Top 5 Myths About Expense Management Software

Nisha Achuthan

Nisha Achuthan

Expense Management

While you hear a lot about ignoring negative narratives in your personal life, they aren’t discussed enough from an organizational perspective. Very often, decision-makers choose certain strategies not based on facts or data, but on the gut feeling that other options are wrong for them.

One such narrative that small and medium businesses (SMBs) buy into time and again is that SaaS based expense management software isn’t right for them.

According to a survey conducted by Levvel Research studying North American organizations in 2018, only a dismal 28 percent of SMBs reported having used cloud-based expense management software.

In the same study, 62 percent of respondents reported manual entry and routing of expense reports as the biggest pain point they faced.

So what is stopping SMBs from adopting cloud-based SaaS expense management software? A few common misconceptions and inadequate knowledge of available solutions are to blame.

Here are 5 of the most often-reported myths.

1. Expense management is not for us

SMBs have a mistaken notion that expense management software is justifiable only if it is for a large corporation. This is an assumption with no basis in fact. If anything, SMBs have limited resources and never-ending goals to achieve. Expense management software brings order to the chaos and allows you to be meticulous in recording and accounting for expenses. It allows you to use resources more efficiently by freeing up time and effort so you can assign employees to core processes.

2. Spreadsheets are all we need

There’s a rigid belief that anything to do with numerical data must necessarily be carried out only via spreadsheets. That’s just as ridiculous as the notion that CrossFit is the only way to be healthy.

It’s important to understand where a spreadsheet’s usefulness stops. Maintaining endless spreadsheets outside of your accounting software is setting yourself up for absolute chaos and major errors. Expense management software allows you to store data securely in a centralized database from where it can be utilized across all necessary reports.

3. Cloud-based software is expensive

SaaS-based expense management tool has an unfortunate reputation of being unaffordable. The reality is that vendors have varying pricing models that you need to delve into before finding the perfect fit. The idea is to find software that is efficient, doesn’t break the bank, and charges you only for your usage, not spurious additions.

4. Data migration is difficult

Moving existing data to new expense management software can seem daunting but, in reality, it can be surprisingly simple. Increasingly sophisticated applications are making the migration process stress-free and quick for users. They also come with impressive integration capabilities, which allow new expense management system to seamlessly collaborate with applications already in use.

5. Data security is a concern

At the mention of cloud-based expense management software, the first question usually is “But what about all our data? Will it be secure?” The answer is a resounding yes. Hosting data locally is not the only way to keep it secure. Cloud-based applications allow you to fine-tune permissions to restrict unwarranted access to sensitive information. The ‘role-based conditional access’ feature gives you granular control over who can view or edit specific data relevant to their responsibilities.

A compelling expense management software

Dispelling myths aside, cloud-based expense management software can make operations significantly simpler and incredibly effective. Software platforms like Kissflow Finance & Ops Cloud are created with customers’ ease of use in mind, and require no coding knowledge to get started. You can also customize them to fit your organization’s unique requirements and processes.

Kissflow Finance & Ops Cloud keeps your data secure using conditional role-based access. It scales and grows alongside your organization effortlessly. Customizable notifications improve process efficiency, while powerful reporting capabilities give you valuable insights into process performance.

Kissflow Finance & Ops Cloud