Receipts are an essential aspect of doing business. Whether you own a business, meet clients off-site, or travel on business these invoice papers have likely been in your wallets or filing cabinet. It is the sole piece of documentation containing all the client information a business might require, such as baskets data, date, place, and pricing details.
The problem of handling these physical copies can be resolved by transferring your printed receipts and papers into digital information, and receipt scanning software is the ideal instrument for such a purpose. Several receipt scanners come with internet resources that let you gather all of your invoices into one place and download them from just about anywhere. It is a productive approach to managing finances, keeping proper accounting records, and speeding up accounting systems.
What is a Receipt Scanning Software?
The Dext receipt scanning software is an app that scans and digitalizes receipts for you. A mobile app that scans and stores the data from the receipt using optical character recognition (OCR). It converts the image’s content into text as it detects it. You don’t have to manually add the dates, supplier, price, or VAT since the information on the receipts is electronically retrieved. You may arrange any orders and invoices you collect using receipt scanning software. It’s no longer necessary for you to explore all of your emails in search of every invoice you’ve ever received. You can instead keep all of your receipts—paper or digital—in one location.
Receipt data enables you to discover trends in consumer shopping habits, making it more effective in addressing consumer demands.
You would be equipped to thoroughly understand client behavior through time and discover efficient marketing techniques. You may develop connections with your customers by providing personalized service since you will know them and their needs better than anyone else.
Challenges that Receipt Scanning Software Overcomes
However if you still require persuasion about how much simpler your work would become with receipt scanning, there are undoubtedly dozens of advantages. We’ve selected the most important ones and summarised them below. If you’re still in a dilemma about switching to receipt scanning software, the benefits listed below can assist you in making an informed choice.
Receipts Scanning Reduces Clutter
Receipt scanning software significantly reduces your clutter. You may now store printed bills and expenditure receipts digitally, so you don’t need to keep your paper copies around. Whether you’re accustomed to keeping stacks of receipts in your wallet or lying about your place, digital receipt scanning means you can say farewell to printed copies and save everything conveniently in the cloud.
For instance, you may store more than 165,000 pages of Excel sheets in a single gigabyte. Mobile phones are exceeding 200GB storage at the current count, and that figure is significantly greater in your laptops and even more in the cloud storage. Trying to maintain that stack of receipts physically instantly appears to be a lot more costly.
Enables Timely Tax Submission
You must maintain track of every receipt for your business, no matter how small or vast, so you can file your taxes yearly. This is vital for anyone who operates an independent business or works for themselves. The receipts are the documents used to keep track of your spending, and these expenditures can be deducted from your income to lower your tax obligation. You can easily be swamped if you wait till tax season to arrange your paper receipts.
Receipt scanning software can be used throughout the year to scan your invoices when you receive them. Also, you can arrange them whenever you wish throughout the year, which might lessen the sting of tax season. You can save the records for 7 years if you are subject to an audit. It can lead to countless paper receipts, but storing and tracking them in a digital medium is considerably easier over time.
Prevents Frauds in Receipt Submission
Security and fraud prevention are two other advantages of employing receipt scanning software. Certain scanning software can determine whether a receipt has already been uploaded. Additionally, the application can determine whether the receipt has been edited by searching for Photoshop activity, looking for irregularities in the Exif data, and checking if particular elements, such as the total amount, have been altered.
Creating Expense Report
Your expense reports enable you to record the inflow and outflow of money in the organization. These reports can be examined by the company’s board of directors or investors to determine how well it is performing year-round. When there are thousands of receipts lying around, it can be nearly impossible to compile the expense reports that are vitally essential for any company.
Once you’ve scanned your invoices into your Android smartphone or iPhone, you can access Dext Prepare’s dashboard to quickly and easily create expense reports.
If you need to make an annual expense report but have a short amount of time available, generating on-demand expense reports is a wonderful option. It also works well if you have a presentation or request that comes up at the last minute.
Securing Sensitive Data on Receipts
Some invoices carry sensitive information about clients. These details include credit card number extract, names and postal locations. You must adhere to GDPR while handling such sensitive information. Receipt scanning software can identify sensitive data elements, including personally identifiable details, and then utilize data concealing to redact or encrypt them. By doing this, businesses may ensure they adhere to laws governing data privacy, such as the GDPR or HIPAA.
Expense Tracking
Companies with employees who travel regularly must monitor and document each expense they make so the organization can compensate them. It can be nearly impossible to try and maintain track of many receipts from different employees. This is valid since every trip includes numerous receipts. If your worker submits their receipts and you lose them, your accounting records can include inaccurate data.
Scanning receipts enables you to quickly and simply categorize information by employees, tour, period, or spending kind. Even better, you may provide your staff with receipt scanning software to scan receipts on iPhones or Android phones. As shortly as they receive the invoices, they may scan those. It lessens the possibility of losing receipts when traveling and ensures accuracy during the time of accounting.
Conclusion
Automating your receipt processing enhances efficiency and productivity significantly. With receipt scanning data collection, businesses can independently gather important client data. With wonderful receipt scanning software, you can have more control over customer information and the flexibility to design data-driven marketing. Also, the software can put an end to lengthy response times, lower the possibility of fraud, and boost the productivity of your company. All of this is accomplished using receipt scanning software that extracts data quickly and with more than 90% accuracy.
