Accounting invoicing can be riddled with human error.
You could accidentally misplace a paper receipt or have an invoice get lost in the mail. One of your CPAs might forget to invoice someone right away or think that their co-worker is going to handle that specific invoice.
But when you implement the right tools, you can improve your accounting firm’s invoicing by reducing the chances of human error while cutting down your workload and speeding up your billing and collections.
Read on for seven steps your firm can take today for better accounting firm invoicing.
1- Streamline accounting firm invoicing by going digital
The first major change any accounting firm should consider is to go digital.
When you use a designated time and billing software for your invoices, all of your documents are in one place. You don’t have to dig through an overcrowded filing cabinet full of hundreds of invoices to double-check if you invoiced a certain client or not.
Digital tools make all of your invoices and accounting records easily searchable, so you don’t even have to get up from your desk to find what you’re looking for.
Another advantage of using an accounting practice management software is that you can give access to anyone in your company who needs it. If two people in the same department know an invoice needs to be sent out, they can easily check to see if it’s been done. This way, they don’t have to interrupt their co-worker while they’re busy working and both can continue their assigned tasks for the day.
Going digital also reduces other expenses related to invoicing
Instead of paying for the paper to print out invoices or stamps to send invoices in the mail, you can complete your entire invoicing process digitally and even send invoices by email. Your office supply costs will decrease, leaving room in your budget for more important matters, like hiring top talent for your accounting firm.
2- Simplify your invoices as much as you can
If you haven’t done so already, set up a system to clearly label your invoices. Make sure your whole team uses this system so that everyone knows how to find an invoice when they need it. Then, only include the following necessary information on any given invoice to avoid confusion:
- The number of the invoice
- The date
- Each item billed alongside the amount billed, a brief description, and the total balance
- Your contact number
- The date the invoice is due
And if you have to use any technical accounting terminology, include a brief definition at the bottom of the invoice.
Save time and effort by templatizing your invoices
The right software will allow you to create custom templates tailored to exactly what your firm needs. You can then use these templates over and over to save time and stay consistent across all your invoices.
3- Incorporate batch invoicing
If you want to save even more time, look for a practice management software that offers batch invoicing. Batch invoicing functionalities allow you to generate, review, edit, and send all of your invoices for the month at once, reducing the time you spend on invoice preparation and ensuring more consistent invoicing pattern for all of your clients.
4- Offer recurring invoicing for your clients
Another easy way to streamline accounting firm invoicing is to use recurring billing. A good practice management software for accountants will allow you to set invoices to automatically recur on a certain date each month. If the software you use also allows for online payment processing, your clients can even store their credit card information for automated monthly payments.
5- Try paperless review to make changes without printing the WIP
Printing, reviewing, editing, and then reprinting hard copies of your invoices during prebill isn’t just a waste of paper—it’s also an unnecessarily time-consuming process. Consider investing in a software that allows you to add in write-ups or write-downs without ever printing your WIP. For maximum efficiency, you can even use batch billing to make all of your adjustments on multiple invoices at once.
6- Get paid fast with online payment processing
Offering online payment processing allows your clients to pay their invoices in seconds from any device, including their smartphones.
This means you’ll receive access to your money within 24-48 hours instead of waiting weeks for a check to come in. Your clients will also appreciate the added convenience and will often choose to pay their bills more quickly, streamlining your collections process and improving your firm’s cash flows.
7- Automate whenever possible
In accounting, mistakes cost time and money. The right practice management software for your firm should offer automation features that make it easier to run your business. Automation tools to look for include:
- Automated recurring invoices and payments
- Automated invoice reminders that send an email or text to your clients reminding them when a payment is due
- Email notifications for your CPAs to help them stay on top of important due dates
- Automatically recurring project templates and due dates to keep work from falling through the cracks
Mango can improve your accounting firm invoicing
When it comes to accounting firm invoicing, you want a practice management software that’s made by accountants, for accountants. Mango’s intuitive, all-in-one solution is fine-tuned to suit the unique workflows of CPAs and designed to help you run a more efficient, profitable firm at every step of your daily operations.
Mango also offers:
- Streamlined, easy-to-use time tracking tools
- Project and document management features
- Robust, secure file-sharing and e-signature functionalities
- Dashboards and reporting to help you track key KPIs
Schedule a free demo and see how Mango can help you optimize your firm’s accounting.
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