Every company is dealing with paperwork on a large scale basis. Small accounting firms deal with high volume of paperwork like purchase order, tax documentation, receipts, and invoices. If it looks like your office is getting buried with piles and piles of paperwork, well you are not alone. U.S.A uses 12.1 trillion sheets of paper in a year. We need to take some serious steps to curb the use of paper as this is surely hampering our environment.
You can break this cycle of continual shifting of piles of paper and run out of space in your filing cabinets by choosing an optimum digital file management system. You can break this monotonous cycle of shifting piles of paper by using less paper in their workplaces. By going paperless, your firm becomes more efficient and save more money in the long run.
If you have any doubts about going paperless, here are top 5 reasons you should be going paperless.-
1. Improves relationship with your vendors and clients-
Storing documents in electronic form will give the CPA and administrators to concentrate on important aspects of accounting instead of filing system. This will give them an easy file retrieval system during the time of audit or regular checking. This, in turn, enhances the chances of attracting new vendors and client satisfaction. It will allow your employees to infuse time to respond to customers requests and make vendor payments with short turnaround time.
2. Provides accountants with a higher level of security-
When it comes to securing a digital documentation system is the superior form of document security. Cloud-Based storage will have an audit on a regular basis. Every time your file get accessed, annotated or revised an inspection will take place in a cloud-based document storage system. You can restrict access and modification of each document. This will avoid fraud and ensure that sensitive does not fall into the wrong hands.
Once you go digital, all your files will be backed up. You will never lose any important file due to a server breakdown or a natural disaster.
3. Maintains regulatory compliance with accounting standards-
A document management system provides a continual conversion of paper documents into electronic form. This system helps control information access and information leakage giving a new credibility standard to your organization. With an efficient DMS system, you will always know who, what, when and where all your vital business files are touched. With such high internal security, it is far easier to imply with the compliance management in the organization.
4. Eradicates human error-
While dealing with excessive amounts of paper, mistakes are unavoidable. The paper storage system causes clutter. This indicates that you and your team will lose, misplace or unknowingly destroy essential documents. A document management system will reduce the chances of such errors to zero.
As an accounting Firm, you may be losing some of those discounts available from the vendors as you are using a vintage document storage process.
5. Easily integration-
A DMS for the accounting system and compliance management can be customized as per your requirements. The DMS can be customized in a way it integrates with your existing software. It also comes with an easy user manual and learning process for all the employees. A well-integrated DMS helps in faster implementation of the system in the organization.
It will be a smart move to have a financial and accounting document management system. It is highly prudent to have systematic financial and accounting management system, as finance is the crux of any business. This will help you in efficient compliance management, bailing out any chances of any lawsuit due to unavailability or destruction of any financial information.