In many companies, the beginning of the month is never a pleasant experience for accounting staff and managers. This is because all client accounts and project costs must be reconciled for reimbursement tools like billing and invoicing. Because many companies simultaneously deal with so many clients or accounts, they may write off potential revenue in order to reduce heavy workloads and pressing deadlines.
Recognize Ineffective Practices
Any company that uses the reimbursable client billing system will experience chaos during the first-of-month because employees must scramble to find billing data from emails, software programs and even texts and phone logs. These records will most likely be illegible and incomplete, which will result in delayed bills. This is especially true in logistics and manufacturing industries because shipping employees often work outside with indifferent truck drivers. This problem is compounded by the fact that office employees who must manually enter data into Excel spreadsheets may make mistakes or miss critical information when pressed for time. Therefore, companies should establish efficient procedures and take advantage of standard software programs, such as Quicken or Quickbooks, to generate bills and invoices.
Avoid using multiple methods to document bills, sales and services renders. Hand-written invoices are acceptable as long as they are accurately and thoroughly completed. Be sure to use printer monitoring software that will track and collect logs from multiple locations. Standardize data entry processes through a single billing process and platform. Understandably, printing out forms is difficult and even completing digital, fillable Word documents is time consuming. Instead, many companies find that it’s best to create email templates that allow employees to quickly and conveniently document and submit bills and requests. This creates a perfect paper trail that is automatically archived and organized within programs like Outlook.
Take Advantage of Software
Certain businesses face legal consequences for inaccurate financial records and poor accounting practices. Accounting software programs automatically make accurate calculations for orders, fund transfers and various financial transactions. For businesses that require accounting staff to track and manage product inventories, accounting software will automatically track inventory levels. This will ensure that month end inventory counts and accounting reconciliations will be accurate. Accounting software programs also provide management with analytical insight into business practices and performances. This means that accounting managers can easily access real-time data and quickly verify how current revenue is divided among different operating costs. Many accounting systems also offer multiple ways to import and export billing and expense reports.
Business managers should consider using billing apps that integrate with the accounting software. This will allow sales personal to generate expense reports and customer invoices with only a few swipes on their smart device. Forbes magazine offers more billing tips here.