Sourcery+Quickbooks Online: How Paying Bills Can Save You Money
As a business owner, your most valuable resource is your time. You can spend your time growing your business and making money. Or you can spend your time paying bills, organizing files, and searching for past invoices.
The constant battle for time is not unique to your business. A recent survey found that small business owners spent roughly 68% of their time operating the business, leaving only 32% to focus on growth and profits.
To reprioritize time and focus on profits, business owners automate many operational tasks using software tools. Quickbooks Online (QBO) for bookkeeping, Gusto for payroll and benefits, and Sourcery to streamline vendor orders, payments, and generate cost analyses.
Sourcery and QBO now have an integration that brings your detailed payables into Quickbooks. For the first time, you can analyze your receivables in QBO in context to your payables from Sourcery without the tedious and time-consuming task of manual data entry.
Here is what you need to know about Sourcery’s invoice management, cost analyses, and how integrating with QBO will finally give you an accurate cash flow picture. That is critical to making decisions and running a healthy business.
Sourcery Does More Than Solve Your Vendor Payment Pains
Paying bills and managing invoices is a time-consuming pain, but there’s a bigger missed opportunity hiding within your invoices that you might not realize.
Every invoice you collect from a vendor contains information that has strategic significance in saving you money and growing your business. Each line item of inventory is a data point that can help you predict future costs, improve your negotiating leverage and formulate new margins to ensure you are profitable.
Sourcery is a software tool that processes your invoices and transforms every detail into data. For the first time, you can leverage your invoice data to make better business decisions, transforming your vendor invoices into a strategic tool for growth.
From Messy, Inefficient Paperwork To a Searchable Vendor Database
If a restaurant manager who is responsible for buying produce for multiple locations wanted to compare costs per location, she would usually need to search through piles of paperwork to find the right invoices and then input all the prices into excel or a calculator to figure out costs. This process would take hours away from her day.
Sourcery organizes and presents the right invoices with a simple search query. The manager can find the invoices she needs, see each line item, and even pay the invoice should it be due.
Whether you are running a restaurant, an office or a manufacturing operation, you need to purchase inventory and supplies. When all of your invoices are searchable within a software tool, you can access any invoice within seconds.
From a Pile of Invoices to Cost-Saving Insights
The invoices piling up on your desk are usually a cause of frustration, but they are actually a treasure trove of cost-saving insights.
When Sourcery processes your invoices, it records each line item, collects the data and uses the information to help you make better decisions with analytics. Over time, the analyses enable your team to dig deep into your costs, monitor trends, and even set alerts if prices skyrocket.
A restaurant manager can track the costs of each food item per vendor to analyze how much she spends throughout the year. It can also compare costs per vendor to get the best prices.
She can see her spending in real time. This will help her plan her future budgets for purchasing, but more importantly, she can adjust her menu prices and ingredients when necessary to maintain healthy profit margins.
Sourcery can also generate a cost comparison analysis of each vendor to ensure she is getting the best prices possible. These insights can help her negotiate for better prices or save money by choosing the best value.
All of this valuable information was once hidden in your pile of bills. But now you can access the insights anytime and anywhere to make decisions that affect your bottom line.
Sourcery Helps You Get The Best Out of Quickbooks Online
QBO is your business’s financial hub, helping you manage your sales, income, taxes, and cash flow. Because QBO relies heavily on manual data input, businesses cannot afford to enter all the data necessary to leverage the full power of the system in a timely manner.
To save time and money, businesses may prioritize the data entered into QBO. With a focus on receivables, they can send invoices and get paid. But seeing only half of the financial picture can be dangerous. If you have visibility on the money coming in, but only partial information on what is being paid out, you will make bad financial decisions.
Sourcery automatically transfers your payables data including all your vendor contacts, categories, and invoices. The integration does all of the tedious and time-consuming work. It’s the most accurate way of getting payables data into QBO.
When you have an accurate story of the money coming in and going out within QBO to make more informed decisions. That way you can keep your cash flow positive. Your cost and spending analyses can now be put into context with your income.
Why data Accuracy Within QBO Can Make or Break Your Business
Let’s say you need to buy a piece of expensive equipment. When you look at Quickbooks, it shows that you have plenty of cash to make the purchase. The only issue is that your colleague input the wrong dollar amount when he paid an invoice. So your cash position in QBO was wrong.
You only find out about the error when your check bounces.
For QBO to work properly, you need to manually get your account and financial data inputted into the system, which is labor-intensive, expensive, and has a 1%-3% error rate.
While 1% error seems small, just one data entry mistake in QBO can derail your financial outlook. When the data is inaccurate, the information that you base your business decisions on will be wrong. Hence, the bounced check.
Because Sourcery digitally scans your invoices and has built-in verification systems, all of the data within the system is accurate. Once the integration is set up, invoice data is exported into QBO with one click.
Vendor contacts and payment information are also transferred to QBO. Every detail of your payables is up to date and accurate. The two systems sync in real-time, so your data is continually being updated.
If Time Equals Money, Then Insights Equal Long-Term Success
Your most valuable resource might still be your time. But the insights you can get from analyzing your bills will help you make long-term decisions that affect your company’s growth.
When your payables are seamlessly shared through Sourcery and QBO, you gain transparency across your financial operations. Better insight into your transactions will ensure your cash flow is accurate. You’ll also have more time to use the financial insights to focus on what you do best — building your business.