Let’s face it – small to mid-sized businesses have it hard when it comes to finance management.
Businesses with a rapid growth stage are usually busy chasing other goals. The scope of financial management is vast, but most of it ends up taking a backseat with businesses looking for scale. There is rarely a dedicated finance team, and most of the finance, payroll, accounting is outsourced. This spells disaster.
The result of this – most of pre-accounting, the daunting task of receipt tracking, receipt collection and end-to-end receipt management falls in the lap of Human Resources. In worst case scenarios, a single mail (usually copied from online sources), is sent to the entire organization that explains how reimbursements work. For times when it actually matters, employees can never get a hold of it and lose money. Since employers never pay attention to receipt management, last minute damage control doesn’t help in saving tax-related costs. To add to the misery, a hampered employee experience leaves room for bitter feelings to erupt towards the employer.
Receipt management and SMBs
We get it!
Finance is complicated.
Every business would rather do nothing than spend their time and effort on accounting. Yet,businesses can’t ignore it. We also know that for books to be closed on time, pre-accounting or receipt management has to function smoothly.
Receipt management is not simple. It is mundane and time-consuming. To make matters worse, pre-accounting is not a designated job role. Hence, this becomes a responsibility of everyone in the organization.
Right from employees who have to save receipts to submit expense reports later, to finance teams who have to check for policy violations manually – everyone is involved. Employees make an expense and manually save paper receipts for later submissions. If not, they have to digitize the receipts without any handy mechanism provided by the organization. At the end of every month or quarter, they have to collate all expenses to create expense report (easier said than done!).
Finance teams then manually check every receipt, expense, and expense report for policy violations or duplicates. Changes, if any, are communicated on an email thread that eventually gets buried in the inbox. If all works out well till this point, receipts are then stored on Google Drive, a designated shared folder on the company’s server or Dropbox.
At the end of the month, when it’s time to make use of these receipts, messy folders and inconsistent file names don’t help. This downward spiral is inevitable, if every step of the process isn’t taken care of.
Receipt management at SMBs primarily consists of:
- Capturing and storing vital data from receipts when employees submit an expense
- Uploading multiple receipts in a single go
- Storing unlimited receipts
- Searching and tracking specific receipts
- Accepting only those expense claims which are violation-free
- Declining duplicate receipts or accepting them with valid explanations
- Maintaining an audit trail for every receipt or expense claim
Every organization has its own way to tackle the processes mentioned above. Some use Excel Sheets, some rely on functional heads, while many others leave it to the HR. These solutions don’t last long and none of them promise financial hygiene. Additionally, they don’t fasten the reimbursement cycle or even provide an overall viable solution to manage employee expenses.
Receipt management, SMBs, and Fyle
Receipt management is a crowded market. There are manyreceipt scanners and trackers today that solve for different pain points. Although, none of them act as an end-to-end solution, doing more harm than help. With Fyle, receipt management is a small part of a more significant expense management ecosystem. Therefore, SMBs and startups can gauge how they should manage their receipts while putting the exact time, effort and resources needed.
Fyle is present at every point of expense, which means that employees don’t have to worry about individually creating expenses and attaching receipts. Fyle automatically captures important data from receipts and digitally stores it along with the receipt. Our handy tools for employees have turned expense reporting real-time, after policy checks and duplicate detections. This has significantly decreased the reimbursement cycle.
The following tools in Fyle have made receipt management a delightful experience for employees:
- Mobile apps: Enables one-click receipt capturing and expense tracking for employees on the move. Fyle’s mobile apps can be accessed from the Google Play store for Android users and the Apple store for iOS users.
- Instafyle: Allows you to click a picture of your receipt and upload. Fyle will then extract all expense information form the receipts. Select expenses and create reports in a click.
- Bulkfyle: Enables you to just click a picture of all your receipts and extract information in bulk.
- Gmail add-on and Outlook add-on: Automatic extraction of receipts in your Gmail inbox (for G Suite users) or Outlook inbox (for Microsoft Office 365 users) with policy checks ensure you always report compliant expenses.
- Mileage tracker: Allows you to track business mileage on your mobile and use custom rates based on vehicle category and employee grade.
For finance teams, Fyle solves receipt management in the following ways:
- Search for receipts: Search through an indexed repository of all your receipts using filters like categories, vendors, employees and much more.
- Store unlimited receipts securely: Store receipts of employee expenses for all entities present in Fyle digitally.
- Track with a digital audit trail: A completely paperless digital audit trail helps keep track of all actions performed on an expense claim.
- Share expense reports with multiple receipts: Search, download, and share PDF expense reports with all receipts stitched together.
Future of receipt management with Fyle
At Fyle, we’re constantly finding new and innovative ways to make fyling expenses seamless. We understand that merely solving receipt management for employees won’t solve the crucial problems that engulf your expense management experience.
To ensure we solve expense management for all, with Fyle, employers can:
- Track (receipts, credit cards, advances)
- Automate (approval workflows, trip requests, policy checks)
- Analyze (company spends, operations, risks)
- Integrate (accounting, travel, credit card programs)
If you want to be a part of our journey and revolutionize expense management at your organization, schedule a demo today!