26 Apr 2022
5 mins read

The benefits of using digital expense management

Trish Toovey - Content Director at Payhawk - The financial system of tomorrowTrish Toovey
CFO considerring the benefits of using digital expense management
Quick summary

Ineffective expense management procedures and policies often result in human errors, time lost, and frustrated employees unable to concentrate on other tasks. The result? Companies are left in the dark about how their money is really being spent because the expense system they have in place just isn't sufficient. That’s why having automated digital expense management software in place is the best way keep on top of spend.

Table of Contents

    If a company operates without expense management software, generally, it’s the financial team’s responsibility to maintain a spreadsheet with all company expenses. Undoubtedly a time-consuming task, it calls for each individual expense to be checked manually. Human error can also cause unforeseen complications.

    Not only that, but having an expense system which doesn’t keep everything organised means that those spending company funds, must collect and enter submitted expense receipts by hand. All receipts are checked against monthly card statements, the spreadsheet, and the company spending policy. Not to mention, lost receipts, slow reimbursements, and endless emails from the financial team to submit all documents on time before month end.

    Unfortunately, traditional expense methods leave some room for fraudulent claims. For example, an employee receiving a refund on a cancelled flight ticket and also applying to their company for reimbursement.

    The bottom line: traditional expense systems can’t deliver the immediacy, efficiency, and transparency required in today’s digital landscape. Business demands next-generation solutions with efficiency gains.

    Choose the right spend management solution with our RFI template

    The benefits of automated expense management software

    1. Track your company's spend

    With an automated expense system like Payhawk, CFOs and finance, teams can monitor real-time transactions and business expenses as they happen. Enjoy total visibility by monitoring what's being spent and when, with individual or team thresholds. Budget owners receive real-time employee fund requests which can be approved or denied. Employees will include a reason for the fund request, and if it doesn’t look right, it can be refused. No need for emails or calls with lengthy explanations.

    2. Access to company cards

    Alongside our software, we offer other benefits, like corporate cards that can be assigned and controlled in one single place. You can issue physical and virtual company cards in a matter of seconds. If you have a big team, managing individual cards can be a headache. We’ve removed the burden of individual card control with clever account automation, allowing company card management in bulk. You can set rules and apply them to whole departments with just a click. Cards are connected to your Payhawk wallet and they can be customised according to the company's spend policy, creating a fast and efficient way for employees to manage expenses on the road.

    3. Stay on top of business budgets

    When there is no real-time feedback on employee spending, especially with reimbursements, it’s a significant challenge to track business budgets. Payhawk allows budget owners to have real-time visibility over their project budget, monitor actual vs planned spend and keep track of the remaining funds. You can set customised approval flows and deal with fund requests wherever you are. From your mobile device during a coffee run or from the platform at your desk.

    4. Empower your employees

    Give your managers full control as they are able to access team spending, budgets and subscriptions all in one tool. Employees with company cards can now focus on their work and forget the tedious process of expense reports. Your accounting team will reduce manual work associated with invoice management and card reconciliation. They will also stop chasing team members to submit outstanding receipts as the Payhawk App sends automatic reminders. Learn how to support employee empowerment starting with their expenses.

    5. Track and manage subscriptions and regular payments with ease

    Our newest feature, subscriptions management, allows companies to track two different types of subscription/recurring payments. Number one includes any recurring payments that leave your associated business bank accounts via bank payment. Number two, we can track any subscriptions your employees have on their company cards. By tracking regular payments across your bank and card expenses, your finance team and budget owners can monitor cash flow and ensure there’s always enough for other necessary activities or upcoming spending.

    It is stressful for employees when a subscription bounces on the company card because it has insufficient funds. Never be caught out again, Payhawk will alert you when upcoming payments are due and how much they will cost.

    6. Integrations

    There's no point in implementing a new tool if it doesn't speak the same language as the ones you already have in place. Integrations that stop you flitting between tools and allow you to get real-time data are the most vital, as these can help increase productivity and save wasted time. With Payhawk, manual uploads are a thing of the past. Payhawk easily syncs your expenses and receipts with your ERP system and accounting software, while making sure 100% of the pushed data is correct.

    Through the benefits of Payhawk, expense management can make closing the month feel easy for your employees and for you. If you’re ready to hear about nailing easy expense management in your company, book a demo now.

    FAQs

    What is the best way to get started with Payhawk?

    The best way to get started with Payhawk is to book a demo. If you're a business owner, a CFO, or a finance team member, then this will allow you to explore all of our software's key features and benefits to see if they work for you. Our aim as a provider is to give you all the business expense management benefits and power you need to scale your business with robust expense control.

    Will Payhawk allow us to scale our business with expense control?

    Yes, Payhawk will allow you to scale your business with expense control. With its automated features and streamlined workflows, Payhawk can save your business time and money by reducing the need for manual input and processing of expenses. In addition, Payhawk’s integrations with popular accounting software packages will allow you to manage your company finances as you grow easily. As your business scales, you can be confident that Payhawk will provide the tools and features you need to maintain control over your expenses, including approval workflows and spend limits. Saving money and time is key to scaling any business, and that's exactly how Payhawk's expense control system will allow your business to scale to new heights.

    What business expense management benefits can my company expect to see by using Payhawk?

    Payhawk offers multiple business expense management benefits. Some of these benefits include reduced time and costs associated with manual expense processes. Greater visibility and insights into company spending. Enhanced control over company finances. Streamlined workflows for employees and finance teams alike. Automated reimbursement processes for employees. Increased security through real-time updates on company credit and debit card activity. And also, easy integrations with popular accounting software packages such as Xero, Netsuite, and Exact, to name a few. These are just some of the business expense management benefits that you can expect to see by switching to Payhawk.

    Trish Toovey - Content Director at Payhawk - The financial system of tomorrow
    Trish Toovey
    Senior Content Manager
    LinkedIn

    Trish Toovey works across the UK and US markets to craft content at Payhawk. Covering anything from ad copy to video scripting, Trish leans on a super varied background in copy and content creation for the finance, fashion, and travel industries.

    See all articles by Trish →
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