5 Reasons Why Small & Medium Business Enterprises Need Receipt Scanning

Do you often have paper receipts scattered across your desk? Do you toss receipts in a file cabinet or shoebox and have a hard time retrieving key documents during the tax season?

If you deal with paper receipts, you are not just inviting disorganisation and negligence but also costing your business unwanted money and time.

Keeping your account in order requires streamlining the storage of your financial documents, especially the hundreds of receipts your business generates year after year. A receipt scanning app can greatly help you in this regard.

Here’s how your business can benefit from a receipt management software:

1.    Cut back on desk clutter

One of the main advantages of the receipt scanning feature is that it allows businesses to be organized and clutter-free. All you have to do is click a picture of the paper receipts and upload them to the app; a receipt scanner will sort them and store them with all your other important documents and recipes. You may then toss the paper receipts into a dustbin.

You also have the option of organizing your receipts by date, payment method, vendor, and other parameters to ensure they are readily accessible when you need them.

2.    Keeps your receipts safe and secure

If you have receipts lying around the desk or office, you are leaving them open to theft and loss. Even if you keep them filed in a secure cabinet, there is the possibility of unfortunate accidents or fire that might deprive you of key documents around the tax season.

A lot of times, it’s difficult to even keep track of such losses. For example, a coffee shop’s airport receipt or fuel refill receipt might sound inconsequential but it probably plays a role in your travel and accommodation expenses.

Losing paper receipts is rather common; it happens to the best of businesses. According to a UK government poll, nearly 65% of finances and accountants admit they’ve lost receipts in the past.

A receipt scanner will keep your documents well-protected and provide an extra layer of security in the form of backups.

Take a picture and upload it to the cloud, and you can rid yourself of the unnecessary stress involved in storing it safely.

3.  Be prepared for the tax season

If you are a self-employed individual or a big or small business, you are expected to maintain tax records for several years. For instance, in the UK and the US, it’s six years of expense tracking. That amounts to thousands of receipts, plenty of which are likely to get lost due to negligence.

Keeping your receipts secure on the cloud can help avoid roadblocks at the time of tax filing. With digital receipts, it’s significantly easier to track the income and expenses of your business, and eventually secure deductions on your taxes.

4.  Keep tabs on your financial health

Staying on top of your business health is only possible if you have uninterrupted insight into accurate expense reports—creating which becomes significantly easier if you have all your receipts in one place.

When you scan and upload receipts to your receipt scanning app, you can instantly create on-demand expense reports from the dashboard and monitor the incoming and outgoings of your business.

5.  Reduce business costs

For small to medium businesses and enterprises, cutting down overhead costs is a priority. Paper receipts require ink, toner, and hardware to carry out printing regularly. Add to it maintenance costs and upgrades given the hardware and software issues that frequently crop up—it can quickly result in increased business costs with time.

A receipt scanner reduces your reliance on hardware and other paper products and supplies, ensuring businesses cut down on costs and free up resources for better use.

Storing receipts physically in cabinets and then trying to retrieve one specific receipt from your huge pile can be time-consuming and overwhelming. A receipt scanning software like Dext helps you stay organized, clutter-free, and keep your finances in order.

Sign up and start using Dext today!