Automation In Accounting
When you open a business, as an entrepreneur, we wear many hats in the beginning. As you start to piece your business together, you will find that there are two processes that will help immensely in your business. Those processes are automation and delegation. Automation is when you set up processes in your business to run by themselves. Delegation is handing off tasks to others in the business.
Delegation is harder to achieve especially at the beginning of the business when it’s only you in your business. However, automation is important to achieve so that you can concentrate on the more important tasks of your business. There are ways that an entrepreneur can use automation in accounting for their business. Below are ways that automation can be used when it comes to running the accounting for your business. These processes can be used within a business that has a financial system in place such as Quickbooks.
Sending an invoice automatically via email to your clients. Once a sale is made, an email address should be collected for all your clients so that you are able to automatically email the invoice to your client. This creates automation, saves time and assures the collection process begins quickly and smoothly.
Transactions that are processed in your books should be taking care of quickly and efficiently on a frequency that does not allow the transactions to build-up with out being tended to. This allows for the bank reconciliation to be automated with little work each month since all the leg work has already been completed throughout the month.
Vendors can be set-up to automatically be expensed to the same account each time a bill is processed so that there is little time spent on entering these invoices. This creates automation in processing these invoices.
Statements should be automated to email to your clients each month when there are past due balances so that collection efforts will be consistent.
Reports should be set up to automatically run and sent via email to you every month. This will automatically enable you to take a look at the company books on a frequent basis and keep you aware of any issues as they arise.