20 Apr Automated cash collection: a reality or wishful thinking?

In this post, we will discuss how automated cash collection will improve cash flow, reduce debtor days and minimise invoice query times.

Accounts receivable processes are central to an organisations’ financial health – it’s vital that they are as visible, streamlined and dependable as possible. 

Automated cash collection is proven to save accounting staff one hour a day, save organisations £13 per invoice, and pay themselves back within six to eighteen months. 

They can also provide more accurate financial reporting. Financial Directors need accurate data at their fingertips at all times, with total visibility of cash flow and outstanding invoices. This helps them and other senior decision-makers to make important business continuity decisions.

We’ll look at reasons why now is a good time to review manual accounts receivable processes.

Financial management

Central to effective accounting is managing cash flow and reducing the amount of time it takes for you to get paid.

Cash flow problems make it harder for businesses to ‘ride out’ unstable market conditions. They can also damage your creditworthiness and make it impossible to pay staff, suppliers, and creditors. 

Automated cash collection makes accounting processes more efficient and less error-prone. Removing time-consuming tasks will help your team to focus on maintaining the financial health of the organisation.  Improving the performance of accounting processes, instead of issuing, sending and chasing invoices.

Accurate and centralised reporting

If you don’t have trust in your data, you can’t make the right decisions. Being able to provide the Board, C-Suite and, lines of business with accurate financial reporting is essential. 

Your reporting is only ever as accurate as your financial data. Automation removes the human element in accounting processes, making the data less error-prone and more accurate. It can also help analyse the data, spotting trends, identifying problems and quickly exporting reports. Making it easy for stakeholders to understand and use. 

Improved reporting can also help organisations control and reduce their spending by providing a single, centralised view.

Enhanced business continuity

Automated cash collection tools are more operationally resilient than processes that rely on hardcopy documents and people being in the office. It’s vital that accounts receivable processes keep moving, even when ordinary working processes are disrupted. 

Cloud-based platforms are accessed on a range of devices from any secure location. As a result, this helps to ensure that your accounting processes won’t grind to a halt if something unexpected happens.

What’s the answer?

Shifting to automated accounts receivable will not only help your organisation through a crisis, but help protect it for the future. It’s a sensible investment with a clear and immediate ROI. 

Our Accounts Receivable Assessment gives you a clear picture of your current situation and a roadmap for the steps you need to take in order to implement an automated, digital solution. 

Click to read Accounts Receivable

If you’d like to learn more about Ricoh’s automated accounts receivable processes, check out the document above. Inside you’ll find guidance on how to minimise the risks of manual account receivable processes and how Ricoh can help you find a better solution.

And if you have any questions, feel free to get in touch with me on LinkedIn.