A/R has always been a focus area for automation and the IT staffing business is no exception to this rule. Automating A/R processes is an important step toward making your organization standout with streamlined cash flow, higher productivity and bigger profits. Here are 4 major benefits that you can expect from A/R automation (includes invoicing automation and VMS).
Reduction in Time Spent on Invoicing and Dispatch
It should be apparent to any accountant who has substantial experience in the IT staffing business how delayed invoice dispatch can affect payment receipts. Getting paid on time is critical to sustaining proper cash flow and submitting invoices on time is important to receiving payment.
When invoicing is automated, the time consumed in preparing the invoice without any error also goes down dramatically. Typically an invoice that has in it: interstate stakeholders, multiple consultant deployments in different states, multiple tax rates and different billable and billing rates can be done at one-fifth the time (or lesser) with zero-error accuracy.
The benefit: Invoices are dispatched on time (by email) and your invoice will be taken up first for payment processing. The chances of invoices going amiss are almost zero because automated dispatch does away with papers and mail.
Automated Reminders Make Customers Pay Faster
Not all organizations work the same way. In most business scenarios, vendors who press for payments on a sustained basis get paid faster. In the usual manual reminding process, A/R teams waste a lot of time either calling or writing emails to remind customers requesting for payment checks; this is waste of time, staffs who used automated A/R reminding system can simply order their software to set off an automatic email at appropriate intervals instead of wasting their time on this task.
The benefit: Your customer will pay you on time and your cash flow will be streamlined. Your company’s profits go up and your team’s per person recovery rate will go up vastly.
No Returned Invoices Due to Error
One of the major problems that A/R staff face is returned-invoice due to errors. In invoicing automation tools like CONSULT, the entire process starting from consultant submission up to paying vendors are fully automated. There is virtually no human intervention making invoices easily payable. Customers who have automated vendor payment processing tools can easily process your team’s automated invoices directly to your firm’s banking account.
The benefit: You don’t have to wait to see the check arriving in the mail. The money will be credited to your banking account because CONSULT works with QuickBooks integration.
Automating A/R processes is an important step toward making your organization standout with streamlined cash flow, higher productivity and bigger profits.
A/R Operation Expenses Come Down
When you use CONSULT, you empower your A/R team to handle more customer accounts and still keep your accountants happy by taking most burdens off their back. They have to virtually put in lesser effort to ensure that invoices are made payable and all customer requirements have been complied with before requesting payment.
The benefit: Higher productivity and lower attrition rates in the organization. Your firm’s profitability also goes high because per person output is also high.