What is treasury management?

Treasury management is the series of processes involved in managing cash flows, optimizing investment returns on available cash, and planning liquidity to fund business operations. 

Depending on the nature of your business, at any point, you may have a significant sum of cash in a checking account earning near-zero yield. This is understandable if most of these funds are expected to be used for operations. 

A treasury management strategy can be a significant value add when you expect a significant sum of non-operational cash you don’t plan to use immediately. 

Typically outlined in a company’s investment policy, any treasury management strategy aims to invest your cash reserves in a highly-rated investment portfolio that balances yield generation and liquidity needs while minimizing fees. 

What is treasury in banking?

Treasury management and business banking are interconnected. As money storage facilities, bank accounts are used by treasury teams to move funds in and out of treasury investment accounts. 

For example, a business earning a 5.25% yield on U.S. T-Bills may elect to sell those holdings and transfer funds to a bank account via ACH deposit to fund payroll, vendor payments, and other business expenses.

Banking and corporate treasury work together to manage cash flows, investments, and debt financing and monitor several risks (liquidity, interest rate, currency, etc.)

What's the difference between finance and treasury management?

Financial management focuses on the company’s financial stability and performance, which can be influenced positively by a strong treasury management strategy and process. 

In other words, treasury management is one aspect of corporate finance management alongside budgeting, making operational decisions, and reviewing financial reports. All work together to help maximize shareholder, employee, and customer value over the long term. 

Why do businesses need treasury management?

Effective treasury management helps businesses balance the following: 

• Liquidity: Improve a company’s ability to analyze trends with receivables and improve cash flow forecasting to fund business operations properly.
  
  
• Cash position: Generating yield on cash reserves can add to a business’s cash position over the long term, which can be invested in initiatives like product development and hiring. 

• Compliance: Treasury management makes the process of complying with regulatory requirements easier.

• Risk management: Managing interest rate, currency, and credit risk is more effective with a formal treasury management process.

• Decision-making: Businesses are better positioned to centralize useful information on cash visibility and investment performance for managers to make more informed decisions.

What is treasury management software?

Treasury management software automates cash flow, liquidity, investments, and risk management. The best software is fully integrated with banking, accounts payable, expense management, and financial reporting tools.

What does treasury management software do?

Treasury management software helps automate much of the heavy lifting that goes into successfully executing a cash management strategy, including: 

• Fund transfers: Moving excess funds in and out of investment accounts depending on liquidity needs. The software uses bank connectivity to schedule the movement of funds based on cash management decisions and your strategy.

• Oversight: The platform monitors investment performance and ensures that investments comply with company policy. The software monitors exposure to interest rate risk and currency risk.

• Real-time reporting: The treasury department gets immediate reporting on cash positions and investment performance.

What are the main functions of a treasury management system?

A properly designed treasury management system (TMS) manages liquidity and cash flows better than alternative, manual methods (e.g., spreadsheets). 

Treasurers work with financial operations to plan for the company’s cash needs. The treasury staff must monitor investment performance and use financial data to evaluate risks.

The treasury system provides funds for day-to-day operations and maximizes the efficient use of company resources.

The 13 best treasury management software tools in 2024

1. Rho

Rho is a financial operating system that helps businesses boost their profitability. The platform helps by automating treasury management, helping lean businesses generate yield on their cash reserves while maintaining liquidity and security. 

Features

Rho offers a comprehensive set of solutions built into our platform that make it easy for companies to achieve this:

1. Rho Checking Accounts provided by Webster Bank, N.A., Member FDIC that are FDIC-insured up to $250,000 per entity.
2. Rho Savings Accounts are built on a network of over 400 FDIC-insured banks. This allows companies holding funds above $250K to access up to $75M in FDIC deposit insurance per entity.
3. Rho Treasury, our treasury investment service, invests your excess cash in short-dated government securities held directly in your name.

Once onboarded, Rho Treasury clients select a custom investment policy tailored to their business’s unique liquidity and security needs, supported by Rho’s in-house investment team. 

Diversification was important to us. We looked at three to four different platforms but wanted multiple ways to access our capital, and Rho offered the seamless setup, integration, and treasury we were looking for. – Emma Nelson, COO at MUD\WTR

Rho's platform then actively adjusts customers’ portfolios of government securities like U.S. Treasuries to earn market rates while monitoring operating account balances and automatically transferring money as needed.

Pros

• Treasury automation: Whether you are a CFO managing a lean finance team or a 1-person finance org, Rho can simplify and automate most of your treasury processes for you. 
• End-to-end finance: Rho offers treasury management and other capabilities like AP, banking services, expense, and corporate cards – all in one platform. 
• Compliance with investment policy: Rho makes sure that your policy is tailored to fit your firm’s specific cash flow and security needs
• Investment monitoring: Rho scans the markets and adjusts your portfolio to ensure that your investments are structured for liquidity and yield. That means you won't need to be T-Bill ladder expert to experience the benefits of investing in T-Bills.
• Bank account monitoring: Rho technology monitors operating account balances and automatically transfers money to your bank account so that you always have enough cash on hand.

Cons

• U.S. Treasuries v. money market funds: Rho Treasury gives customers the benefit of investing directly in U.S. Treasuries held in their name. Some may prefer the ease (albeit with some risk) of using money market funds instead. 

Integrations

Rho integrates with QuickBooks Online, Oracle NetSuite, Microsoft Dynamics 365 Business Central, and Sage Intacct. 

Rho also supports flat-file CSV exporting, so you can automatically tailor transaction categorization to your business needs. Read more about our accounting integrations here.

Pricing & Fees

The Rho platform is free, but the Rho Treasury capability does have a small annual management fee depending on investment size. Learn more about Rho Treasury.

2. HighRadius

HighRadius is a finance platform that provides tools for managing order-to-cash processes, B2B payments, treasury, and risk management. 

Features

The HighRadius Autonomous Treasury solution provides access to all bank accounts on a single platform. The solution offers cash management, cash forecasting, and automated bank reconciliations. 

Users can track and manage financial instruments, including investments and debt obligations. Real-time reporting is offered for treasury activity.

Pros

• Interface: Several reviewers commented on the user-friendly interface.
• Dashboard: The dashboard is well-designed and easy to navigate.

Cons

• Customer support: More than half of reviewers mentioned poor customer support. Users sometimes experience difficulty reaching support, long response times, and no resolution to support tickets.
• Bank integration: This integration does not function as designed and is slow to update, according to several reviews.
• ERP integration: Several reviews pointed out that the ERP integrations are slow to sync information, which impacts productivity.

Integrations

Integrations with SAP, Netsuite, Sage Intacct, and Microsoft Dynamics 365.

Pricing & Fees 

HighRadius requires you to book a sales call for a specific quote.

HighRadius vs. Rho

HighRadius reviewers mentioned difficulty reaching support, long response times, and difficulty resolving support tickets. Rho offers live, expert support via chat or phone 7 days a week.

HighRadius users have bank integration, ERP integration, and other functionality issues. Rho offers a seamless platform to manage treasury, accounts payable, expenses, and banking. HighRadius charges platform fees, and Rho does not charge platform fees.

3. Tesorio

While primarily known for its AR automation solutions, Tesorio provides a cash flow management automation solution that helps businesses establish a full view of their treasury operations. The treasury solution doesn’t provide a way for businesses to invest in investment instruments directly, but helps integrate a company’s bank accounts so they have a full picture of cash in one place. 

Features

The cash flow management tool aggregates all bank accounts and provides data on a single platform. Users can forecast cash flows, perform scenario planning, and generate reports. Customers can search and filter transactions to find data quickly.

Pros

• Cash flow management: Useful tools to forecast cash collections.
• Invoice status: Easy to locate and review the status of a particular invoice.
• Report extraction: Simple process to create reports quickly.

Cons

• Investment functionality: Tesorio does not have an integration that allows cash to be moved in and out of an investment account.
• Platform access: Several reviewers mentioned glitches and delays in platform access.
• Login issues: The platform will frequently log out users in between tasks, according to several reviews.

Integrations

Tesorio has ERP integrations with NetSuite and Sage Intacct.

Pricing & Fees 

Tesorio requires you to book a sales call for a specific quote.

Tesorio vs. Rho

Tesorio does not offer an integration that allows excess cash to be transferred into an investment account. The platform has glitches and login issues, which slow down productivity. Finally, Tesorio charges platform fees.

Rho provides bank account and investment account integrations and a reliable treasury management solution with no platform fees.

4. SAP Treasury and Risk Management

SAP helps businesses to optimize working capital and automate operations with integrated treasury management. Users implement SAP to deploy assets effectively, mitigate financial risks, and comply with regulations.

Features

SAP users gain real-time access to global bank balances and centralized management of bank accounts. Businesses can reduce the risk of fraud, increase transparency across multiple banks and financial institutions, and automate workflows from start to finish.

Pros

• Bank account management: Easy to monitor multiple bank accounts in a single platform. 
• Third-party data: Importing third-party data is easy to implement.
• Connections to SAP modules: Offers smooth connectivity with other SAP modules.

Cons

• Integations: Integrating with a non-SAP ERP system can be difficult, according to some reviewers.
• Learning curve: The system may require a great deal of time to learn, given all the functionality.
• User interface: According to some reviewers, the interface seems outdated.

Integrations

SAP integrates with the components of SAP S/4HANA Cloud, such as Financial Accounting and Cash and Liquidity Management.

Pricing & Fees 

SAP requires you to book a sales call for a specific quote.

SAP vs. Rho

SAP is expensive and time consuming to implement, and SAP may not offer integrations with other ERP providers. The learning curve is very steep, and users must invest a great deal of time to use the system.

Rho offers a treasury solution that is integrated with expense management, banking, and AP within one intuitive platform. Users can implement Rho quickly, and there are no platform fees.

5. Kyriba

Kyriba provides treasury management, risk management, payment processing, and working capital management to maximize company liquidity. The platform integrates with several ERPs.

Features

Kyriba’s treasury management solution offers cash management, liquidity planning, financial transaction processing, and the ability to manage banking relationships. Users can generate real-time reports and use forecasting tools.

Pros

• Payments and cash processing: Reviewers mentioned a streamlined process for payments and cash processing.
• Banking: The platform combines all banking relationships into a single dashboard.
• Intuitive UI: The system is intuitive and easy to navigate.

Cons

• Implementations: Implementing the Kyriba platform is time consuming and requires an investment of resources, according to several reviewers.
• Learning curve: It takes time for staff members to learn the platform and to fully utilize all the features.
• Cost: Several reviewers mentioned added costs for new users and to add more functionality.

‍Integrations

Kyriba has ERP integrations with Oracle Fusion, NetSuite, SAP ECC 6.0, SAP S4/Hana, and Microsoft Dynamics 365.

Pricing & Fees 

Kyriba requires you to book a sales call for a specific quote.

Kyriba vs. Rho

Implementing the Kyriba platform is time consuming, it takes time for staff members to learn the platform and to fully utilize all the features. Rho provides an intuitive platform that is simple to learn and much easier to implement.

Kyriba charges fees, and there are added costs for new users and to add more functionality. Rho does not charge platform fees.

6. Coupa

Coupa provides solutions for procurement, invoicing, expenses, payments, and treasury management. The company also offers travel and expense management, supply chain planning, and contract management.

Features

Coupa users can optimize return on cash and reduce borrowing costs by gaining deeper insights into your cash position. Safeguard liquidity with fraud controls and hedge financial risks. Drive efficiency and save time by automating cash management.

Pros

• User interface: Interface is user friendly and easy to navigate.
• Cash analysis: Provides useful reporting to analyze cash positions.
• Real-time data: Real-time visibility into all transactions.

Cons

• Integrations: Some users experienced glitches with integrations.
• Data management: Changing and deleting item and supplier data can be difficult.
• Mobile functionality: Mobile functionality was added within the last year, and some reviewers feel that the mobile experience could be improved.

Integrations

Coupa has ERP integrations with SAP, Oracle NetSuite, and others.

Pricing & Fees 

Coupa requires you to book a sales call to get a specific quote.

Coupa vs. Rho

Coupa Treasury users may experience glitches with integrations, and there are problems with changing and deleting item and supplier data. Coupa Treasury’s mobile solution is fairly new, and the company charges platform fees.

Rho offers a seamless treasury management platform, with a number of reliable ERP integrations. The treasury function is integrated with commercial banking, accounts payable, and expense management.  Rho does not charge platform fees.

7. Fusion Treasury by Finastra

Finastra provides lending and corporate banking services, payment processing, and investment management services.

Features

Finastra’s Fusion Treasury platform allows businesses to leverage corporate banking and treasury management solutions.  Fusion Treasury is a cloud-based platform that offers customized workflows. Users can view liquidity, risk management, and profitability metrics in one system.

Pros

• User interface: The interface is easy to use and to navigate.
• Dashboard metrics: The metrics can be set up quickly and easily.
• Bank reconciliations: Automated bank statement reconciliations.

Cons

• Security features: Security features and encryption functionality could be improved.
• Cash management: The cash management solution is not as useful as other tools.

Integrations

Fusion Treasury does not provide any ERP integrations, based on our review.

Pricing & Fees 

Fusion Treasury requires you to book a sales call for a specific quote.

Finastra vs. Rho

Very few users have provided reviews for Fusion Treasury. Finastra is strong in the lending industry, but far fewer customers use Fusion Treasury. Rho Treasury is widely reviewed and is highly ranked by users on G2 and other review sites. 

Rho’s Treasury function is integrated with commercial banking, accounts payable, and expense management.  Fusion Treasury charges platform fees, and Rho does not.

8. Oracle Cash and Treasury Management

Oracle Cash and Treasury Management provides a complete web-enabled treasury workstation solution for managing global treasury operations while improving visibility, profitability, and control. 

Features

Oracle Cash and Treasury Management allows users to monitor and adjust for currency risk and interest rate risk exposure. Customers can build workflows based on the firm’s investment policy. Use the platform to optimize investment yields on excess funds.

Pros

• Integations: The Treasury solution integrates well with other Oracle finance and business platforms. 
• Control panel: Simple control panel that is easy to navigate.
• Name and reputation: Oracle has a good reputation for solving business computing problems.

Cons

• Learning curve:  New users may feel overwhelmed, and it takes a great deal of time to learn all the functionality.
• Document filing: It can take time to learn how and where Oracle stores treasury documentation.
• Reporting capability:  Some reviewers see a need for more reporting capabilities, particularly customized reports.

Integrations

Oracle Treasury integrates with other Oracle solutions and ERP systems.

Pricing & Fees 

Oracle Treasury requires you to book a sales call for a specific quote.

Oracle Treasury vs. Rho

Oracle Treasury is expensive and time consuming to implement, and Oracle may not offer integrations with non-Oracle products. The learning curve is very steep, and users must invest a great deal of time to use the system.

Rho offers a treasury solution that is integrated with expense management, banking, and AP within one intuitive platform. Users can implement Rho quickly, and there are no platform fees.

9. Treasury Intelligence Solutions (TIS)

Treasury Intelligence Solutions (TIS) provides a cloud-based platform for cash flow management, liquidity, and payments. 

Features

The CashOptix solution offers cash forecasting, working capital management, and automates bank statement reconciliations. These capabilities are focused on providing organizations with 360-degree visibility and control over their global cash positions, bank account structures, and working capital metrics.

Pros

• Cash flow analysis: The software provides robust cash flow analysis data.
• Risk management: Platform features make it much easier to monitor and control financial risks.
• Bank account management: The system effectively combines all banking data into a single platform.

‍Cons

• User interface: The interface is somewhat difficult to navigate and seems outdated, according to some reviews.
• Cost: Fees increase as users and additional banking relationships are added.
• Implementation: Some reviewers thought that implementing the platform required too much time.

‍Integrations

TIS has limited ERP connectivity that allows bank statements to be uploaded into an ERP. TIS does not offer fully synced ERP integrations.

Pricing & Fees 

TIS requires you to book a sales call for a specific quote.

TIS vs. Rho

The TIS user interface is difficult to navigate and is outdated, and implementing the solution can be time consuming. In addition, TIS does not offer full ERP integrations, and platform fees increase as your business grows.

Rho provides treasury, expense management, banking, and AP within one intuitive platform. Users can implement Rho quickly, and there are no platform fees.

10. GTreasury

GTreasury provides a single platform for cash management, payments, hedging, and risk management. The platform helps clients to optimize liquidity, manage risk, and to maximize productivity.

Features

GTreasury offers highly configurable workflows for cash positioning, cash forecasting, and bank account reconciliations. Users can manage liquidity requirements, and minimize the cost and time required to move cash internally.

Pros

• User interface: The interface is flexible and relatively easy to use.
• APIs: Several reviewers mentioned that the APIs are easy to integrate with other systems.
• Customer support: The helpdesk is responsive when problems occur.

Cons

• Implementation: Some reviewers felt that the implementation took too long, and that the platform was difficult to integrate with some banking software solutions.
• Software performance: The system has glitches and sometimes lags when processing data, according to several users.
• Reconciliations: The system does not reconcile transactions quickly, and there are delays in processing.

Integrations

GTreasury provides API-enable connectivity to banks and ERPs. GTreasury does not offer fully synced ERP integrations.

Pricing & Fees 

GTreasury requires you to book a sales call for a specific quote.

GTreasury vs. Rho

The GTreasury platform may require a great deal of time to implement, and the system has glitches and sometimes lags when processing data. Some transactions are not posted immediately, which makes analysis more difficult. GTreasury also charges platform fees.

Rho offers a fast and reliable platform for treasury management, and the solution is integrated with AP, expense management, and commercial banking. Also, Rho does not charge platform fees.

11. Meow

Meow is a business banking platform that allows businesses to invest in money market funds. This includes Maximum Checking with up to $125 million in FDIC insurance through partner banks and their sweep networks, and U.S. Treasury Bills held in custody at BNY Mellon Pershing.

Features

Meow users can invest using high-yield checking accounts or U.S. Treasury Bills. Users can manage multiple bank accounts using a single login on the platform. Workflows and permissions can be customized, and the solution integrates with payment and credit card processing tools.

Pros

• Security: Internal auditing process that controls data access and confidentiality.
• Configurable: Easy process to configure users and approvers.
• Withdrawals: Cash withdrawals are processed quickly.

Cons

• Self-serve management: You must make investment decisions on your own.
• Founder and venture capital focus: Meow is focused on the startup/ venture capital market and does not offer a suite of integrated products to manage cash and spend.
• Money market funds vs. T-Bills: Unlike Rho Prime Treasury, which invests corporate cash directly in U.S. Treasuries held in your name, Meow invests in money market funds, which may come with the risks we described earlier in this piece. 

Integrations

Meow integrates with QuickBooks, Xero, NetSuite, and Sage.

Pricing & Fees 

Meow requires you to book a sales call for a specific quote.

Meow vs. Rho

Aside from being focused primarily on the venture capital and startup market, Meow’s treasury solutions are self-serve, which means you must make investment decisions on your own. If you aren’t comfortable doing that or feel you lack the experience, Meow is likely not a good choice.

Rho offers a seamless platform to manage all cash and spend for companies of any size, and treasury solutions that put your cash to work for you based on a policy you select.  

12. Mercury

Mercury is a financial technology company providing basic banking products and services tailored to VC-backed startups.

Mercury offers a few cash management solutions, including Mercury Vault and the option to invest in money market funds. 

Features

Mercury offers FDIC-insured checking and savings accounts, Mercury Vault, which offers up to $5M in FDIC deposit insurance, and a treasury solution that allows businesses to invest cash in money market funds with lower-risk, high-liquidity portfolios powered by Vanguard and Morgan Stanley.

Pros

• Mercury Vault – product offers up to $5M in FDIC insurance through partner banks and sweep networks. 
• Relatively low minimum – Mercury Treasury is currently available to users with account balances over $500K.

Cons

• Poor customer support: No phone support is offered, chat support is not available on weekends, and reviews indicate customers struggle with customer support responsiveness. 
• Money market funds vs. T-Bills: Unlike Rho Treasury, which invests corporate cash directly in U.S. Treasuries held in your name, Mercury invests in money market funds, which may come with the risks we described earlier in this piece. 
• Point-solution for cash management: Lacks multi-entity support and additional finance capabilities companies may want to integrate with banking, including AP automation and expense management. 

Read our Mercury business credit card review for more information about their corporate card solutions for VC-backed startups.

Integrations

Offers some limited integrations with QuickBooks and other ERPs. 

Pricing

Mercury offers fee-free banking services except for currency exchanges and charges some fees for the administration of investments. 

Mercury vs. Rho

Mercury is great for startup businesses that are just getting started and want access to business banking services built into a technology platform with a good user experience. 

As growth-stage startups scale, they may need additional capabilities like multi-entity support, AP automation, and other important financial operations features. In those scenarios, Rho can provide a great alternative option.

13. Arc

Arc provides startup cash management essentials, including payment management, treasury services, and financing. Arc can manage a company’s operating account, and provide cash reserve account services. Investments are made through BNY Mellon Pershing.

Features

Arc customers can invest in money market funds and treasury bills. Users can set up auto-balancing rules to automatically move funds between operating and treasury accounts. 

Customers can also diversify deposit balances across Arc’s banking partners and receive up to $5.5 million in FDIC coverage and $500,000 in SIPC insurance.

Pros

• Customer support: Live support with a dedicated on-call relationship manager.
• Recurring vendor payments: Recurring payments can be scheduled in the operating account.

Cons

• Mobile functionality: Arc does not offer a mobile app.
• Operating accounts: Operating accounts do not earn interest.
• Automated cash balancing:  The standard treasury account does not offer automated cash balancing.

Integrations

Arc provides an integration with QuickBooks. 

Pricing

Arc Treasury has no account opening fees, transfer fees, or minimum balance fees, but charges fees for assets under management and other services. Arc requires you to book a sales call for a specific quote.

Arc vs. Rho

Arc does not currently offer a mobile app, which may slow down user productivity. Arc’s standard treasury account does not offer automated cash balancing.

Rho offers a fast and reliable platform for treasury management, and the solution is integrated with AP, expense management, and commercial banking. Also, Rho provides a mobile app and does not charge platform fees.

Wrap-Up: Choose the best treasury management software

After reviewing the different treasury management software solutions on the market, think about the features and tools most important for your business.

And if you still need help choosing the best treasury management software, let's make this easy.

If:

• End-to-end functionality to manage liquidity and to forecast cash flows
• Ability to invest excess cash in government securities with 2-3 business day liquidity on U.S. Treasuries
• A scalable platform that grows as you grow

All wrapped up in unbeatable pricing and customer support available 24H Mon-Fri, 10-7pm ET on weekends sounds nice to you, reach out to Rho today!

Competitive data was collected as of September 13, 2024, and is subject to change or update.

Rho is a fintech company, not a bank. Checking and card services provided by Webster Bank, N.A., member FDIC; savings account services provided by American Deposit Management Co. and its partner banks.

Rho is a fintech company, not a bank. Rho partners with FDIC-insured banks to offer banking products and services. Investment management and advisory services provided by RBB Treasury LLC dba Rho Treasury, an SEC-registered investment adviser. RBB Treasury LLC facilitates investments in securities: investments are not deposits and are not FDIC Insured. Investments are not bank guaranteed, and may lose value. Investment products involve risk and past performance does not guarantee future results. Registration with the SEC does not imply a certain level of skill or training. Treasury and custodial services provided through Apex Clearing Corp. Treasury and custodial services provided through Interactive Brokers LLC for clients with accounts opened prior to July 2024; IBKR rates may vary from Apex rate shown above.