#15 – From the Trenches - MSP AR Automation & Cash Flow (Nicholas Reimer)

In this episode of From the Trenches on the BMK Vision Podcast, Josh Peterson sits down with Nicholas Reimer of Alternative Payments for a leadership-level conversation about a problem most MSPs underestimate until it hurts: accounts receivable drag. When cash flow slows by even a few days, the impact compounds—on payroll decisions, hiring confidence, tooling upgrades, and the owner’s ability to invest strategically instead of constantly protecting liquidity. This episode frames AR not as “admin work,” but as an operating discipline that belongs alongside margin, utilization, and delivery quality—especially if you’re building toward a more structured model like Vision and treating financial stewardship as a core leadership responsibility rather than an after-hours cleanup task. For MSP owners who want a sharper lens on what financial clarity unlocks, this pairs well with the long-term benefits of adding a financial consultant to your MSP.

This is not a conversation about “chasing invoices faster.” It’s about designing a system where chasing largely disappears—because the client experience, payment options, and policies are set correctly from day one. Nicholas and Josh explore why legacy payment workflows quietly create hidden costs (time, friction, unpredictability), why ACH adoption is a strategic lever (not just a convenience), and why the real win is shortening the quote-to-cash cycle so your MSP stops financing client indecision. Along the way, they confront a reality many owners avoid: your AR process is part of your positioning. Strong operators set expectations, reduce ambiguity, and treat cash-flow velocity as an intentional outcome—not something “the bookkeeper handles.”

If you’re an MSP owner who has ever been surprised by aging AR, felt the anxiety of a big outstanding balance, or realized too late that “good relationships” can become an excuse for weak process, this episode will resonate.

How do you improve MSP cash flow without raising prices?

Short answer: you shorten the time between “work delivered” and “cash collected” by making payment behavior a designed system—not a negotiated habit.

Most MSPs think cash flow is primarily a sales problem (“we need more MRR”) or a finance problem (“we need better reporting”). In reality, cash flow is often an execution problem: inconsistent onboarding, unclear payment expectations, too many manual exceptions, and a billing process that relies on heroic follow-up. Automation matters—but only when it reinforces a disciplined policy that sets the tone early and removes ambiguity from the client experience.

In this episode, Nicholas and Josh make the case that faster collections are rarely about pressure. They’re about structure.

• Cash-flow velocity is a strategic lever, not an accounting detail
• Payment automation works best when expectations are set at onboarding
• Options (ACH, card, financing) reduce friction while protecting margin

The MSP problem this episode solves

Many MSP owners believe they’re “fine” because revenue is steady and clients seem happy—until aging AR spikes and suddenly the business is floating thousands of dollars for work already delivered.

This episode addresses three common MSP cash-flow traps:

• AR processes that depend on memory, manual follow-up, and “someone keeping an eye on it”
• Client payment behavior that was never explicitly designed—only tolerated over time
• Hidden margin erosion from card fees, manual reconciliation, and slow-to-pay exceptions

The underlying theme is simple: you can’t build a durable MSP on unpredictable cash collection. If you want stability, you need a system that enforces it.

Manual AR vs. automated AR strategy

A manual AR MSP tends to operate like this:

• Invoices go out “when someone gets to them”
• Clients pay via whatever method they prefer
• Follow-up is inconsistent and personality-driven
• Check payments and exceptions become normal

An automated AR MSP tends to operate like this:

• Payment expectations are defined at onboarding
• ACH becomes the default, with clear (and fair) incentives
• Collections are system-triggered, not mood-triggered
• Leadership uses AR data (like DSO) as an operating metric

Nicholas frames the opportunity in practical terms: the goal isn’t “more technology.” It’s a cleaner operating rhythm—where the business stops bleeding time and attention on the same avoidable payment friction month after month.

What financial stewardship looks like in MSP billing

Stewardship shows up in practical, repeatable decisions:

• Setting non-negotiable payment policies for new clients (and implementing change thoughtfully for existing ones)
• Reducing check volume aggressively because it increases lag and manual work
• Making ACH the default to protect margin and predictability
• Being transparent about card processing costs instead of absorbing them silently

This is the subtle leadership shift: you stop treating billing as an awkward afterthought and start treating it as part of your operating system. Done well, it protects your team, your delivery capacity, and your ability to invest without anxiety.

A practical AR automation & cash-flow checklist

If you want to tighten cash flow without turning your MSP into a collections agency, this episode points to a few non-negotiables:

• Define your default payment method (and make it the path of least resistance)
• Offer options without sacrificing clarity: ACH, card (with pass-through fees), and financing for “bigger-than-normal” invoices
• Design the onboarding script so payment expectations are agreed to early—before “special cases” multiply
• Track DSO and aging as leadership metrics, not back-office noise
• Compress quote-to-cash by connecting quoting, invoicing, and payment workflows cleanly

These are the same fundamentals Bering McKinley emphasizes through its consulting services and the Vision operating system—helping MSPs align people, process, and performance under a single execution framework.

Episode highlights

• Why AR “drift” happens even in otherwise well-run MSPs
• The hidden cost of checks, exceptions, and partial portal adoption
• When passing through card fees is appropriate—and how to do it transparently
• How short-term financing options can reduce sales friction on unusual invoices
• Why cash-flow velocity is an execution discipline, not a personality trait

About the guest: Nicholas Reimer

Nicholas Reimer works in partnerships at Alternative Payments, helping MSPs strengthen cash-flow predictability by improving the systems and client experiences that sit between “invoice created” and “invoice paid.” His perspective is grounded in entrepreneurship and operational scalability—focused on how process design reduces friction, protects margin, and keeps MSP leadership out of avoidable financial firefighting.

Connect with Nicholas Reimer on LinkedIn →

Frequently asked questions

What is the fastest way for an MSP to improve cash flow?
Reduce payment lag by standardizing payment expectations at onboarding and making automated ACH the default for recurring invoices.

Should MSPs pass through credit card processing fees?
Often, yes—especially in B2B—if you communicate it clearly and still provide lower-cost options like ACH.

Why are checks such a problem for MSP billing?
Checks add delay, manual work, and reconciliation overhead, which increases DSO and quietly drains operational capacity.

What is DSO and why does it matter for MSP owners?
DSO (days sales outstanding) measures how quickly you collect revenue. A few extra days can materially impact payroll safety, hiring confidence, and growth investment.

How can financing help an MSP close deals without discounting?
Short-term installment options can soften the impact of unusual invoices (hardware refreshes, projects) while allowing the MSP to get paid immediately.

How do I get existing clients to adopt ACH without damaging relationships?
Use a structured change plan: communicate the why, provide a timeline, offer a brief incentive window, and treat the shift as a standard operating improvement—not a negotiation.

Related resources from Bering McKinley

• The long-term benefits of adding a financial consultant to your MSP
• The role of managed service provider financial consulting in revenue growth

Want to continue the conversation?

If you’re an MSP owner tightening financial discipline—and want help building systems that protect margin, accelerate collections, and create operating clarity—explore the Vision operating system or apply to be a guest on the podcast.

👉 Apply to be on the BMK Vision Podcast
👉 Learn more about Vision