Do you still believe that using spreadsheets to manage and keep all of your invoices and receivables is always preferable to automating your Accounts Receivable Process?
Is your team still manually handling credit controls, accounts receivable, and debtor management?
Your team could have functioned like a robot, maintaining all of the data in spreadsheets, making business phone calls on Monday mornings, and submitting invoices on time. All of this knowledge is kept in their heads, and it will be implemented using spreadsheets.
This will have no direct impact on your productivity. However, it will gradually slow down your output, generating cash flow problems for your company. In this article, we'll look at ways to overcome those issues and boost your cash flow and productivity.
Using spreadsheets for your Accounts Receivable Process will result in the following issues affecting the productivity of your Accounts Receivable Process and the cash flow of your business.
The absence of real-time information
Process simplification is lacking.
Security concerns and threats to critical data
Unstructured storage of information
complex auditing procedures
Spreadsheets and a superb credit controller may keep your Accounts Receivable Process functioning like crystal, but they, too, have limitations and the task takes a long time. If you want to remain competitive and boost your company's cash flow and efficiency, automating your Accounts Receivable Process is a good place to start.
You may be wondering how eliminating spreadsheets and automating your AR Process will have a major impact. Well, automating the majority of your manual processes will increase productivity and allow your business to go through the following.
a decrease in human error
a single-key person reduction of risk
a boost in strategic thinking time
unstructured information storage
lowering the cost of AR management
Human errors are inherent, and even an excellent credit controller can make mistakes when using spreadsheets to manage the whole Accounts Receivable process.
This, however, may be readily prevented by introducing accounts receivable automation and minimizing minor human mistakes such as copying and pasting the email address for invoices. The error may be little, but it will have a significant impact on your customer and your business.
Accounts Receivable Automation eliminates the danger of being reliant on a single key person (best credit controller) for the whole Accounts Receivable Process.
This is a common and dangerous scenario. Most businesses in this position do not have a strategy in place if that individual becomes ill or abruptly leaves. There may be some 'handover notes, but they are frequently lacking in information and can take some time to comprehend.
Whatever the case, your company's cash flow, and productivity are the only things that are impacted. This problem will be solved by automating your AR process, which will result in better cash flow and productivity.
The majority of excellent Accounts Receivable Management Processes necessitate a great plan and strategy, but finding the time for that is the true challenge. With a flawless Automated Accounts Receivable Process, you and your team will have plenty of time to plan and strategize for the business's increased cash flow and productivity.
The digitization of information is a key pillar of Technology Innovation. This is one of the first challenges that spreadsheets introduced. The information in the spreadsheets is unstructured. Spreadsheets often contain high-level planning and informal evaluation that would be beneficial if recorded in a way that could be quickly referenced and retrieved.
With automation, you'll have all of the information in an organized style, making it simple to manage and monitor user information, overdue - pending invoices, top debtors, and your company's overall outstanding amount.
Yes, if you automate your Accounts Receivable process, you will be required to pay a monthly fee to the platform that provides the Accounts Receivable Automation Software. However, most solutions aren't that expensive, and they're certainly less expensive than hiring a full-time employee. Despite the expansion, most businesses we speak with discover that automating their Accounts Receivable Process leads to the retention of their dedicated AR specialist. Even better, several claims that they have been able to cut their AR resources.
We're Maxyfi, an Accounts Receivable Automation Software that has assisted numerous organizations in reaching peak productivity and increasing cash flow by automating their AR process.
You can also improve your cash flow and productivity by automating and swapping your spreadsheets with our Accounts Receivables Automation Software. Read our accounts receivable blogs to learn more about us.