New Race Financial Reports

DollarWe have done a major overhaul on our Financial Reports. The Summary page now gives a quick overview with 3 tabs to drill down on:

  • Transactions – these are focused on the individual transactions that have been processed on behalf of your race.
  • Payments – These are a list of all the payments that have been made to your race with many drill down reports.
  • Payment Accounts – This is where you can get information about the account we make payment to. This is also helpful for organizations that have multiple races and allows you to see how a payment was broken between multiple races.

Financial Summary

The above screen shot shows a financial summary page for a race. In the middle, there is a button to view a Detailed Summary:

Detailed Summary

Clicking on the “Show Excel” button downloads this report:

Excel Financial Summary

If you click the Show Quantities button in the upper right corner it shows the quantities:

Detailed Financial Summary with Counts

Payments
The second major tab shows Payment Information. This will look slightly different depending on your Payment Account type and payment frequency. It shows a quick summary of how many payments for the selected period (defaults to current race period – typically this year’s race, but you can switch event dates at the top of the page). Below are a variety of ways to look at your payment information, as well as drill down on specific areas like donations:

Payments

The Summary Payment Report downloads an Excel spreadsheet that shows each payment in rows, and the various types of transactions that your race had as columns (there can be about 30 if you have a lot of options) like registrations, donations, store items, coupons, etc. To the right it shows the breakdown by event. Note the Tabs at the bottom of the spreadsheet that allow you to drill down on each payment:

Summary Payment Excel

We spent a LOT of time working on the Detailed Payment Report. It first asks you to select a specific payment and then shows you all of the details of that payment. It shows a unit price, quantity and total for each type of thing your race offers, as well as anything like refund account holdbacks that affect your individual payment:

Detailed Payment Excel 1

Detailed Payment Excel 2

The Individual Payment Summary can be used if you do not have Excel or want a quicker and higher level view of the payment:

Individual Payment Summary

Note the Overall version of this is useful for organizations with multiple races on the same payment account. For example:

Multi-Race Payment Summary

The Event Summary shows a similar version of the above two reports for the race by event (5K, 10K, etc.). The Race Date Summary shows multiple years on a single page in summary fashion.

Race Payments List shows a list of Payments with quick links by each payment to the various reports above:

Race Payments List

One of the links on the right – View Race Transactions – shows the transactions that make up that payment. This works best for races using Advanced Payment since we are able to specifically match a a transaction.

Transactions in a Payment

The second section of Payment Reports drill down into specific transaction types. These are fairly self-explanatory and cover:

  • Transactions
  • Registrations
  • Donations
  • Store Items (not Add-ons – those can be seen either int he Add-on report or the detailed reports shown in the first section)
  • Corporate Team Payments
  • Refunds
  • Holdbacks
  • Adjustments

The final tab is the Payment Account information.

Payment Account

If you have multiple races, this can be a useful tab to understand payments being made for multiple races, for example:

Payment Account

Thanks to all of the races who helped feed us requirements for these changes. We hope you find them useful (because we spent a lot of time on them)!

Payment System Updates Coming

Finance UpdateWe rolled out our new payment system a couple of months ago based on our new role as a Payment Facilitator. This brought a number of benefits to new races such as faster payments, better reporting, better refund processing, better statements to runners signing up for your race on their credit card bill, etc. But there has been a downside in terms of ease of use and on-boarding.

Over the next two weeks we will be rolling out a new version of our payment system that should address the negative feedback we have heard on the new system. The highlight is that we will have a “Quick Start” option and an “Advanced” option. NOTE: Existing customers need not do anything and can renew and add races to their existing payment accounts.

Quick Start
We will have two modes of Quick Start:

  • Set Up Now
    • We ask you for the minimum amount of information necessary to satisfy credit card processing rules to set up your payment account
    • You can choose to make payments to yourself or to a business, charity or other non-profit entity
    • You can choose to receive either direct deposit (preferred) or check payments and can receive your payments weekly or monthly based on our current
  • Set Up Later
    • Our innovative Quick Start payment system allows you to set up your race now, begin taking registrations now and come back later to give us the instructions on how to make payment

Advanced Payment Option
RunSignUp offers an Advanced Payment Option for accounts that want additional payment benefits including:

  • Funds availability typically 1 day faster than Quick Start Payment
  • More detailed financial reporting
  • Payment frequency up to daily
  • The Advanced Payment Option require a little more information than a Quick Start set up to satisfy IRS and credit card processing rules
  • If you are a 501c(3) charity we will present you with the choice to set up the Advanced Payment Option at the time you set up your payment account
  • Any other individual, business or non-profit entity who wants the additional benefits can move to the Advanced Payment Option at any time

We are totally redesigning the user interface to be simpler. We will also make it simple to upgrade from the Quick Start to the Advanced.

We expect that large races will want to move to the Advanced Payments mode. We also expect to be announcing additional advantages with the Advanced Payments methodology once we roll it out and have good feedback.

Creating a New Payment Account

Credit Card ProcessingWith the coming release of our new Payment System, we have updated the process of entering your payment information.

Payment information is collected in Step 3 of the Wizard. You have 3 choices when setting up your race:

  • Set up the Payment information and enable transactions.
  • Payment SetupSetup Later and disable transactions until later.
  • Setup Later and enable transactions now (you will need to enter your payment information at some point for us to pay you).

Note that you will be able to send an automatic email inviting another person (perhaps your club treasurer or the finance person on your race committee) to complete the payment information.

Once you start to enter the payment information, there are three sections of information we collect as mandated by the government and the VISA, MasterCard, Discover and AMEX credit card networks. RunSignUp is effectively underwriting you as a “sub-merchant” in the credit card network and must comply with credit card network rules Legal Entity Informationand use various systems and checks to assure limitation of risk for things like fraud and money laundering. This information is also used for filing proper IRS 1099 forms:

Legal Entity – This is the organization behind your race (like Rotary Club, School, Charitable Organization, Race Management Company, etc.) or you as an individual. The information needed includes:

  • Legal Entity TYpeLegal Entity Type (501C3, Corporation, LLC, Individual, etc.
  • Organization Name
  • TaxID – Depending on the organization type this would be your 501C3 number, your Social Security number if an individual, or your EIN (they are all 9 digit numbers).
  • Select Yes or No to indicate whether this Legal entity has Accepted Credit Cards before. Indicate Yes if this Legal Entity once had or currently has a Merchant account or has been a sub-merchant through RunSignUp’s Direct Payment System or another online registration service.

PrincipalLegal Entity Principal – This is the person filling in the information above. Preferably someone in your organization who has access to this information and responsibility to make sure funds are used appropriately like your Club Treasurer, VP of Finance or the individual if being organized by a person. The information needed here will include:

  • Contact information such as address, email and phone number and birthdate.
  • If the Legal Entity is an individual, then you must put in your Social Security Number.

Payment Account InformationPayment Account Information – This is the actual account your payment will be placed into. The information needed here include:

  • Organization Type – Either a Charity or not. Only official 501C3 organizations can claim themselves as a charity.
  • Contact information of the person who manages the account. This is so we can get in contact with the proper person who manages the payments.
  • Bank InformationChoice of Direct Deposit or Checks.
  • Bank Routing Number and Account Number.

Bank Account Information

Here is a video showing the whole process:

See other blogs about managing and updating your Payment Account Information.

Updating Payment Information

 

New Payment System Roll Out

Credit Card ProcessingOver the coming weeks we will be rolling out a new and improved payment system. Over the next year most of our customers will find it beneficial to move to this payment system.

The primary benefit is faster payments and better reporting. Once the system is rolled out we also plan on lowering the processing fees on donations to pass along some savings that we are receiving as being tied closer to the credit card network and our rapidly growing volume.

The new payment system will be a combination of our Direct Payments and Manual Payments used today. All customers will have to set up full information, but will still have the choice of daily, weekly or monthly direct deposit or to receive checks on a weekly basis if the amount due is over $200 via Bill.com as you do today.

The plan is to introduce this new payment system only to new races who do not have an existing payment option with us today initially. This step should happen this coming week of March 23rd.

As we get feedback, we will ask some select existing customers to move over and provide us feedback. We expect this to happen in the first weeks of April.

After we have solid feedback from customers, we will begin to roll customers over as they renew races. We would expect this to happen in May.

As part of our transition to being a Payment Facilitator, we will be collecting more information from each customer. This is to comply to federal and credit card network (VISA, MasterCard, AMEX) rules. We have validated our systems with a higher level of PCI security compliance to assure the secure storage of your information.

Setting Up Direct Payments for Multiple Race Organizers

We have made it simple for organizations putting on multiple races to make payments to a single bank account and sub-merchant ID. For a full background on Direct Payments, read this blog.

Payment AddressYou will be matching up two separate items when on you create a new race – Payment Information and Merchant Information. We show you a button to match previous Payment Information in a popup – see the big green button on the right.

Sub-merchant accountThe second item will be the Bank Account information. Make sure to click the checkbox on the right if it will be the same as a previous race. Then you will see a button that will show you any previous sub-merchant accounts you have set up.  Simply click on the one you want, and that is all that is needed.

Here is a short video that demonstrates how to do this:

Moving to Direct Payments

Direct PaymentsOur new Direct Payments system has become the preferred method for race payments.  It gets the money into your bank account quicker, is more automated, and it is the direction the credit card industry is guiding the online registration business.

See RunSignUp Payment Details for full instructions on how to set this up for your race or club.

The Credit Card Payment Process
The credit card system is a huge network tying together merchants and buyers via their banks. Here is a simple explanation with some nice diagrams to explain the process in detail. For online registration, what has traditionally happened is that a company like RunSignUp has collected the money thru the credit card system – with money being taken out of a runner’s credit card and put into RunSignUp’s bank account about 2 business days later. RunSignUp then makes either direct deposits or writes checks to make payments to races.

The problem with this from a race standpoint is the money is getting delayed. The problem with this from the credit card network’s viewpoint is that the money is not being transferred directly to the party who is putting on the race. While we have not had issues in our business of fraud (knock on wood), there is potential for money laundering and tax evasion. Hence the credit card network and banks want to promote a more direct method for payments – hence Direct Payments.

In this case, we are using a service from Braintree, called Marketplace. The service makes each race a “sub-merchant”. It collects the minimum information required to be able to put the money into your designated bank account as well as do the required background checks required by the credit card networks. Note that RunSignUp does NOT store any of this information – it is all held securely by Braintree and the credit card network.

How to SignUp for Direct Payments
Direct Payment SetupYou can sign up for Direct Payments in the Payment Details section of the wizard or from the Financial tab and Payment Setup sub-tab.

Simply select the Direct Payment Option and the form below will ask for a number of items of information. If you do not have all of the information handy, you can set up for Manual Payments and change to Direct Payments at any time.

Multiple Races?
If you have multiple races, you can quickly copy over the payment information from one race to the other with this simple button. We provide nice reports to segment the payments from each race so you can manage and reconcile all of your payments.  We have race management companies that have nearly a hundred races using this methodology. See this post for more details on this topic.

Bank Account InformationBank Account Information
Merchant Identifier – This is a unique code that will identify your bank account as a “sub-merchant”.  This requires normal address information as well as the bank account number and routing number (see below for where to find these numbers on your checks). If this is an organization’s account, you can put in the name of the organization as well as the TaxID. Proper 1099 forms will then be created at the end of

Checkthe year for your organization. Note that races collecting over $100,000 per year will likely have to provide further information. The name and address of a person is also required along with the last 4 digits of the social security number. This is the information used by Braintree and the Credit Card Networks to do background checks with databases like OFAC and Mastercard MATCH.

Distribution of FundsPayment Frequency and Flow
You have the ability to have funds distributed on a daily, weekly (each Monday) or monthly (first Monday of each month) basis. We transfer all settled from the credit card network at 5AM Eastern for all transactions that have cleared by approximately 6PM Eastern the previous day. Note that customers switching from Manual to Direct will receive both a check and a direct deposit the week they make a transition since there is normally money due based on the old Manual Payment method. Payments typically take 2 days to process thru the credit card network before you see them in your bank account. So a payment processed on a non-holiday Monday at 5AM for transactions thru 6PM on Sunday will appear in your bank on Wednesday, typically.

You will be able to see reports in the Financial Tab on your race dashboard that will show each transaction that makes up each payment as well as a summary by race fees, donations, store purchases, etc. Note that there may be small variances of when a transaction is completed and when it shows in the payment.  This is due to delays in the credit card network for approval and transfers of funds. For example, you may see an American Express charge that occurred at 11:55PM that is not included in that day’s payments (it will be included the following day). American Express has a particularly long delay, but this can happen with VISA, Mastercard or Discover charges as well.

EMail Confirmations
You can send EMail confirmations to yourself and others with information on the payments that have been made.  Set this in the Social -> Notifications section.

Please feel free to send questions to finance@runsignup.com.