Receipts carry the data required for trade. Much of it is either on paper or in semi-structured designs like PDFs and pictures. It’s a challenge to manage information. You’d have to extract and store relevant information through time- and effort-heavy ways, such as manual encoding.
By digitizing your receipts, you skip the hassles of encoding. Moreover, you get so much automation for archiving, indexing, and analysis.
Here are four easy steps to digitize your receipts.
Migrate from Printed to Digital
You have to go full digital. This applies to all three types of expenses or invoices – online, printed, and handwritten. Make sure your system handles each without fail.
Online receipts – Online payments should be coordinated immediately through a simple interface; receipts should automatically be sent to client via email, plus a copy to yours.
Printed receipts – Should you need to have printed receipts, make sure to have an app in place that easily captures all essential information as it sends a copy to your database.
Handwritten receipts – Handwritten receipts can be tricky for capturing data, but is not impossible to handle. This requires more attention and checking on your part. As much as possible, keep everything electronically written.
Check out various programs, software, and apps that can seamlessly integrate with your existing system. For instance, you may have Human Resource Information System (HRIS), and Enterprise Resource Planning (ERP), in addition to your accounting software. Make sure the systems are reliable, especially in terms of accuracy and storage. You don’t want to lose receipts that you don’t have physical copies of.
It’s counterproductive to get on with something that doesn’t work with what you currently have.
Automate the Process
Automation is what you’re really after when you digitize your receipt. That’s why it’s important to ensure all your programs, software and apps in place are able to communicate with each other. You should be able to handle data across all your tools with ease and accuracy.
If you operate in the international market, check for tools that will allow you to trade across currencies with ease. It will grant you a fast, easy, and efficient workflow for your consumers, as well as your team.
Comply with Rules and Regulations
Receipts are government-mandated documents that prove trade between two parties. Thus, it is highly important that you comply with financial and tax regulations.
A note on international trade: While there are universal tax laws that apply across countries, there are also some differences you have to watch out for. It pays to do some research and inquiries with corresponding locatl government laws to ensure you’re doing business within the bounds of law.
On Data Privacy
One of the challenges with digitization is data privacy. Thus, you need to remain vigilant in protecting your company’s data. Moreover, a lot of business tools have updates that ensure security. Even though they usually come with a price, protection is always worth it. You should not compromise on this matter – for you and your clients.
Digitization will allow you to eliminate drawbacks and have big advantages: increased transparency, easier analytics, improved working capital, and easier tracking.