Expense management refers to the systems deployed to process, pay, and audit employee-initiated expenses.
The systems for managing business and employee expenses have improved over the years which has led to increased operation efficiencies.
In the past, expense management for startups was a tedious process. Vendor bills and employee expenses had to be tracked and paid manually, which required hours of valuable time. Now, expense management for startups is as seamless and automated as a company wants. Business expenses, employee expenses, and bills from vendors can be synced, integrated, and reconciled automatically with minimal input required.
Automated expense management can create tangible time and cost savings when applied successfully.
Those benefits are:
Expense management software vary in robustness and automation. Companies have the option of both manual and automated systems, depending on their needs and preferences.
Legacy expense management options spread the process of charging expenses and handling reimbursements across multiple platforms.
Vertically integrated systems combine each step of the expense management process into one platform. As card holders make purchases, charges are automatically logged in their account and categorized appropriately. Then, employees can pool their charges from a given period into a single report that’s categorized based on P&L line items. Managers can review and approve reports that have automatically been checked for policy violations. Upon approval, reimbursements are automatically transferred to employee bank accounts.
There are platform options for companies of different shapes and sizes to custom fit everyone’s needs. So, how do you choose the platform that is right for you?
Platform options have varying levels of required involvement, per person costs, and integrations.
Exbo Group’s implementation experience helps to make the process simple. Our team’s combined experience can help assess specific needs and advise on expense management platforms that are tailored to team size, involvement preference, and price to enhance overall workflow efficiency.
Our team can facilitate the transfer of data from your previous platform, whether it’s a legacy system or a different automated system, ensuring no gaps in the recognition of expenses. We can establish the sync between your new platform and current accounting software, allowing for an automated connection that seamlessly tracks expenditures. We will also set up any rules around employee spend and reimbursements, categorization, and projects, as well as establish the workflow for report submissions and approvals. Exbo will take the time to introduce your team to the new processes and operational workflows, and will also set employees up with logins and new cards, depending on the platform.