XS Supply, a reseller of medical supplies, began its operations in 2015. It found a niche, lucrative market in the resale of single-use surgery supplies. The company purchases excess supplies, those nearing expiration dates, or discarded supplies due to a brand change or other factor at a fraction of the original cost and resells those same supplies to other hospitals or surgical centers in need, well below the manufacturer rates—a win for XS Supply and for the buyer. In the words of the company’s chief financial officer, Tyler Berger, “We’re a surplus model, much like TJ Maxx for retail or Plato’s Closet for clothes. Except we do it with high-dollar value medical supplies.”
As a surplus reseller, XS Supply deals with not only customers, but a sizeable number of suppliers. And as the company name implies, suppliers are central to their operations. “In my business, my suppliers are just as important as my customers.” said Berger. “Suppliers are my customers. So, it is very important when I [engage with a new supplier], their payment experience is seamless.”
Making traditional banking transactions through an enterprise resource planning (ERP) system was cumbersome, time-consuming, and not the most transparent, so “seamless” was not the term either Berger or his suppliers would use to describe their payment experience. Berger was frustrated with the solutions in place, and fortuitously, that’s when Veem stepped into the picture.
“They got me on a call,” said Berger. “And they convinced me to just give Veem a shot. So, I did, and the reason I stuck with it, the reason I love it, is because it is so much easier than using a bank. I’m never going back.”
Simplyfying the Transaction Process
What makes it so easy? For XS Supply and Berger, it is the simplicity of the software. With just a few clicks, a payment can be processed. “All I have to do is log in, type in an email address, type in the amount, type in the payment amount, confirm with a few additional clicks, and done.”
And it works much better with XS Supply’s ERP software. With Veem, XS Supply can leverage the automatically generated ID number and input it into the ERP software making for easier referencing. This same process cannot be achieved with bank transactions as the 16-digit number generated by the bank does not fit into the existing ERP field for those details.
As a result, XS Supply, is processing transactions with less effort and faster than ever before. “With Veem, it takes me 2 to 3 minutes to process a transaction,” said Berger. “This is 70 percent faster than a banking transaction.”
Eliminating Uncertainty
But for XS Supply, it is not just about ease of use and time savings Veem provides, there is a “peace-of-mind” factor that plays a significant role in why Veem is such a valuable tool. Take Veem’s transparent tracking: It allows XS Supply to continually monitor the status of a payment, which is especially important for hospital suppliers, who typically are paid via check. “With Veem, I can send suppliers [electronic] checks,” said Berger. “I don’t have to handwrite or print out a check, and I can track it.” And because physical checks can be lost, stolen, destroyed, or forged, there is plenty of room for issues to arise, creating a need for transparency into their status at all times. “For the people I send checks to, that tracking is invaluable.”
Veem also provides assurance and certainty for XS Supply, which is especially important when collaborating with new suppliers. “There is always a fear with a new relationship,” said Berger. New suppliers might wonder if the payment will arrive on time or how will they be notified of the payment. “Veem allows us to uphold our reputation of ‘I pay you what I say I am going to pay you. It arrives when I say it is going to arrive.’ Because we know it is going to get there and get there when it is supposed to,” Berger added.
