You’ve been told how cash automation technology could save your team time or reduce the overheads associated with handling cash in your business. What else can this technology do to benefit your company?
Your accounting department may see plenty of benefits when it comes to adopting cash automation. One area it can improve significantly is your accounting insights. Here’s how.
It Provides a Bigger Picture
The first thing cash automation technology can do is provide you with a clearer picture of cash in your business. With a device such as a smart safe, you may be able to see exactly how much cash you have in the business at any given time, as well as how much is ready for deposit.
Coin and banknote recyclers and other devices also provide real-time information on how much cash is coming in and out of the business.
With these insights, it’s easier to make informed decisions on day-to-day accounting topics. You might be able to streamline the deposits you make or reduce your store float.
It Collects Data
Perhaps the biggest advantage of cash automation devices is their ability to collect data. Since the devices are keeping track of your transactions and deposits, they’re also keeping records of every cent handled by your team.
This data could serve as the basis for better analysis. It’s easier to spot trends when you can pull the data from the last 60 or 90 days. You may even be able to get into more granular analysis, such as times of day people are most likely to pay with cash or which of your employees make the most deposits.
It Improves Reporting and Record-Keeping
Another major benefit of cash automation technology in your accounting department is better record-keeping. The devices can keep automatic tallies of all the cash in and out of the business, creating records that make it easier for you to spot discrepancies. Reconciling the books is also easier.
These record-keeping and reporting features do more than save you time and effort. They can provide you with the information you need to generate reports for stakeholders or your accountant.
They also provide the data you need to analyze trends in the business. From there, you can generate reports and make recommendations about cash-related policies. It’s easier to suggest a way to streamline your CIT services if you know when customers are paying with cash and when you require more change on hand.
It Lets You Predict Your Cash Needs
Trends in customer payments can guide you in creating good policies in your business. You may have noticed long-term trends in the average value of cash purchases, or that cash is used more (or less) often during the holidays.
Use these insights to adjust your cash strategy and predict when change is needed. Can you incentivize customers to pay with cash instead of using cards, which could be costing you more? Is there a way to save additional time by introducing more automation to the cash-handling processes in your business?
It Provides Data to Analyze the Health of Your Business
Finally, the data provided by cash automation can help you see the health of your business and predict where you’re going next. Has the volume or value of cash transactions grown year over year? If so, you might be able to predict you’ll rake in more cash next quarter or next year.
Cash automation data could also inform you about your cash flow, which is a key consideration for most business owners. Are you in the black most days, or are you seeing red? If the latter, it could be time to take a deeper look at what you’re spending and your processes.
In short, cash automation can help you make your accounting smarter than ever. Armed with stronger information, you’re able to make better, more insightful decisions about your business.