For many business owners, managing cash flow day-to-day can be a time-consuming challenge. Significant resources may be tied up paying for the goods and services necessary to run your business, and differentiating between product and non-product expenses can become overwhelming.
Surprisingly, too few small businesses take control of these expenses by making the switch to electronic purchasing. According to SunTrust Business Owner Research, only 35 percent of owners reported using cards, automated approvals and entitlements to control employee spending. For the remaining two-thirds, there’s an opportunity to gain more control of these expenses with far less time and paperwork. Here’s how:
It’s more affordable than ever for you to consolidate purchases using debit, credit and prepaid cards, as well as online bill payment and the electronic automated clearinghouse (ACH) network. Business owners today are even using cards for large commercial purchases like raw materials and equipment.
Making purchases using electronic or payment cards allows small business owners to:
Consolidating your business transactions online provides 24/7 access to your purchasing patterns and trends. Your online banking solution offers you a single, secure resource for consolidating, tracking and controlling the complete range of business purchases, so that you can more accurately project your cash flow needs.
It has never been easier to code and allocate expenses. An online cash manager allows you to easily import electronic information into your accounting software, which allows small business owners to:
About SunTrust Business Owner Research: SunTrust surveys small business owners and advisors as part of its ongoing business seminars and symposiums. The small business owners attending these events include both SunTrust client and non-client business owners and are representative of the broad spectrum of businesses located in the SunTrust markets. The research cited in this report is extracted from these 5,425 small business owner surveys collected between 2007 and 2011.
This article is general in nature and does not constitute legal, tax, or investment advice. SunTrust makes no warranties as to accuracy or completeness of this information, does not endorse any non-SunTrust companies, products, or services described here, and takes no liability for your use of this information.