Creating invoices, calculating fees, and handling customer data are all essential to the successful running of a business. But how will you really know that it’s time to switch from pen and paper to an online billing system?
Here are the signs that will tell you a change is needed.
Your Business is Expanding
A manual billing system is what many business owners use in the first few months of launching their business. However, manually inputting data is not a sustainable process. For instance, the use of spreadsheets can get complicated as a business grows.
If you add more products to your store, get more customers and reach international markets, it will become difficult to track payments and create invoices. You might actually find plenty of mistakes in your records due to the large volume of data on your hands.
Therefore, as soon as you start expanding, invest in an online billing system and link it to your payment processor to reduce any confusion that may arise from managing your numbers.
Your Clients are Complaining About their Billing
Your customers buy from you because they believe your products are the best in the market. With this in mind, consider getting accounting software or a separate online billing system if they constantly complain about their invoices.
Do this even faster if you accept card payments. This is because, unlike customers who pay with cash, customers who use cards can ask for refunds which may result in hefty chargeback fees.
Billing software is exactly what your business needs today. Many invoicing software used in Australia offer advanced features such as automatic payment reminders, customizable templates, and integration with accounting software. It will correctly calculate taxes and makes sure everything is accounted for, from the money recorded in your POS systems to the one entering your merchant accounts. It will also lessen the burden on your back and help you focus on other important areas in your business.
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You Face High Maintenance Costs and Security Issues
Speaking frankly, it’s extremely risky to write down payment information on paper or in Excel sheets. Water and fire can destroy paper records and your Excel sheets can get hacked or deleted.
Fortunately for you, better security is offered by all online billing systems. Here, all sensitive information is first encrypted and then kept in secure cloud-based storage that hackers can’t access. Cloud-based storage will also help you access the records regardless of where you are.
Protecting your customers’ private information should be your topmost priority. Doing this will help create trust between you and your customers. You’ll also avoid the severe legal repercussions that businesses face following a data breach.
There is Inaccurate Record Keeping, Reporting, and Analysis
The mistakes that arise from manual billing make it extremely challenging to track payments from POS systems and calculate expenses. This is the type of information needed to prepare taxes, employee wages, and maintenance bills.
If you keep spotting inaccuracies in your traditional invoice records, switch to online billing and get a separate accounting software that’ll handle taxes and other bookkeeping services. Modern billing systems come with numerous features that can benefit your business.
Some of them include recurring invoices, auto-billing, payment reminders and thank you notes. With such features in the palm of your hands, your customers won’t complain about a single thing.
There is Revenue Leakage
Revenue leakage occurs when you make sales but the numbers don’t reflect in real life. For example, your merchant accounts can have $1000 in sales while your invoice reports show that you’ve made $1500.
This phenomenon is often caused by under-charging customers. But with the help of a modern billing system, you’ll be able to set the right prices, collect the amount you’re owed and avoid data entry errors.
The difference in numbers between your reports and bank account should automatically tell you that a modern billing system and accounting software is needed. Upgrade today to reduce human error and safeguard those precious coins you’ve worked really hard to get.
Conclusion
If your business has any of the signs we’ve discussed here, we advise you to leave traditional invoicing behind and embrace online billing. An online billing system will save you the time and energy required to manually enter data. Plus it’s good for the environment since you won’t be using any paper.
Begin this digital transition today and enjoy fast, affordable, and secure invoicing.
