Accounts Receivable Management for IT Companies
Technology is evolving at a record pace. IT companies face immense pressure to adapt if they want to stay ahead of the competition. The only way to adapt to an ever-changing market is to offer the most valuable, advanced product at a reasonable price. And if you don’t have the cash flow to create innovative technological solutions, your business will be left behind.
As IT companies continue to grow and change their platforms, they incur countless new costs. To stay afloat, cash is king. Technology businesses must have a consistent cash flow if they want to evolve. As an IT company, you already know how efficient automating processes can be, so why not use automated accounts receivable software to boost your cash flow?
Why Cash Flow is Important for IT Companies
Between the time you provide a service or product to the customer payment date, your money is sitting in limbo. It’s yours, but you can’t use it. Without this cashflow, you can’t fund new projects to advance your offerings, implement new technologies, and keep up with the evolving market. If your accounts receivable processes aren’t efficient, your company will quickly fall behind.
While maintaining efficient A/R collections processes is essential to maintain cashflow, it’s also time-consuming. In addition to the massive amount of data entry, collections teams also need to monitor customers to ensure they pay on-time. It’s easy for accounts receivable to become a 24/7 job, especially for tech companies with hundreds of customers.
How IT Companies Can Improve Accounts Receivable with Automated Software
Accounts receivable software for IT companies will help you save time and boost cash flow to fund other projects.
There are four main benefits of automated accounts receivable software for IT companies:
- Accuracy – When you automate the collections processes, you eliminate the possibility of human error. Every process will be completed the same way every time. You won’t have to worry about mistakes altering your accounting data.
- Communications – Subscription business models require a much more back and forth with customers. Without an efficient way to track the hundreds of emails, chats, and phone calls, it’s easy for pieces to fall through the cracks. Forgetting to track client payments could make the difference between enough cashflow to implement a new project and getting left behind by the competition. Automated A/R software can log all customer communication in a single dashboard, so it’s much easier to keep up with each customer and which step of the payment process they’re in.
- Simplified payments – Paper checks take time and effort to prepare and process. With automated A/R collections, you can accept payments electronically through an online dashboard. When making payments is easy, customers are more likely to pay quicker, leading to a better cash flow for your business.
- Time savings – Manually entering data and monitoring customers can be a 24/7 job. By automating many collections processes, your accounting team will have more time to focus on other projects to grow your business.
Without the need to manually enter data or keep up with customer communications, you’ll be able to free your accounting team to focus on overdue collections and keep the cash flow moving.
Automate Your AR Processes with Gaviti
Why not invest in yourself the way you help other companies invest in themselves? You need automated AR software designed to help IT companies succeed. You need Gaviti.
Gaviti’s automated A/R collections platform has helped IT companies simplify accounts receivable and free their teams to be proactive with other projects and tasks instead of playing catch-up with collections. Our software features a user-friendly dashboard to manage all your collections processes from a single, centralized database. You can improve collaboration, reduce manual workflows, and increase your cashflow to make your IT company more competitive in the cutthroat technology industry.
Contact the experts at Gaviti to learn more about our automated accounts receivable software for IT companies. Be sure to request a free demo of our outstanding platform.