Bookkeeping, accounting, managing invoices – all of these tasks are tedious and time-consuming. Plus, given the nature of this work, there is no scope for errors and accuracy must be at an all-time high.
Thus, if you have considered automating the entire process, you may be on the path to improving your bottom line. According to a Forbes publication, automation could save your business as much as $4 million annually! But that’s not all! It comes with a wide range of additional advantages to spearhead your company’s growth.
Wondering what’s so great about procure-to-pay automation and how it can add value to your organisation? Check out the following benefits:
Irrespective of what business you operate, time is money. So why waste it over repetitive tasks and procedures?
The manual processing of invoices takes about 20 to 21 days on an average. Automated software takes about 3 to 4 days to clear any outstanding payment, which is a reflection of the efficiency it adds to your processes. The built-in workflows are customisable to meet your business needs. Thus, it will save on time and expedite the cycles.
For starters, the time saved on the process is equal to money earned. At the same time, with the timely processing of invoices and bills, you no longer have to pay interests and penalties that accrue after defaulting on payments.
Another consideration worth noting is that automated software platforms are cheaper than paper cheques. According to the Association for Finance Professionals, an automatic clearing house is ten times less expensive than physical cheque clearance systems.
Finally, having a shorter process cycle makes it easier for your company to make well-informed decisions. In some instances, this quick-action can even land you a handsome discount on the payments. Thus, it is clear that automated software follows a holistic approach to optimising the working capital of any organisation.
Any work that is carried out manually is susceptible to human errors. It could seep in through incorrect gst threshold limit calculation or erroneously entering “6” as “9”. Further, when it comes to manual operations, there is always a trade-off between speed and productivity. However, it is still easier to take time and get things right the first time than speed up the process, mess up, and go over everything again.
Thus, when you introduce automation in the mix, the likelihood of encountering errors reduces significantly. As a result, your team spends less time locating the error and more time in getting work done.
Increased Visibility and Control
Whether it is making payments to vendors or logging travel expenses – having an integrated platform can help manage finances better. With an automated invoice and bill payment system in place, you can track and access all the financial data in a consolidated location.
Further, this information is reinforced with data analytics that can share insights on cash flow and process improvement. It allows the companies to forecast revenue and expenses, and take strategic and data-driven business decisions accordingly. Thus, increased transparency, paperless technology, and real-time monitoring offer greater visibility and control.
If you are a small business owner, you may be troubled by the question of how to file gst annual return. Rather than crunching numbers and figuring out the percentages, you can opt for GST-enabled accounting software that can do all the legwork for you!
The software is adept at applying GST on all invoices, making it easier for you to gather all your documents and file your GST returns. Some high-end automated software like Khatabook can send reminders when the filing of your GST returns is due. You simply need to enter the annual, quarterly, and monthly due dates for your GST returns.
When you make timely payments to your suppliers and vendors, you automatically boost their satisfaction for transacting with you. As discussed earlier, having automated software shortens the payment cycles and ensures that you are never late on settling an invoice.
On the other hand, it saves your account team’s time as they engage and entertain queries related to their invoice and payment status. They can easily fetch the payment status with the click of a button and resolve the tickets.
Naturally, as the relationship between you and your supplier flourishes, your organisation is bound to grow!
Enhanced Employee Productivity
Happy employees build a happy and prosperous business. With automated software, you can introduce a collaborative platform that reduces redundancy. As a result, you can reallocate your human resource against more fitting and challenging tasks that can motivate them to live up to their potential.
As your employees get more time to focus on their personal and professional growth rather than mindlessly entering data, they will be more eager to bring their A-game.
Increases Scalability and Growth Potential
When you run a business, you are in it for the long haul. As your company grows, you will have to process several invoices streaming in from various vendors and suppliers. How will you keep up this growing requirement?
It becomes apparent that your business has to be flexible to accommodate and scale up to long-term growth. Automation, in any form, is one of the best ways to achieve your growth targets and eliminate the pain points. It saves up on the cost of hiring and aids you in extracting the most from your existing employees.
Automated invoice processing software can take your business to new heights. Right from boosting revenue to facilitating and adjusting to growth – automated payment platforms can do them all.
One of the best things about automated software for bill and invoice processing comes in the form of tech support. It not only helps with the augmentation of technology with the current infrastructure and processes but also allows your business to seek help from the tech experts.
From the above, it becomes clear that the adoption of automation for invoice and bill processing is a smart move to get your business on the path of growth and development!