Does anybody here love to file claims, invoices, and expenses? No? Not a single one? Well, of course, no one loves doing this since it consumes too much of their time. The truth is that the process of manually filling reimbursement is a nightmare. Even the accounting department wants to avoid doing it since they have to keep tabs of receipt and create a financing report. However, apart from them, the one loses out that most are the businesses itself. They are losing at least tenth dollars on every manually processed claim. Imagine adding all of those up means they are losing a lot of money. Thus, to not let that happen, they have found a solution to improve their spend management. It is called spend management software.
Why is Smart Spend Management Important?
Whether you are running a small or big business, there is an ebb and flow of finances that must be maintained. It will be troublesome if you are still writing checks, filing claims, reimbursements, and invoices. Although you have been doing this method for years, it would take a lot of time and effort to perform transactions. All this not only makes spend management harder, but you would never know if something is amiss until you recheck everything from scratch. Such action would only waste a lot of your time that should be in used to focus on your growing business. Here are more reasons why it matters.
- Save Expenses
- Making a lot of profit is much more satisfying than saving money. However, a business owner should not forget that saving has an impact on making a profit. Being able to save a lot of money allows you to invest more in the development of your business. That investment could be research studies or hiring qualified employees.
- Provides Awareness
- With organised spend management, your business would have a transparent solution that would help you identify and even manage bottlenecks. Such things might not seem like much today, but it could affect your business in the future.
- Helps Maintain Compliance
- Taxes, audits, contracts, all of these have something to do with money. A transparent report and transaction would allow your business not to get penalised when the Inland Revenue Authority of Singapore (IRAS) request for annual financial statements.
So, What is Spend Management Software?
Spend manage software is a programme that allows businesses to control their spending. It helps them in various ways such as reducing costs, redirect savings to improve growth, and even boost the net income. With this, there will be less paperwork, and it automates all transactions so anyone would not need to compile receipt and invoices manually.
Unlike the conventional way of spend management, this one has a control solution that prevents unnecessary expense. It keeps tabs of all the variables spending throughout the entire billing cycle. This method helps the businesses not to lose any money on any processed claims.
Is Spend Management Software similar to Expense Management Software?
The answer is no. Although both software seems similar, each has its ways of managing finances. For expense management software, a business uses this to process salaries, miscellaneous expenses such as travel, entertainment, food and accommodation. While the spend management software, however, is used to control everything to avoid overspending.
In short, spend management software controls the probability of overspending. For example, instead of giving cash to your employees to buy some things from a bookstore, you would give them a smart prepaid corporate card. This item allows you to load the exact amount of how much the items would cost.
How Does It Work?
As you might have guessed, spend management software also includes a smart prepaid corporate card. It is like a credit card, but better. You see, not only it has a card number, CVV, expiration date, but it has none of its complexities. More so, anything swiped with this card will reflect on the spend management software. The following will explain how this one can help a business.
- Use Approval to Control of Over Spending
- In case your employees need to spend something for your business, they would need to file a spending request. They have to submit it through the online expense management software and wait for the approval before they can use the card for their inquiry. Thus, through this approval system, none of your employees would be able to spend anything for their leisure.
- Allows the Accounting Department to Breathe
- With this, your accounting department would no longer need to compile receipt, invoices, and reimbursements manually. Since everything will automatically reflect on the spend management software, all they need to do is add appropriate tags before posting their reports to the general ledger.
- Reduce the Risk of Fraud
- Unlike a credit card, various people can use the prepaid corporate card of spend management software, but only within the spending limit. Thus, cancelling a card is less hassle since you would only need to update the spend management solution provider.
- Make Buying Convenient for Employees
- Spend management software is so convenient since your employees would no longer need to collect the receipt and create a liquidation report. All they need to do is take a picture of their transaction and submit a spending request. Once done, they only need to wait for approval from the accounting department.
- Take control away from sellers
- Also, unlike a credit card, the prepaid corporate card of spend management software has its virtual version. It means that you would no longer let the cashier or other vendor swipe the card when doing a transaction. All you need to do is to pay by scanning the QR code.
Are You Properly Managing Your Spending?
If not, then why not take your spend management to the next level. Instead of writing checks, compiling claims, invoices, reimbursement and creating a liquidation report, invest in spend management software that does all of these for you. If you are interested, then inquire at Volve Solutions. Visit their website today, and find out how to navigate their spend management software!