There are a few things that come to mind when starting a business; one of which is the most effective way to get paid. And while you may think the decision may be easy, there are many things to consider when determining the most effective way to receive payments or send invoices. Many small businesses sign-up for web bookkeeping software (i.e. Quick Books, Freshbooks, Accounting Pro, etc.) with invoice capabilities, yet they continue to provide their clients and/or customers with paper invoices or payment receipts. Some business owners think it is a better way to track money and maintain financial receipts.
However, there are many benefits when maximizing the use of an invoice generator for your business. What is more impressive, is how it can actually grow your small business. Yes, that statement may seem a bit far-fetched; but in reality, when in business, growth is not just financial. It is efficiency. It is convenience. It is having the ability to increase your bottom line by tracking trends. Most of all, growth is an improvement. Here are five benefits of using an invoice generator to grow your small business:
Are you a business that frequently participates as a vendor at events? Are you a new or existing self-published author that travels for book signings? Are you a business that is able to provide mobile services to clients? Are you a business that only accepts cash and has time balancing cash flow at the end of each day? Do you have to accept fewer payment amounts because someone does not have enough cash and you do not accept credit cards? Is your business unconventional and more of a paid hobby?
If you answered yes to any of these questions, an invoice generator can grow your small business (even if unconventional). Why? Because having the ability to accept payments anywhere and at any time does two things: 1) generate more business revenue and 2) immediately provide tracking and filing of that payment. It is a stress-free way to manage a business on the go; especially using a smart invoice generating smartphone application (i.e. Bookipi). And what is even better, since invoices are automatically stored you do not have to worry about them until you are reconciling your financial accounts (which can easily be imported with some invoice generating software or mobile application).
Inventory Tracking & Automatic Receipts
Are you the type of business owner or entrepreneur that carries around your product(s) and sometimes make sales “on the fly”? The hard part of simply accepting cash is ensuring proper tracking on inventory, but using an invoice generator allows you to accept cash and treat the invoice as a receipt.
On the other hand, not everyone carries cash these days and rely on the ability to use their debit or credit cards. Here again, where an invoice generator comes in handy. Not only are you able to track inventory, but you are also able to receive payments immediately and provide an electronic receipt. And let’s be honest, there is nothing better than being totally paper-free and efficient when it comes to running your business.
Using an invoice generator not only saves on time, but also saves on the costs of paper, stamps, and/or envelopes. Even more so, having a paperless method for invoicing eliminates the need for filing and storage (after all, most invoices, receipts, and business tax financials have to maintain for 7 years). Have you seen what happens to the ink on invoices or receipts after a few months, let alone a few years? It fades away. They certainly don’t make ink like they used to!!
I used to be the type of person that would hold on to all of my paper receipts and now I have to take pictures of them or scan them when I make some business purchases. To be quite honest, I find this daunting and time-consuming. Now, I ensure that most business transactions can be made via the web or through an electronic method of receiving receipts. One last benefit of being completely paperless is the ability to have transparency between you and your accountant or you and your administrative assistant.
Free, Free, and Free
Let me say it one more time…FREE!! I believe we all like everything that’s free (well not everything, but you get my drift). That is the cost of using some available invoice generators (especially via mobile apps). I mean seriously, as a small business owner, costs matter, efficiency matters, and time is money. So, why not save a little money when you can. As a disclaimer, this does not prevent you from paying any fees associated with credit card transactions, PayPal, or any other external payment acceptance or transfer fees. For example, using any invoice generator to invoice to clients or customers, there is a fee associated with transferring funds to your bank account. It is much the same as other electronic payment transferring options (especially if you want immediate deposits instead of waiting a day – i.e PayPal, CashApp, etc).
Bookkeeping & Accounting Accuracy
The last benefit of using an invoice generator to grow your small business is for accounting accuracy. One of the easiest mistakes small businesses make is not doing proper bookkeeping and this can be detrimental to any small business (especially at tax time). As a small business owner, making quarterly or annual tax payments is daunting; but mandatory (even if you gross very little revenue). Most invoice generators have the ability to track revenue monthly, quarterly, or annually. Another benefit is the expedition of providing your accountant or tax preparer financial documents with a few clicks of a button from your phone or desktop (or you can just be like me and allow your tax professionals to have access to the applications and/or software used for business accounting). Either way, tracking revenue, taxes, and expenses should be your number one consideration for having an invoice generator.
Having a small business is difficult enough, so why not free up some of your time using free capabilities for enhancing your business.