Have you adopted the cloud yet? Cloud computing remains among the best technologies you can leverage to save money and make your small- to medium-sized business (SMB) more efficient. One specific and critical area in which the cloud can be a game-changer, especially for SMBs, is invoice management.
Invoices are crucial for managing your payables and ensuring they get paid accurately and on time. However, processing and storing vendor invoices are not only tedious and time-consuming, but also error-prone. Cloud-based accounting software, particularly accounts payable automation (AP) technologies like PaperSave, is an effective solution for these issues.
How does cloud-based accounting software benefit SMBs?
This tool can help you:
1. Save plenty of time
Conventional paper-centric invoice processing can take anywhere from a few hours to several days to complete, depending on the availability of the necessary documents and relevant personnel. Other factors, such as the accuracy of data entries, may also affect completion time.
Cloud-based invoicing solutions use electronic invoices (or e-invoices) instead of regular paper documents. This offers several advantages. First, it lets you save money on paper, printing, and shipping costs. Second, these e-invoices can be transmitted within seconds via channels like email — no need to wait hours or days for couriers to deliver your invoices.
Moreover, extracting data from electronic invoices is easy. AP automation software like PaperSave can capture, sort, and place invoice data in online cloud-based storage servers within seconds. But what if your vendor insists on using paper invoices anyway? No problem — just install the PaperSave mobile app on your phone or tablet and take a photo of the paper invoice. The app will automatically extract and process the data straight from the invoice.
2. Organize your invoices properly
Paper documents are easy to misplace and misfile, and looking for them can waste plenty of your staff’s time and your business’s resources. Cloud-based invoice management solutions solve this problem by placing your documents in a centralized online hub. In this database, your documents are so organized that finding the one you need is as straightforward as looking for information on a search engine.
This not only benefits your accounting staff, but your decision-makers too. By simplifying document retrieval, AP automation solutions improve visibility of crucial information, such as purchase details and cash flow, enabling you to make informed decisions for your organization.
3. Ensure timely payments
AP automation simplifies data capture and validation by automating the three-way matching process. The cloud-based software can automatically compare data on your vendor invoice, purchase order, and receipt of goods, mitigating the risk of inaccurate payments. This also prepares invoices for quick approval, allowing you to pay your vendors on time or earlier.
Prompt payment can help you qualify for supplier discounts, helping you save a lot of money. It also improves your relationship with your vendors, which may entail a number of nifty benefits.
4. Improve the flexibility of your AP process
One of the biggest benefits of cloud servers is that the files saved therein can be accessed anywhere using an internet-connected laptop or mobile device. This means your accounting team can access invoices and other crucial documents, and perform their tasks outside the office with great ease. With remote working likely to remain as a popular work setup, this particular feature will be especially vital to your company’s efficiency and agility.
Cloud-based accounting tools support all of the steps in invoice processing. With PaperSave, for instance, even invoice approval can be done on the go. Using our mobile app, you can approve invoices outside the office using your smartphone or tablet.
5. Secure your AP process
Invoices contain sensitive information, so they must be secured as tightly as possible to prevent data leaks and ensure compliance with industry regulations. Documents stored in cloud-based servers are protected by several security measures, including:
- Firewalls that prevent penetration by malicious parties and software
- Multifactor authentication that bars unauthorized users from accessing files
- Encryption that renders your documents unreadable to unauthorized users
- Several off-site servers to improve resiliency to local disasters
- Multiple backups of your files so you never lose your documents even after a cyberattack
Furthermore, AP automation solutions use a virtual paper trail that informs you who processed your invoices and to whom they were sent. These details are crucial for avoiding invoicing fraud.
Cloud-based accounting software like PaperSave can empower your SMB in so many ways. Find out more by scheduling a free personalized demo today!