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June 2, 2021

How Receipt Scanning Software Can Benefit Small Businesses

By 
LeAnne Taylor

Picture this scene. It's the end of the month and you've finally carved out time to finish your expense report. Your wallet and inbox are overflowing with receipts, so you're pretty confident you've got everything covered. All of your receipts must be there, right?

Wrong.

So, the search begins. You look through ALL the places you stash receipts, even the black hole between your driver's seat and the middle console. Time goes by - and you're still hunting. Plus, you have employee receipts in expense reports to approve. By now, your motivation has gone out the window. Month end isn't for another two days, so what's one more day?

End scene. Rinse and receipt repeat.

Let's take a look at how implementing a receipt scanning software can help streamline the vicious expense management cycle small business owners like you endure each month.

Get back time

As we established at the top of this post, expense reports and approvals are a huge time drain - and frankly, a waste of time - when you're dealing with paper. If you can relate to this, you're not alone.

In fact, over 30% of business owners claim the biggest pain point of managing expenses is the time it takes to reconcile, review and approve expense reports.¹ And over half say lost or missing receipts are the most frustrating aspect of the entire process.¹ Imagine what you could do for your business if you didn't have to waste so much time scrambling and troubleshooting each month.

All of those things you just thought of could be a reality if you started using a receipt scanning software or modern bill pay platform with OCR technology. You'd no longer have to stuff your receipts into your wallet and cross your fingers, hoping they stay put. Instead, you could just snap a photo of the receipt on the spot and move on to your next action item.

From there, the software would take over and do the heavy lifting for you.

Get more accuracy

Along with chasing paper, manual data entry could be a thing of the past with a receipt scanning software. That means you could forget about the many times your report was rejected, after a week of waiting, all because one pesky decimal point got away from you.

You may be thinking "Okay, it can save time, frustration and embarrassment but what does that really mean for my business?"

Well, let's break it down. According to the GBTA, the average expense report takes an average of 20 minutes to complete and $58 to manually process.² Of those reports, just under 20% of them (or every 1 in 5!) have errors, which takes about 18 minutes and $52/report to correct.² That's a little under 40 minutes and over $100 for every fifth expense report your business processes.

So, eliminating manual data entry with a receipt scanning software could save your business hundreds or even thousands of dollars and several hours depending on how many reports you process each year.

Once you snap that photo, your receipt would be sent directly to your report and added line by line- no manual entry needed. Come month end all you'd need to do is give your report a quick scan and hit submit. And if your whole team was on board, reviewing and approving your employee reports would be just as easy.

Get rid of your #TaxSeasonScaries

Not only are missing receipts stressful - they could be a threat to your business come tax season. Let's take a look at just a few the common risks of lost or unreported receipts for small businesses:

  • Inflated revenue. If you don't have receipts to accurately track your expenses, you could underestimate them and ultimately report inaccurate revenue numbers. In the end, declaring flawed revenue could result in a fraud charge.
  • Debt. Without receipts to refer to, you could unknowingly be spending more cash than your business has. Bad business deals can result in irreversible debt and a reputation you cannot rebuild.
  • Audit. Missing receipts could open up your business to an audit. This is a stressful, time-consuming and often expensive process that no business owner wants to go through.

While a receipt scanning software can lower the risks outlined above, it can't do your taxes for you. That's where your accountant comes in. What it can do though is make working with your accountant much easier.

Instead of handing them a big bag or shoebox filled with receipts and invoices, everything will be digitized and ready to go. Depending on the software you are using, it may even sync everything right to your accounting system (Corpay One does!) - if that won't make your accountant happy, we don't know what will.

How to scan receipts with Corpay One

Scanning a receipt in Corpay One can be done in seconds from your desk or on the go - with 99% accuracy.³ Our advanced scanning technology automatically (and accurately!) populates all of the transaction details so you don't have to. With Corpay One, documenting an expense is no longer a time-consuming, manual process riddled with human error. We do the heavy lifting so you can get back to the work that matters most.

If you're already a Corpay One member, here's how you can start scanning your receipts today:

  1. Snap a photo. The Corpay One mobile app makes receipt scanning possible in just a few taps. Open the mobile app, tap the camera button and take a photo of your receipt. From there, you can add details like category, department, payment account and even write a note about the expense itself. Once you hit Done, Corpay One does the rest for you - no manual data entry needed with the 99% accuracy³ of our OCR technology.

  2. Send & Scan. If your receipt is already digitized or in your inbox, Send & Scan is the perfect solution. Every Corpay One member has two individual Send & Scan addresses - one for submitting bills and one for submitting receipts. So, simply forward that e-receipt to your Send & Scan address ending in @receipts.corpayone.com and it will land in your 'Emails' inbox in the Corpay One platform. You can even have your vendors send their receipts or invoices here, too! Our OCR technology itemizes the receipt(s) instantly, so all you'll need to do is add them to the appropriate expense report when you're ready.

New around here? No worries, just book a demo with us and we can show you the ropes. Or you can start today for free. We're ready to help you win back valuable time and save money for your business.




Sources:
¹ 2019 Travel and Expense Management Trends Report, Certify, Inc.
² How Much Do Expense Reports Really Cost? Survey by GBTA Foundation and HRS, October 2015.
³ Using OCR: How Accurate is Your Data. TDWI, March 5, 2018*

*Standard OCR accuracy rates are 98-99%, per TDWI. Corpay One has a .34% error rate, putting us in the 99% accuracy range.



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