Digital trail for reporting
Such an approach also allows management to categorise spending and quickly see where costs are getting out of control or where they need to put in place cash flow targets that help ensure solvency. Cards can be cancelled or at least suspended quickly and easily, negating the need of having to go through to the issuing bank, while invoices can also be automated to streamline business payments. This allows business to keep hold of money longer and pay creditors faster.
Moreover, digitally transforming business expenses and payments, encompassing everything from receipt capture through to automated payments and invoicing, means there will always be a digital trail that can be collated and reported on quickly and easily.
In the future, the ongoing digitisation of systems will result in greater use of artificial intelligence and analytics-driven technologies. This will help organisations to more accurately predict their future spend, thereby giving them early insight into potential upcoming cash flow issues and enabling them to look ahead into what is going to be happening in the market moving forwards.
The emergence of digital expenses platforms and integrated payments tools won’t negate the basic need for businesses to make more money than they spend. But it’s an exciting development for those determined to defy the odds by adopting careful cash flow management.