

Usually the owner or centre director, often with an external bookkeeper. Multiple user logins are supported, and bills sync from Xero, MYOB or QuickBooks with automatic reconciliation. Multi-centre operators can pay each centre's bills from the one portal.

Fees ex GST, as published at b2bpay.com.au. Earn Max earns 1 B2B Point per $1, Earn Plus 1 per $2, Essential none. The fee is a platform fee for the service, shown on your tax statement.

A $12,000 monthly rent payment by Visa on Earn Max carries a $300 fee and earns 12,000 B2B Points plus card points, while the $12,000 stays in your account until your statement is due. See platform fees, GST and tax deductions.

Getting started

Register at points.b2bpay.com.au/sign-up, add your landlord, food supplier, cleaner and software provider (B2Bpay verifies bank accounts before the first payment), or connect your accounting software. Australian based support on 1300 205 575, or use get started.