You hired someone to manage your business’s books so you could do what you love — serving clients. Your team handles invoicing and tracking down missing payments. You don’t have to, and it’s working.
But what if we told you there’s an even faster, cheaper and more effective way?
While many may say, “if it ain’t broke, don’t fix it,” that mindset can stunt growth and wear down your business. Technology is here to improve the world around us. In particular, automation technology can and should be a critical part of running your business.
But what’s the true benefit of automating your payment process? We promise, it’s more than you think.
Calculating the ROI
When determining the return on investment (ROI) for something you bought for your business, subtract the money spent from any revenue arising from its purchase. Simple enough.
Calculating the ROI for invoicing, though, requires a bit more effort. It requires us to consider financial and non-financial benefits.
Financial Benefits of Invoice Automation
Let’s talk money because, honestly, if it doesn’t make dollars, then it doesn’t make sense. Let’s look at the ways you could save.
Decreased Processing Costs
Did you know the average cost to process a single invoice can be up to $15? That’s a pretty penny coming from your business.
Researchers have actually found that by implementing automation, businesses can see significant savings. How big? Between 60%-80%, compared to manual processing.
For companies that push out about 500 invoices a month, that could be annual savings of $78,000.
Think about how investing that money into your company could take you to the next level.
Fewer Error Losses
We’re human, and mistakes happen. And even though a customer might eventually forgive you for accidentally adding an extra zero to their invoice, those mistakes also can just as easily exact a toll — losing a repeat customer or any referrals they’d give.
Automation reduces those errors by removing manual data entry.
Reduced Late Fees
You hate late payments and your customers hate late payment fees. With everyone on the same page, it’s time to acknowledge automation helps resolve this issue.
Thirty-nine percent of invoices aren’t paid on time in the United States. By implementing invoice automation, you can make paying your business easier while speeding up your payment process.
Freed Up Staff Time
Time is money and if your financial staff is pulling long hours to keep the books straight, you’re wasting both time and money. By automating invoices, you can cut down on invoice creation time, memorizing crazy codes and popping images into each file.
Plus, having information housed in a software platform means easy look-ups if customers come by with questions.
Non-Financial Benefits of Invoice Automation
Not everything is about the almighty dollar, though. There are benefits to adding invoice automation that add to your business’s growth and staff happiness.
Controlled Processes
By automating invoices, you can ensure processes stay consistent. When employees create invoices from scratch, they can leave vital items off.
For instance, it’s critical that invoices state what you expect of your customers, such as when to pay. By ensuring these points are made every time, you save time and stress.
Simpler Auditing
Being audited is far from fun, but when you can pull reports the process is a little less nerve-wracking. It makes the entire process faster because having invoices digitally in one place makes for easy organization.
Improved Customer Relationships
If your customers come to you inquiring about a charge from six months ago, would you be able to quickly address their concerns? Or would you need a second alone to figure out exactly where those documents are?
With Thryv, invoices are sent to customers in the way that works best for them.
And because it’s digital, your staff can pull up a customer’s history in a few clicks. When you’re able to pull their payment records effortlessly, it shows your customers you care about providing them the best and quickest service possible.
All in all, automating invoices and other payment processes is all about removing repetitive manual tasks.
This way you and your staff can get back to keeping a healthy cashflow. And finding more ways to save money.