Today, most invoice reminders are handled manually, and that means high costs and a lot of time. Discover the ROI benefits of invoice reminder software.
For more information, read our guide: Debt Collection Software: The Complete Guide.
Invest in automated invoice dunning.
The ROI of using software to automate invoicing is high, as the returns are significant and the investment can be relatively small, especially when cloud-based software subscription is used.
Most invoicing is still done manually, although the cost remains high. Estimates of the cost for this activity range from €10.00 to €40.00 per invoice, depending on complexity. Invoicing is sometimes neglected, but the ROI of using invoice automation will encourage people to pay attention to this step.
ROI: A High Return on Investment
The return on investment or ROI of the collection software is positive in less than 6 months on average. Gains come from a 50% increase in cash flow. Savings come from 80% task automation. Mainly from the reduction or elimination of direct and indirect invoice processing and dispatch costs.
With fully automated invoicing, you can reduce your costs and improve your cash flow.
Direct costs incurred by manual tasks such as printer supplies, envelopes, paper and postage will be virtually eliminated with automation. Indirect personnel and overhead costs may or may not be reduced, but at the very least these resources can be used in other, more productive activities.
The opportunity cost savings of invoice automation can be even greater than the reductions in direct and indirect costs. It will probably take you two weeks or more to process an invoice if you invoice manually. The cost of money tied up in a manual transaction cycle can be substantial. With automated invoicing, you can dramatically reduce the invoice transaction cycle and increase cash flow accordingly.
Reduced direct, indirect and opportunity costs and increased cash flow contribute to a significant return on investment.
What makes up an investment?
The investment to automate invoicing is probably less than you’d expect.
The return on investment from using invoice automation should exceed even the most demanding investment criteria.
When automating invoicing, you need to partner with an experienced software provider with a track record of successful invoice automation.
Aston AI offers trade receivables collection software for the digital Credit Manager. The software reduces overdue receivables by 50% and automates 80% of the tasks.
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