Why Automated Receipt Data Entry Works

Business process workflow illustrating management approval, flowchart with businessman in background

It doesn’t matter whether you’re a new small business owner, the owner of a huge corporation, or a freelancer looking to expand your reach and grow your client list, if there is one thing we can all agree on, it’s the fact that you simply must ensure you have your finances in order.

All businesses, no matter how big or small, will have numerous aspects of their finances to consider, and when it comes to your finances, you simply cannot afford to cut corners or take any risks. Pretty much every business out there will be familiar with accounts payable and why it’s such a pain in the backside getting your receipts and finances in order.

This, however, is why accounting software and automated receipt data entry tools are so popular. Sending out invoices, chasing up discrepancies and missed payments, and general inefficiencies regarding your billing processes can make life much, much tougher than it needs to be.

This is where it pays to automate your accounts payable processes. In the world that is becoming increasingly reliant on modern technology, it pays to stay with the times rather than being stuck in the past. With that said, if you haven’t yet embraced automated receipt data entry, here are a few benefits associated with automated payable processes.

Paperless

If you have not yet gone paperless, you will only be able to fight natural progression for so long, before you eventually forced to do so in one way or another. Switching to paperless, however, is not a challenge, it is actually a reward as there are numerous benefits to enjoy.

Not only are you helping the environment, but you are also helping your business in general. You see, by getting rid of paper, you make info available right away. Take receipts for example, with paper receipts, if your clients require one from you, you will have to send them out, which takes time, effort, and money.

With automated receipt data entry, however, the receipt is digital, so it can be sent to them virtually and can be viewed instantly. This will cut back on manual labor, you will save money in the form of less paper being used, fewer postage costs, less electricity being used on printing, and less printer ink constantly being used. Ultimately, you get all of the rewards, with none of the drawbacks.

Keep your finances in order

Another very useful benefit associated with automated receipt data entry is the fact that it will allow you to keep your finances in order. Whether you make use of accounting software yourself, or if you pay an expert to handle your books for you, with everything being automated and digital, keeping things more efficient and better organized is easier than ever before.

Everything will be available to you with just a few clicks of a mouse so you will save time, and you can keep everything neat and tidy. If for example, you are being audited, rather than having to dig through mountains upon mountains of receipts for the tax man, you can simply hop onto your computer or smart device, and find whatever it is you need to find, all in a matter of seconds.

Less room for error

Let’s face it, we’re all human and we all make mistakes, that is what sets us apart from machines. However, in business, human error can cost money, and can potentially be catastrophic.

When it comes to your invoices for example, if you’re going with a paper-invoicing approach, these invoices must be filed by hand and entered into various types of the accounting system. If for example, this piece of paper was lost or even stolen, it will take time, money, and effort to put things right. In business, time is money, so it pays to have everything as streamlined and as efficient as possible.

With accounting software, automated accounts payable processes run smoother than ever, as it cuts back on the risks associated with human error. By going with an automated process, often you can set up the system so that, each month, without fail, it will automatically send an invoice to a client for you, for a pre-determined amount of money.

Basically, the software takes care of all of the hard work for you, so you don’t have to. This cuts down the risk of a lost invoice, duplicate invoices, incorrect invoices, or anything else associated with paper-based systems.

Improved staff efficiency

In most businesses, you will find that a lot of the time, staff members have to spend a significantly long amount of time answering telephone calls, emails, and queries in general, regarding misplaced invoices, duplicate invoices, or incorrect invoices. With automated accounting software, however, as there is a much, much smaller risk of a discrepancy, this frees up your staff members and allows them more time to focus on other aspects of your business which were perhaps deemed to be more important.

Speed things up

As mentioned, in business, time is money, so every second count. You need to receive payment for jobs well done, and if you don’t, your business may suffer. You have bills to pay like everybody else, and if your clients pay you late, or fail to pay you the correct amount, because a paper-based invoice was lost in the post, or was unreadable for whatever reasons, you then have the foot the bill some other way.

Put simply, you need paying on time to ensure you pay your bills on time, which is why automated accounting software is so useful. You see, rather than having to print out the invoices, seal them in an envelope, and take them down to be posted, you can simply set them up in advance to be sent out whenever you like.

If you invoice the same company, on the same date, for the same amount, you actually won’t need to lift a finger once you’ve set the software up to do just that. The quicker your invoices and receipts are sent out and received, obviously the better this becomes for your company.

Put these tips into practice and improve your business today!

Image: GraphicStock.