83% of accountants feel technology can make businesses gain a competitive edge, according to Finance Online. No doubt, a digital solution that automates repetitive tasks can boost productivity and save time. You can stop worrying about recording everything manually and move to a hands-free approach. In addition, you can help your accountants do what they are best at, i.e., to generate insights and guide strategic decisions. Let’s explore how adopting accounting automation is the right step to grow your business.
Credit Card Expense Reports During COVID-19 – Employee Spending Spree and Frauds
The coronavirus established the trend of working from home all around the world. Businesses were not totally displeased with the practice, as remote working reduces costs and overheads. As a result, employers were happy to provide resources for employees to work productively from home.
Unfortunately, the free hand to spend was too much of a temptation for some people.
According to Oversight’s Spend Insights Report (Nov 2020), frauds increased by 57% between Q2 and Q3 2020. Additionally, most of the violations were expenses for buying computers and electronics. So, Julia from your customer support team might have bought a portable speaker in the guise of office supplies.
The report highlighted the risky and irregular buying habits and purchases for employees worldwide. Moreover, the massive volume of expenses exposed businesses to twice as much risk in Q2 2020 compared to Q2 2019.
Reviewing your credit card expense reports is not enough to track violations. Businesses need to be more proactive in dealing with frauds and tracking expenses for accurate reimbursements.
Here’s how you can cut down frauds and streamline you credit card expense reports.
Automated Accounting Saves Time
Accounting software can help you eliminate the need for manual data entry. You will not need to maintain lengthy ledgers with endless rows and columns. Instead, your software can fill in all the entries automatically once a transaction is made.
For example, you can set up your accounting system to fetch data from your spend management tool. Your books will be populated with complete information at the click of a button. As a result, you don’t need to make entries in your accounts or ledgers manually.
The time saved is evident to both the management and the employees. According to Small Business Trends, 44% of employees found automation to save time. Additionally, 43% of professionals feel automation enables them to close tasks quicker.
Accounting Automation Saves Money
Automation is vital to reduce your costs and improve profitability. 30% of employees agree that automation helped their organizations save money, as per Small Business Trends. If you’re wondering how, just look below for some insights:
- No need to pay for manual data entry
- E-receipts and invoices save paper and storage costs
- Create automated reports with a click
- Save timed and work hours
Accounting Automation for Productivity Boost
91% of accountants thank accounting technology for improving their productivity, according to Small Business Trends. No doubt, an automated solution for your bookkeeping can boost your productivity and bring back rewarding returns. You can streamline your accounting processes and focus on more productive tasks, like growing your revenues.
Interestingly, accounting software can help you there too! As per Finances Online, businesses that rely on cloud accounting solutions record a 15% year-over-year increase in revenues. In addition, organizations that use cloud accounting also have 5-times more customers than businesses that don’t.
Therefore, automation can give wings to your business to take the growth flight!
Complete Financial Visibility
Automating your books can help you develop full visibility into your financial situation. Accounting software can update your books in real-time and reflect every transaction without any miss. For example, your software can instantly capture every expense from a business credit card and populate your accounts.
As a result, you don’t have to wait till the end of the month or year to understand where you stand. Additionally, you always have real-time information to make decisions on the spot. No wonder 78% of enterprises depend on cloud accounting to run their operations, according to Finances Online.
Drive Better Decisions
Having full visibility into your accounting processes makes room for transparency. Businesses can remove the guesswork and rely on exact figures to make better decisions. You can also count on your data as automation eliminates human errors and improves data accuracy.
Your accounting software also lets you create reports with a click. Businesses can generate custom reports on any aspect for more insights. The whole process gives a clear picture of the business to the finance team and drives meaningful insights.
Therefore, they can make more informed decisions for business success.
90% of accountants also feel the same way about automated business processes, as per Finances Online. They believe technology will help businesses differentiate themselves from the competition in the coming years.
Paper files are the least secure when you are talking about your books. As a result, traditional accounting practices demand safe storage and supervision to protect your sensitive data.
Accounting technology embeds advanced security protocols to remove the security concerns of traditional bookkeeping. You can store your files safely on the cloud and limit any unauthorized access.
Additionally, you can even encrypt your data and ward off any prying eyes.
Accounting automation is the right solution to make your bookkeeping efficient, accurate, and productive. You can also save precious human hours, costs, and effort by adopting accounting technology. The move will also streamline your bookkeeping processes and bring promising ROI.